Last10K.com

Kraton Corp (KRA) SEC Filing 10-Q Quarterly report for the period ending Sunday, September 30, 2018

Kraton Corp

CIK: 1321646 Ticker: KRA


Exhibit 99.1
Kraton Corporation Announces Third Quarter 2018 Results
HOUSTON, October 24, 2018 /PRNewswire/ -- Kraton Corporation (NYSE: KRA), a leading global specialty chemicals company that manufactures styrenic block copolymers (“SBCs”), specialty polymers, and high-value performance products primarily derived from pine wood pulping co-products, announces financial results for the quarter ended September 30, 2018.
THIRD QUARTER 2018 SUMMARY
Third quarter consolidated net income of $42.3 million compared to net loss of $4.0 million in the third quarter of 2017.
Third quarter Adjusted EBITDA(1) of $98.7 million, down 18.9% compared to the third quarter of 2017.
Polymer segment operating income of $44.9 million, up 139.7%, and Adjusted EBITDA(1) of $57.0 million, down 26.3% compared to $77.4 million in the third quarter of 2017.
During the third quarter of 2017, favorable market dynamics contributed to notable sales volumes and margins.
Third quarter 2018 results were impacted by unplanned, short-term facility outages at our Belpre, Ohio, and Berre, France, sites, and higher operating costs including logistics and transportation costs.
Chemical segment operating income of $27.5 million, up 16.4%, and Adjusted EBITDA(1) of $41.6 million, down 6.0% compared to $44.3 million in the third quarter of 2017.
The decrease in Adjusted EBITDA(1) was primarily attributable to higher operating costs, including planned maintenance activities and higher transportation and logistics costs.
Unit margins increased, driven by higher pricing for TOFA, TOFA derivatives and other high value products.
Through the first nine months of 2018, consolidated indebtedness reduced by $70.0 million and consolidated net debt (non-GAAP) reduced by $32.4 million.

 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2018
 
2017
 
2018
 
2017
 
(In thousands, except percentages and per share amounts)
Revenue
$
523,105

 
$
510,947

 
$
1,563,892

 
$
1,494,392

Polymer segment operating income
$
44,899

 
$
18,731

 
$
137,930

 
$
98,339

Chemical segment operating income
$
27,495

 
$
23,623

 
$
79,406

 
$
66,614

Net income attributable to Kraton 
$
42,349

 
$
(4,033
)
 
$
49,491

 
$
27,941

Adjusted EBITDA (non-GAAP)(1) 
$
98,651

 
$
121,687

 
$
292,900

 
$
288,738

Adjusted EBITDA margin (non-GAAP)(2)
18.9
%
 
23.8
%
 
18.7
%
 
19.3
%
Diluted earnings (loss) per share
$
1.31

 
$
(0.13
)
 
$
1.53

 
$
0.88

Adjusted diluted earnings per share (non-GAAP)(1)
$
1.02

 
$
1.51

 
$
2.49

 
$
1.88

__________________________________________________
(1)
See non-GAAP reconciliations included in the accompanying financial tables for the reconciliation of each non-GAAP measure to its most directly comparable GAAP measure.
(2)
Defined as Adjusted EBITDA as a percentage of revenue.
“Our third quarter 2018 results reflect solid unit margin fundamentals in both our Polymer and our Chemical segments, indicative of the resiliency of our value-added product offerings and consistent execution of our price right market strategies. Moreover, while longer-term growth prospects remain on track to benefit from our commitment to sustainable, innovation-led growth, and cash-flow generation, third quarter Adjusted EBITDA was $98.7 million, down $23.0 million compared to the strong results we posted in the third quarter of 2017, primarily resulting from a $20.4 million decline in Adjusted EBITDA in our Polymer segment,” said Kevin M. Fogarty, Kraton’s President and Chief Executive Officer.
“Third quarter 2018 Adjusted EBITDA for the Polymer segment was $57.0 million, down from $77.4 million in the year-ago quarter. This decrease in Adjusted EBITDA resulted from four key drivers: modestly lower sales volume in our Performance Products business, lower unit margins in our Specialty Polymers business, unfavorable costs resulting from unplanned facility outages, and higher operating expenses, including transportation and logistics costs,” said Fogarty.



The following information was filed by Kraton Corp (KRA) on Wednesday, October 24, 2018 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.

View differences made from one quarter to another to evaluate Kraton Corp's financial trajectory

Compare SEC Filings Year-over-Year (YoY) and Quarter-over-Quarter (QoQ)
Sample 10-K Year-over-Year (YoY) Comparison

Compare this 10-Q Quarterly Report to its predecessor by reading our highlights to see what text and tables were  removed  ,   added    and   changed   by Kraton Corp.

