Owens Corning reports 4Q and full year 2004

Building materials maker Owens Corning reported financial results on 8 March 2005 for the 4Q ended 31 December 2004, as well as results for the full year 2004.
For the 4Q of 2004, the company reporte…

Building materials maker Owens Corning reported financial results on 8 March 2005 for the 4Q ended 31 December 2004, as well as results for the full year 2004. For the 4Q of 2004, the company reported net sales of USD 1.484 billion, an increase of 16% compared to net sales of USD 1.275 billion for the same period in the prior year. Net income for the 4Q of 2004 rose 67% to USD 72 million, compared to net income of USD 43 million for the 4Q of 2003. Owens Corning reported income from operations of USD 146 million for the quarter, including USD 21 million of Chapter 11-related charges and USD 21 million in asbestos-related insurance recoveries. In addition, during the 4Q Owens Corning finalized recoveries of insurance proceeds related to the flood at its L“Ardoise, France facility resulting in a total gain of USD 28 million, primarily related to business interruption losses attributable to the 1H of 2004. For the 4Q of 2003, Owens Corning reported income from operations of USD 112 million for the quarter, including a credit of USD 10 million for restructuring and other charges, USD 10 million of Chapter 11-related charges, and USD 1 million in asbestos-related insurance recoveries. For the full year, sales increased 14% to USD 5.675 billion, compared to USD 4.996 billion for 2003. Net income increased 77% to USD 204 million, compared to USD 115 million for all of 2003. For the full year, Owens Corning reported income from operations of USD 427 million, including USD 54 million of Chapter 11-related charges, partially offset by USD 24 million in asbestos- related insurance recoveries and a credit of USD 5 million for restructuring and other charges. For 2003, Owens Corning reported income from operations of USD 267 million, including charges of USD 34 million for restructuring and other charges and USD 85 million of Chapter 11-related charges, partially offset by USD 5 million in asbestos-related insurance recoveries. Owens Corning increased its cash balance by USD 120 million during the year to end 2004 with a cash balance of USD 1.125 billion. “We are very pleased with our results for the quarter and the year,” said Dave Brown, Owens Corning“s Chief Executive Officer. “Through a combination of record sales and productivity we offset significant increases in energy and raw material costs while our commitment to safety resulted in a significant decline in the number of injuries sustained by our employees. We believe that the overall improvement that we achieved in our operations positions us well to serve our markets and to continue profitable growth in 2005.”