Stepan Company Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended June 30, 2018; Provides Tax Rate Guidance for the Full Year 2018
July 25, 2018 at 06:59 am
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Stepan Company reported unaudited consolidated earnings results for the second quarter and six months ended June 30, 2018. For the quarter, the company reported net sales of $519,866,000 against $495,101,000 a year ago, this increase was primarily attributable to 5% global volume growth. Operating income was $44,685,000 against $39,133,000 a year ago. Income before income taxes was $42,497,000 against $37,063,000 a year ago. Net income was $32,923,000 against $27,896,000 a year ago. Net income attributable to the company was $32,925,000 or $1.41 per diluted share against $27,882,000 or $1.19 per diluted share a year ago. Adjusted net income was $32,114,000 or $1.38 per diluted share against $30,893,000 or $1.32 per diluted share a year ago. These results were driven by record first half Surfactant earnings and a lower 2018 effective tax rate.
For the six months, the company reported net sales of $1,019,201,000 against $963,370,000 a year ago. Operating income was $84,340,000 against $85,363,000 a year ago. Income before income taxes was $80,161,000 against $81,393,000 a year ago. Net income was $63,639,000 against $59,808,000 a year ago. Net income attributable to the company was $63,648,000 or $2.73 per diluted share against $59,795,000 or $2.56 per diluted share a year ago. Net debt was $30.1 million as of June 30, 2017. Adjusted net income was $64,145,000 or $2.75 per diluted share against $62,594,000 or $2.68 per diluted share a year ago.
For the full year 2018, The company expects the effective tax rate to be in the range of 20% to 23%.
Stepan Company is a producer and seller of specialty and intermediate chemicals that are used in a variety of end products. The Company operates through three segments: Surfactants, Polymers and Specialty Products. The Surfactants segment offers ingredients in consumer and industrial cleaning and disinfection products, such as detergents for washing clothes, dishes, carpets, floors and walls, as well as shampoos and body washes. Other applications include fabric softeners, germicidal quaternary compounds, disinfectants, lubricating ingredients, emulsifiers for spreading agricultural products and industrial applications. The Polymers segment includes polyurethane polyols, polyester resins and phthalic anhydride. Polyurethane polyols are used in the manufacture of rigid foam for thermal insulation in the construction industry. The Specialty products segment includes flavors, emulsifiers and solubilizers used in food, flavoring, nutritional supplement and pharmaceutical applications.
Stepan Company Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended June 30, 2018; Provides Tax Rate Guidance for the Full Year 2018