Jason Industries sales decline
Jason Industries reported fourth quarter 2016 net sales of $158.8 million, an 8.6 percent decrease from $173.8 million in the same period last year.
The company had a net loss of $69.9 million and diluted loss per share of $2.69, which compares to a net loss of $84.7 million and diluted loss per share of $3.20 in last year's fourth quarter.
“Volumes in our Seating and Components businesses were down significantly on lower motorcycle and rail car demand, in line with our expectations,” said Brian Kobylinski, chief executive officer of Jason. “Finishing continued to see lower general industrial demand in Europe and the U.S., while Acoustics continued to benefit from new platforms, as vehicle production volumes were flat. Despite these top-line challenges, we were able to deliver improved free cash flow through more effective working capital management.”
Full-year 2016 results were net sales of $705.5 million, net loss of $77.7 million and diluted loss per share of $3.13.
“While we faced significant headwinds in some of our end-markets during 2016, we successfully executed on actions to reduce our cost structure and exit non-core low margin business. We remain focused on operations in our key facilities to improve profitability and exceed quality and delivery commitments to our customers. Improvements in serving our customers have resulted in new platform opportunities and wins, and provide commercial traction heading into 2017,” added Kobylinski.
Jason's Finishing segment, which includes abrasives manufacturer Osborn, had fourth quarter net sales of $44.3 million, a 10.6 percent decrease from the same period last year. Adjusted earnings were $4.3 million, or 9.7 percent of net sales, compared with $5.5 million, or 11.2 percent of net sales in last year's fourth quarter.