Clearwater Paper Corporation (CLW) has reported 19.21 percent fall in profit for the quarter ended Dec. 31, 2016. The company has earned $9.34 million, or $0.56 a share in the quarter, compared with $11.56 million, or $0.65 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $13.82 million, or $0.82 a share compared with $13.34 million or $0.75 a share, a year ago. Revenue during the quarter went down marginally by 1.40 percent to $425.57 million from $431.60 million in the previous year period. Gross margin for the quarter contracted 208 basis points over the previous year period to 13.40 percent. Total expenses were 94.33 percent of quarterly revenues, up from 91.59 percent for the same period last year. That has resulted in a contraction of 275 basis points in operating margin to 5.67 percent.
Operating income for the quarter was $24.11 million, compared with $36.31 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $54.12 million compared with $58.90 million in the prior year period. At the same time, adjusted EBITDA margin contracted 93 basis points in the quarter to 12.72 percent from 13.65 percent in the last year period.
Operating cash flow improves
Clearwater Paper Corporation has generated cash of $172.75 million from operating activities during the year, up 8.19 percent or $13.08 million, when compared with the last year. The company has spent $222.51 million cash to meet investing activities during the year as against cash outgo of $78.55 million in the last year. It has incurred net capital expenditure of $222.76 million on net basis during the year, up 73.62 percent or $94.46 million from year ago.
Cash flow from financing activities was $67.15 million for the year as against cash outgo of $102.85 million in the last year period.
Cash and cash equivalents stood at $23 million as on Dec. 31, 2016, up 310 percent or $17.39 million from $5.61 million on Dec. 31, 2015.
Working capital drops significantly
Clearwater Paper Corporation has witnessed a decline in the working capital over the last year. It stood at $79.98 million as at Dec. 31, 2016, down 59.81 percent or $119.04 million from $199.01 million on Dec. 31, 2015. Current ratio was at 1.22 as on Dec. 31, 2016, down from 1.87 on Dec. 31, 2015.
Debt moves up
Clearwater Paper Corporation has witnessed an increase in total debt over the last one year. It stood at $704.76 million as on Dec. 31, 2016, up 23.86 percent or $135.77 million from $568.99 million on Dec. 31, 2015. Short-term debt stood at $135 million as on Dec. 31, 2016. Total debt was 41.84 percent of total assets as on Dec. 31, 2016, compared with 37.25 percent on Dec. 31, 2015. Debt to equity ratio was at 1.50 as on Dec. 31, 2016, up from 1.20 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
