Koppers reports strong earnings for Q1

Koppers Holdings, the provider of treated wood products, wood treatment chemicals and carbon compounds, reported a first quarter 2021 net income of $25.9 million, a company record for the quarter.

This compares to a net loss of $1.4 million in the first quarter 2020.

The Pittsburgh, Pa.-based company also reported consolidated sales of $407.5 million. The 1.4% increase from sales of $401.9 million in the previous first quarter is also a company record, Koppers said.

Koppers reported that its performance chemicals (PC) segment continued the trend of achieving strong sales growth and increased profitability due to ongoing strength in consumer spending during the pandemic for home repair and remodeling projects, as well as increased demand in international markets.

Looking ahead, Koppers said it expects company 2021 sales will be approximately $1.7 billion to $1.8 billion based on current global economic activity and in consideration of the near-term economic uncertainty associated with the pandemic.

In comparison, sales were $1.67 billion in 2020, excluding Koppers (Jiangsu) Carbon Chemical Company Limited, which was sold last September.

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The Bottom Line: Koppers reports record profits as the company swings to a first quarter net income of $25.9 million compared to a loss of $1.4 million in the first quarter of 2020.

What the CEO said: “As expected, the first quarter reflected earnings growth in each of our three business segments,” said Koppers President and CEO Leroy Ball. “PC continues to be the driving force as the North American home improvement market sees sustained, healthy demand and a strong backlog of projects.”

Company info: Click here to read the full first quarter 2021 financial report from Koppers.