Koppers Holdings Inc. (KOP, Financial) filed Quarterly Report for the period ended 2010-06-30.
Koppers Holdings Inc. has a market cap of $524.1 million; its shares were traded at around $25.51 with a P/E ratio of 12.7 and P/S ratio of 0.5. The dividend yield of Koppers Holdings Inc. stocks is 3.5%.KOP is in the portfolios of John Keeley of Keeley Fund Management, Jim Simons of Renaissance Technologies LLC.
Cost of sales as a percentage of net sales was 83 percent for the quarter ended June 30, 2010 and 82 percent for the quarter ended June 30, 2009. Overall, cost of sales increased $33.8 million between periods. Cost of sales was favorably impacted by a $2.4 million adjustment to our self insured retention liabilities as a result of favorable claim experience.
European CM&C sales increased by $19.1 million due to incremental sales from the acquisition in the Netherlands of $13.7 million and higher prices for carbon black feedstock totaling $5.6 million, partially offset by reductions in pitch pricing of $2.6 million. Operating profit as a percentage of net sales was 10 percent as compared to 12 percent between periods.
Australian CM&C sales decreased by $3.3 million due primarily to lower volumes and prices for carbon pitch totaling $4.0 million and lower volumes of carbon black totaling $2.6 million. Currency exchange rate changes partially offset these reductions, resulting in an increase of sales totaling $3.2 million. Operating profit as a percentage of net sales was eight percent for the three months ended June 30, 2010 as compared to 13 percent for the prior period reflecting lower volumes and selling prices for carbon pitch combined with higher raw material costs. Additionally, operating issues at the carbon black facility reduced operating profit by an estimated $1.6 million for the quarter.
Chinese CM&C sales increased by $14.2 million due to higher volumes of carbon pitch into the Middle East totaling $16.5 million, partially offset by lower prices for carbon pitch totaling $3.1 million. Operating loss for the three months ended June 30, 2010 was $0.5 million as compared to operating profit as a percentage of sales of ten percent for the three months ended June 30, 2009 due to higher raw material costs combined with lower selling prices for carbon pitch as a result of excess supply in 2010.
Railroad & Utility Products operating profit for the quarter ended June 30, 2010 decreased by $2.2 million as compared to the prior period primarily as a result of lower volumes for untreated railroad crossties from the Class I customer base. Operating profit as a percentage of net sales decreased to ten percent from eleven percent between periods due to lower sales volumes to the Class I railroads, which more than offset $1.2 million of additional operating profit from reductions to self insured retention liabilities.
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Koppers Holdings Inc. has a market cap of $524.1 million; its shares were traded at around $25.51 with a P/E ratio of 12.7 and P/S ratio of 0.5. The dividend yield of Koppers Holdings Inc. stocks is 3.5%.KOP is in the portfolios of John Keeley of Keeley Fund Management, Jim Simons of Renaissance Technologies LLC.
Highlight of Business Operations:
Our carbon black facility in Australia has experienced operating problems related to a boiler that impacted profitability in the first and second quarters of 2010 by approximately $0.5 million and $1.6 million, respectively. Although the problem is expected to be resolved in the third quarter, the impact on third quarter 2010 results is expected to be approximately $0.5 million.Cost of sales as a percentage of net sales was 83 percent for the quarter ended June 30, 2010 and 82 percent for the quarter ended June 30, 2009. Overall, cost of sales increased $33.8 million between periods. Cost of sales was favorably impacted by a $2.4 million adjustment to our self insured retention liabilities as a result of favorable claim experience.
European CM&C sales increased by $19.1 million due to incremental sales from the acquisition in the Netherlands of $13.7 million and higher prices for carbon black feedstock totaling $5.6 million, partially offset by reductions in pitch pricing of $2.6 million. Operating profit as a percentage of net sales was 10 percent as compared to 12 percent between periods.
Australian CM&C sales decreased by $3.3 million due primarily to lower volumes and prices for carbon pitch totaling $4.0 million and lower volumes of carbon black totaling $2.6 million. Currency exchange rate changes partially offset these reductions, resulting in an increase of sales totaling $3.2 million. Operating profit as a percentage of net sales was eight percent for the three months ended June 30, 2010 as compared to 13 percent for the prior period reflecting lower volumes and selling prices for carbon pitch combined with higher raw material costs. Additionally, operating issues at the carbon black facility reduced operating profit by an estimated $1.6 million for the quarter.
Chinese CM&C sales increased by $14.2 million due to higher volumes of carbon pitch into the Middle East totaling $16.5 million, partially offset by lower prices for carbon pitch totaling $3.1 million. Operating loss for the three months ended June 30, 2010 was $0.5 million as compared to operating profit as a percentage of sales of ten percent for the three months ended June 30, 2009 due to higher raw material costs combined with lower selling prices for carbon pitch as a result of excess supply in 2010.
Railroad & Utility Products operating profit for the quarter ended June 30, 2010 decreased by $2.2 million as compared to the prior period primarily as a result of lower volumes for untreated railroad crossties from the Class I customer base. Operating profit as a percentage of net sales decreased to ten percent from eleven percent between periods due to lower sales volumes to the Class I railroads, which more than offset $1.2 million of additional operating profit from reductions to self insured retention liabilities.
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