Continue

Assess how Kraton Corp's management team is paid from their Annual Proxy

Definitive Proxy Statement (Form DEF 14A)
Screenshot example of actual Proxy Statement

Kraton Corp's Definitive Proxy Statement (Form DEF 14A) filed after their 2018 10-K Annual Report includes:

  • Voting Procedures
  • Board Members
  • Executive Team
  • Salaries, Bonuses, Perks
  • Peers / Competitors

Continue

SEC Filing Tools

Financial Statements, Disclosures and Schedules

Inside this 10-Q Quarterly Report

Document And Entity Information
Condensed Consolidated Balance Sheets (Unaudited)
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical)
Condensed Consolidated Statement Of Changes In Equity (Unaudited)
Condensed Consolidated Statements Of Cash Flows (Unaudited)
Condensed Consolidated Statements Of Comprehensive Income (Loss) (Unaudited)
Condensed Consolidated Statements Of Comprehensive Income (Loss) (Unaudited) (Parenthetical)
Condensed Consolidated Statements Of Operations (Unaudited)
Commitments And Contingencies
Commitments And Contingencies (Tables)
Commitments And Contingencies - Additional Information (Details)
Commitments And Contingencies - Changes In Aggregate Carrying Amount Of Asset Retirement Obligation Liability (Details)
Detail Of Certain Balance Sheet Accounts
Detail Of Certain Balance Sheet Accounts (Tables)
Detail Of Certain Balance Sheet Accounts - Balance Sheets (Details)
Detail Of Certain Balance Sheet Accounts - Changes In Accumulated Other Comprehensive Loss (Details)
Earnings Per Share ("Eps")
Earnings Per Share ("Eps") (Details)
Earnings Per Share ("Eps") (Tables)
Employee Benefits
Employee Benefits (Tables)
Employee Benefits - Additional Information (Details)
Employee Benefits - Components Of Net Periodic Benefit Cost Related To U.S Pension Benefits (Details)
Employee Benefits - Components Of Net Periodic Cost Related To Other Post-Retirement Benefits (Details)
Fair Value Measurements, Financial Instruments, And Credit Risk
Fair Value Measurements, Financial Instruments, And Credit Risk (Tables)
Fair Value Measurements, Financial Instruments, And Credit Risk - Additional Information (Details)
Fair Value Measurements, Financial Instruments, And Credit Risk - Carrying Values And Approximate Fair Values Of Long-Term Debt (Details)
Fair Value Measurements, Financial Instruments, And Credit Risk - Summary Of Financial Assets And Liabilities Measured At Fair Value On Recurring Basis (Details)
General
General (Details)
General (Policies)
Income Taxes
Income Taxes (Tables)
Income Taxes - Additional Information (Details)
Income Taxes - Reconciliation Of Effective Tax Rate, Amount (Details)
Industry Segments And Foreign Operations
Industry Segments And Foreign Operations (Tables)
Industry Segments And Foreign Operations - Additional Information (Details)
Industry Segments And Foreign Operations - Long-Lived Assets Including Goodwill And Total Assets (Details)
Industry Segments And Foreign Operations - Sales Revenue By Geographic Region (Details)
Industry Segments And Foreign Operations - Sales Revenue By Product Groups (Details)
Long-Term Debt
Long-Term Debt (Tables)
Long-Term Debt - Abl Facility (Details)
Long-Term Debt - Debt Issuance Cost (Details)
Long-Term Debt - Kfpc Debt (Details)
Long-Term Debt - Remaining Principal Payments On Outstanding Total Debt (Details)
Long-Term Debt - Schedule Of Long-Term Debt (Details)
Long-Term Debt - Senior Notes (Details)
Long-Term Debt - Senior Secured Term Loan Facility (Details)
New Accounting Pronouncements
New Accounting Pronouncements (Details)
Related Party Transactions
Related Party Transactions (Details)
Revenue Recognition
Revenue Recognition (Tables)
Revenue Recognition - Disaggregation Of Revenue (Details)
Revenue Recognition - Obligation (Details)
Share-Based Compensation
Share-Based Compensation (Details)
Subsequent Events
Variable Interest Entity
Variable Interest Entity (Tables)
Variable Interest Entity - Additional Information (Details)
Variable Interest Entity - Summary Of Carrying Amounts Of Assets And Liabilities (Details)

Material Contracts, Statements, Certifications & more

Kraton Corp provided additional information to their SEC Filing as exhibits

Ticker: KRA
CIK: 1321646
Form Type: 10-Q Quarterly Report
Accession Number: 0001321646-18-000153
Submitted to the SEC: Thu Oct 25 2018 12:27:13 PM EST
Accepted by the SEC: Thu Oct 25 2018
Period: Sunday, September 30, 2018
Industry: Plastic Materials Synth Resins And Nonvulcan Elastomers

External Resources:
Stock Quote
Social Media

Bookmark the Permalink:
https://last10k.com/sec-filings/kra/0001321646-18-000153.htm