Newell Rubbermaid reports drop in quarterly profits due to charge
Newell Rubbermaid Inc has reported a rise in sales but a drop in profits for the third quarter, due to a charge related to a recent acquisition. Earnings before the charge were at the high end of analysts’ estimates and the company has benefited from continued cost cutting.
The company reported a net income of $76.2 million, compared with $83.5 million a year ago. Sales were up 10.2% to $1.95 billion. Excluding material acquisitions and divestitures, sales increased 4%. It took a charge of $69.9 million, primarily relating to severance and facility closing costs associated with the American Tool acquisition. Excluding the charges, profit was $122.9 million compared with $91.6 million a year ago.
28-Oct-2002
