Calgon Carbon Corp Earnings Cheat Sheet: Margins Expand with Strong Revenues, Profit Increases

Calgon Carbon Corporation (NYSE:CCC) reported net income above Wall Street’s expectations for the third quarter. Calgon Carbon is globally engaged in services, products, and solutions for purifying water and air.

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Calgon Carbon Earnings Cheat Sheet for the Third Quarter

Results: Net income for the pollution and treatment controls company rose to $14.5 million (25 cents per share) vs. $10 million (18 cents per share) in the same quarter a year earlier. This marks a rise of 45.9% from the year earlier quarter.

Revenue: Rose 15.5% to $143.6 million from the year earlier quarter.

Actual vs. Wall St. Expectations: CCC beat the mean analyst estimate of 22 cents per share. It beat the average revenue estimate of $139.8 million.

Quoting Management: Commenting on the results, John Stanik, Calgon Carbon’s chairman, president and chief executive officer, said, “Our company’s performance for the third quarter was solid, despite the challenges of rising raw material costs and aggressive competition for sales of activated carbon in certain market segments. Activity in the ballast water treatment market, both sales and level of inquiries, continued to be strong, and we are very pleased with our position in this burgeoning market.”

Key Stats:

Revenue has risen the past four quarters. Revenue increased 9.5% to $135.3 million in the second quarter. The figure rose 20.8% in the first quarter from the year earlier and climbed 18.8% in the fourth quarter of the last fiscal year from the year-ago quarter.

The company beat estimates last quarter after falling short in the previous two quarters. In the second quarter, it missed the mark by one cent, and in the first quarter, it fell short by 2 cents.

Net income has increased 58.1% year over year on average across the last five quarters. The biggest gain came in the second, when income climbed more than threefold from the year earlier quarter.

Looking Forward: The average estimate for the fourth quarter remains unchanged at 24 cents a share. The average estimate for the fiscal year has remained at 81 cents per share.

Competitors to Watch: Rockwood Holdings, Inc. (NYSE:ROC), Valhi, Inc. (NYSE:VHI), Kronos Worldwide, Inc. (NYSE:KRO), Sensient Tech. Corp. (NYSE:SXT), TOR Minerals Int’l, Inc. (NASDAQ:TORM) and Arch Chemicals, Inc. (NYSE:ARJ).

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

(Source: Xignite Financials)