Originally published at www.seclive.com
OMNOVA Solutions Inc. (NYSE:OMN) announced its financial results for the third quarter of fiscal year 2013, reporting income of $9.0M, or $0.19 earnings per share. This marks a 23% increase from this quarter last year of $6.9M, or $0.15 per share. Sales decreased 9.4% to $261.2M from $288.2M a year ago this quarter. Despite a favorable currency impact of $1.7M, reduced pricing or $18.7M and 3.5% lower volumes of $10.0M, led to the overall sales decrease. Gross margin improved from 20.1% to 20.9% thanks to cost-saving efforts. Chairman and CEO Kevin McMullen remarked that the company's results show improvement from not only last year but also from the previous sequential quarter. OMNOVA currently has total debt of $447.7M, comprised of $250.0M in senior notes, a $194.5M term loan, and $3.2M borrowed at foreign operations.
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