Sealed Air Corporation’s Diversey Care division reported net sales of US$581 million for the second quarter 2014, a 2.0% increase compared to last year. On a constant dollar basis, net sales increased 2.7% as a result of strong growth in developing regions as well as improving trends in Europe.
Diversey Care’s adjusted EBITDA of US$72 million was essentially unchanged on a year-over-year basis. Adjusted EBITDA margin in the second quarter was 12.4%.
Sealed Air announced its financial results for the second quarter 2014 late July.
Commenting on these results, Jerome A. Peribere, president and chief executive officer, said, “Second quarter 2014 net sales of US$2.0 billion increased 3.0% on a constant dollar basis compared to last year primarily due to favourable price/mix of 3.4%.
“We delivered favourable price/mix across all divisions, which contributed to a year-over-year improvement of 50 basis points in gross profit margin. Adjusted EBITDA margin in the quarter increased 90 basis points to 14.4% as compared to 13.5% in the previous year.
“Based on our performance in the first half of 2014 and outlook for the remainder of the year, we are raising our full year 2014 guidance for Net Sales, Adjusted EBITDA, adjusted EPS and free cash flow. Our second quarter results and increased outlook for the full year demonstrate that our continued focus on quality of earnings is progressing ahead of our original expectations.”
As part of the its ‘Change the Game’ strategy and as a significant step in transforming Sealed Air into a knowledge-based company, Dealed Air is relocating its global headquarters to a new, state-of-the-art campus in Charlotte, North Carolina.
“This move will create a stronger, one-company culture that enables greater collaboration, accelerates innovation and drives operating efficiencies. The new campus is expected to be completed by late 2016, and during this period we do not expect the cash costs to have a material impact on our financial outlook,” Peribere noted.