Wausau Paper recently announced financial and operating results for the three- and nine-month periods ended September 30, 2015. Third-quarter adjusted EBITDA from continuing operations in 2015 was $16.9 million compared with adjusted EBITDA of $13.8 million in 2014.
On a reported basis, net earnings from continuing operations were $1.7 million, or $0.03 per share, in the third quarter of 2015 compared with a prior-year third-quarter net loss from continuing operations of $9.2 million, or $0.18 per share.
Third-quarter case shipment volume increased 1.6 percent in 2015 compared with the same period in 2014 and represented an all-time shipment record for any quarter.
Strategic product shipments — those products sold in conjunction with proprietary dispensing systems or produced from premium substrates — comprised slightly more than 50 percent of third-quarter 2015 sales, a more than 1 percentage point increase over the strategic product component of shipment mix in the prior-year quarterly period.
The improved margin of both strategic and support products shipped in 2015 contributed to a 3.3 percentage point improvement in adjusted EBITDA margin of 17.7 percent as compared with 14.4 percent for the third quarter of 2014.
Michael C. Burandt, CEO, commented, “Our quarterly results continue to reflect the above-market demand growth of our premium product lines, as the positive market response to these differentiated products continues to drive mix enhancement and higher margins.
“We remain very pleased with the systematic improvement being driven throughout our business as a result of our Margin Enhancement Initiative (“MEI”). During the year, we have eliminated 73 SKU's from our product offering and have realized continuous improvement in our manufacturing, converting and distribution operations. Combined, these efforts, as well as others, have resulted in a third quarter gross profit margin of 19.9 percent, a nearly 4 percentage point improvement over the prior year's gross profit margin.”
