Rayonier Advanced Materials reported 7.8% decrease of net sales and 11.1% decrease of pro-forma EBITDA in 1Q2017 y-o-y. According to the announcement, the company’s revenues accounted for USD 201 million, generating pro-forma EBITDA of USD 48 million (23.9% margin vs 24.8% in the same quarter of 2016) in the period.
Paul Boynton, Chairman, President and Chief Executive Officer, commented:
“We are off to a strong start in 2017. Our continued focus on costs and operational excellence drove another quarter of solid results. We have now delivered over USD90 million of cost transformation improvement against our 4-year, USD 140 million cost objective and remain solidly on track to deliver the full USD 30 million cost savings target in 2017.
The strong results delivered in the first quarter along with the continued progression of our Cost Transformation initiative gives us confidence that we will deliver full year results at the high-end of our previous guidance. We also continue to make positive and meaningful progress on our other three growth initiatives: Market Optimization, New Products and Acquisitions. Combined, the four growth pillars will drive the business forward and deliver shareholder value.”
Earlier Borregaard informed about a decision to go ahead with LignoTech Florida lignin investment project with Rayonier Advanced Materials in Florida, the US.
About Rayonier Advanced Materials:
The company is the leading global supplier of high-purity, cellulose specialties natural polymers for the chemical industry. It engineers natural polymeric chemical chains to create dozens of customized high-purity performance fibers at its plants in Florida and Georgia. The company’s facilities can produce up to 675,000 metric tons of cellulose specialties products annually for use in a wide range of industrial and consumer products such as filters, cosmetics and pharmaceuticals. Upon completion of the previously announced strategic realignment of assets in Jesup, the company’s facilities will have the capacity to produce approximately 485,000 tons of cellulose specialties and approximately 245,000 tons of commodity products.