US-based manufacturer of industrial coatings and specialty chemical products, Lilly Industries, said that for the first quarter ending February 29, it expects earnings per share to be down approximate…
US-based manufacturer of industrial coatings and specialty chemical products, Lilly Industries, said that for the first quarter ending February 29, it expects earnings per share to be down approximately 15% from a year earlier. While sales volume continues to be strong across most markets, Lilly said that profit margins are being impacted short-term by the rapid cost increase of petroleum-based raw materials (including the effect of LIFO inventory accounting), weather related closures along the mid-Atlantic Coast affecting manufacturing and distribution costs, and transition costs related to the start-up of new capacity in Malaysia, Mexico, China and expansion of the North Carolina powder coatings facility.