Buckeye Technologies Inc. has announced fourth quarter net income of $9.7 million. Net sales were $205 million for the fourth quarter of fiscal 2010, up 16% versus net sales of $177 million in the fourth quarter of fiscal 2009.
For fiscal year 2010, net sales were $756 million, up slightly from $755 million in fiscal 2009. Net income for the 2010 fiscal year was a record $115 million
Operating income for the specialty fibers segment was up $7.9 million in the fourth quarter compared to the same quarter a year ago, largely due to the return to profitability of the company’s Memphis cotton specialty fibers plant. The wood specialty fibers business benefited from higher fluff pulp prices, a favorable sales mix and lower input costs, but these improvements were offset by the impact of the June power outage and other scheduled maintenance outages that took place during the quarter.
Net sales in the specialty fibers segment were $149 million for the three months ending June 30, compared to $125 million for the same period last year. Net sales in the specialty fibers segment totaled $537 million for the year ending June 30, 2010 compared to $552 million in 2009.
Net sales in the nonwovens segment totaled $64 million for the three months enduing June 30, compared to $60 million for the same period last year. Net sales in the nonwovens segment amounted to $247 million for the year ending June 30, compared to $240 million in 2009.
Chairman and CEO John Crowe said, "Buckeye's fourth quarter results were good, showing improvement compared to the same quarter a year ago. While earnings were down from the third quarter, I was pleased with the overall performance given the negative impact of the June 17th power failure and resulting voltage surge at our Florida facility. It is times like this when you see the strength and can-do attitude of your organization, which succeeded in holding the outage to a total of five days. Strong customer demand and increased selling prices were not enough to offset the $4.2 million in lost absorption and expenses associated with the outage and recovery during the quarter."