ST. PAUL, Minn. — H.B. Fuller Company (NYSE: FUL), a leading global adhesives provider, on Thursday reported financial results for the third quarter that ended Aug. 30.
Net revenue for the third quarter of 2014 was $526.8 million, up 2.4 percent versus 2013. Higher volume and foreign currency translation positively impacted net revenue growth by 2.0 and 1.1 percentage points, respectively. Lower average selling prices negatively impacted net revenue growth by 0.7 percentage points. Organic revenue grew by 1.3 percent year-over-year.
Net income for the third quarter of 2014 was $4.0 million, or $0.08 per diluted share, versus net income from continuing operations of $27.2 million, or $0.53 per diluted share, in last year's third quarter.
Net revenue for the first nine months of 2014 was $1.56 billion, up 2.9 percent versus the first nine months of 2013.
Volume increased 2 percent compared to the prior year, while organic growth outside the EIMEA region up 5 percent.
After the end of the quarter, H.B. Fuller completed acquisition of ProSpec, a construction products business with strong customer relationships in key U.S. markets.
"We entered this fiscal year with plans that by the third quarter we would complete a major project in Europe, initiate a major systems upgrade project in North America, improve our organic growth rate and, at the same time, improve our margins and take another significant step forward toward our 2015 strategic goals, said Jim Owens, H.B. Fuller president and chief executive officer. "Our commitment and confidence in achieving our long term goals is clear and confirmed; however, the achievement of these goals will be delayed. We invested heavily this quarter to minimize disruptions to our customers and preserve our strong relationships and we took decisive actions to accelerate the completion of our major projects and move to normal operating conditions. More work is to be done in the fourth quarter but we expect our intensified focus on completing these projects will lead to improved operating performance in the fourth quarter and pave the way for a strong 2015, putting us back on track to achieve our long term goals of 15 percent EBITDA margin and solid organic growth."