Associated Materials Reports First-Quarter Results, Slight Decrease in Net SalesMay 17th, 2011 by Editor
Associated Materials LLC announced financial results this week for the first quarter ended April 2, 2011. Net sales for the first quarter were $196.7 million, a 3.7 percent decrease from net sales of $204.2 million for the same period in 2010. Adjusted EBITDA was negative $4.2 million for the first quarter of 2011 compared to positive $8.8 million for the same period in 2010.
“While we have seen a slight decrease in sales during the first quarter of 2011, there is still expected improvement to be achieved in our end markets based on industry and economic forecasts,” says Tom Chieffe, president and chief executive officer. “We also believe that the long-term demand for our products will continue to be driven by the increasing age of the existing housing stock, the eventual return to normal levels of new home construction, the continued investment by homeowners and builders in energy-efficient products, and the maintenance and price advantages of our vinyl products.”
Chieffe adds that the company will continue to focus on growing the business, controlling costs in all areas of the business, and realizing operational improvements in order to permanently improve cost structure and margins.
“We believe that these actions, along with other growth initiatives, are positioning the company for sustainable and profitable growth once the housing market fully recovers,” he says.