Chase Corporation (NYSE: CCF) reported adjusted earnings of $1.32 per share for the third quarter, up from $1.03 per share in the year-ago quarter. Its revenue rose 22% to $78.92 million.
Operating income was $16.96 million, up $1.87 million, or 12%, from $15.09 million. Net income was $13.54 million, up $1.69 million, or 14%, from $11.86 million. Earnings per diluted share proved to be $1.43, up $0.17, or 13%, from $1.26
CEO Adam Chase said "Strong sales growth, both organic and inorganic, defined our third fiscal quarter, but so too did the effects of rising raw material prices and their continued pressure on margins in certain areas. We also continued to experience a comparatively less favorable product mix in the period, further curtailing results.
"Our second-quarter acquisition, Zappa Stewart, delivered on the top and bottom lines, producing margins accretive to our relative average.
"Price increases have gone into effect for those products most impacted by rising raw material costs, with more possible in the near term. While these price increases began to stem the negative effects of inflating raw material costs in the third quarter, we anticipate them to more fully take hold in the fourth quarter and into our next fiscal year.
Chase Corporation, a global specialty chemicals company that was founded in 1946, is a leading manufacturer of protective materials for high-reliability applications throughout the world.
Shares rocketed $1.70, or 1.4%, to $122.00 early Friday, within a 52-week trading range of $83.35 to $129.55
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