Armstrong registers an unfavorable impact from Q4

Armstrong World Industries experienced a broad setback in the fourth quarter ended Dec. 31,

Net sales for the quarter were down 1.7% to $577.4 million, with net income going into the red to a loss of $11.4 million (compared to positive income of $10.6 million in the year-ago period).

Operating income from continuing operations was down 76% year-over-year, which the company attributed to separation costs related to its flooring business and higher non-cash U.S. pension expense.

Additionally, fourth-quarter adjusted EBITDA from continuing operations was down 6% to $76 million.

Things panned out similarly over the full-year period, with net sales of $2.4 billion down 3.8% from 2014's figure. Full-year operating income of $187.4 million was down 21.6% year-over-year.

However, adjusted EBITDA was up slightly to $391 million from $390 million.

"Volume improvement in the fourth quarter in both our U.S. flooring and ceilings businesses helped us to deliver full year adjusted EBITDA of $391 million, just over the high end of our guidance range," said Matt Espe, CEO. "We also made significant progress towards the separation of our flooring and ceilings businesses, and I am pleased to report that we are now targeting April 1st as the closing date for the transaction."