Synalloy : Remains Optimistic 2018 Results To Surpass Those Achieved In 2017

(RTTNews) - Synalloy Corp. (SYNL) said that it remains optimistic that 2018 financial results will surpass those achieved in 2017. The primary end markets continue to point toward increasing demand and improving prices. It also expects the Specialty Chemicals Segment to bounce back from its flat results and post both revenue and profit gains as new products are added to their line-up. Excluding contributions from any acquisitions, forecast for 2018 calls for a 15% increase in revenue and an approximate 60% increase in Adjusted EBITDA.

For the fourth quarter of 2017, the company recorded net income from continuing operations of $1.0 million, or $0.11 per share compared to a net loss from continuing operations of $1.4 million, or $0.17 loss per share for fourth quarter 2016. The latest-quarter was negatively impacted by $1.0 million in inventory price change losses compared to the fourth quarter of last year which incurred inventory price change losses totaling $0.2 million.

The fourth quarter and full year periods of 2017 include financial results in the Company's Metals Segment related to the acquisition of Bristol Metals-Munhall, which closed on February 28, 2017, including net sales of $8.7 million and $25.8 million, respectively, operating income of $0.6 million and $0.4 million, respectively, and pretax acquisition transaction related charges totaling $11,000 and $1.2 million, respectively.

Net sales for the fourth quarter of 2017 were $52.8 million, representing an increase of $19.8 million or 60% when compared to net sales for the fourth quarter of 2016. Excluding the impact from the acquisition of the stainless steel pipe and tube operations of Marcegaglia USA, Inc., fourth quarter net sales were up 34% over the same period last year.