Chemical Company Celanese Corporation (CE - Free Report) announced that it will raise prices for vinyl acetate-based emulsions sold in the Americas. Celanese will increase PVAc homopolymer, vinyl acetate ethylene (VAE) and vinyl acrylic emulsions prices by 4 cents per wet pound. The revision will be effective Jun 16, 2014, or as contracts permit.
This price revision is in addition to the previous price hikes of the same vinyl-based emulsions which were declared on Mar 7, 2014 and Jan 10, 2014 and were effective since Apr 1, 2014, and Feb 1, 2014, respectively.
This rise in price is applicable for all applications including, but not limited to, adhesives, paints and coatings, building and construction, nonwovens, glass fiber, carpet, paper and textiles.
On Apr 21, Celanese reported its first-quarter 2014 results. The company’s adjusted earnings (excluding one-time items) of $1.33 per share were up 16.7% from $1.14 per share reported in the year-ago quarter. The result beat the Zacks Consensus Estimate of $1.21 per share.
Profit from continued operations (as reported) came in at $1.25 per share in the first quarter, surging roughly 42% from 88 cents per share posted in the prior-year quarter.
Sales in the quarter were $1,705 million, up 6.2% year over year, surpassing the Zacks Consensus Estimate of $1,682 million.
For 2014, Celanese expects earnings growth of 12% to 14% on the back of company-specific initiatives including innovation and productivity programs consistent with its long-term growth plan. These initiatives are expected to drive earnings growth in 2014.
Celanese currently carries a Zacks Rank #3 (Hold).
Other companies in the chemical space with a favorable Zacks Rank include Compass Minerals International Inc. (CMP - Free Report) , The Dow Chemical Co. (DOW - Free Report) and Koninklijke DSM N.V. (RDSMY - Free Report) . While Compass Minerals carries a Zacks Rank #1 (Strong Buy), both Dow Chemical and Koninklijke DSM hold a Zacks Rank #2 (Buy).