Verso Corporation, a leading producer of printing papers, specialty papers and pulp, reported 35% decrease of Adjusted EBITDA amid 10.7% decrease of net sales in 2Q2017 y-o-y (with predecessor). According to the announcement, the company’s net sales accounted for USD 630 million, generating negative Adjusted EBITDA of USD 4 million in the period.
B. Christopher DiSantis, Verso Chief Executive Officer, commented:
“Despite a challenging second quarter in which profitability was hampered by lower volume and pricing, rising input costs and inventory reduction initiatives, Verso is building momentum toward significantly improved results in the second half of the year as we anticipate realization of price increases, continue to aggressively cut costs and profitably grow our specialty papers busines. In addition, we’ve made substantial progress in evaluating Verso’s long-term strategic options, which potentially include paper machine conversions to enable expansion or entry into growing markets, enhancements to current assets that support a more profitable product mix, and corporate development opportunities.”
In 1Q2017 Verso Corporation decreased Adjusted EBITDA margin to 4.2%.
Earlier Verso Corporation announced plans to permanently shut down the No. 3 paper machine and associated equipment at its Androscoggin Mill in Jay, Maine, USA.
About Verso Corporation:
The company is a leading North American producer of printing papers, specialty papers and pulp. Its printing papers are designed primarily for commercial printing, media and marketing applications, including magazines, catalogs, books, direct mail, corporate collateral and retail inserts. Its specialty papers are used primarily for label and converting, flexible packaging and technical paper applications.