Kraton Corporation (KRA) Tops Q4 EPS by 9c

February 24, 2021 4:43 PM EST

News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.

Kraton Corporation (NYSE: KRA) reported Q4 EPS of $0.23, $0.09 better than the analyst estimate of $0.14. Revenue for the quarter came in at $406.8 million versus the consensus estimate of $357.96 million.

OUTLOOK:

Following a significant demand contraction in the first half of 2020 associated with the adverse impact of COVID-19, we experienced demand recovery in the second half of the year. In 2020, we delivered approximately $20.0 million of run rate cost savings which will largely offset 2021 cost inflation, and we expect to deliver additional cost savings in 2021.

Based upon our current market view, we expect growth in our core business of 5% to 7%. However, we expect to incur approximately $15.0 million of costs in 2021 largely associated with a significant statutory turnaround at our Berre, France, plant, which occurs approximately every six years. We expect to incur the majority of the costs for the Berre turnaround in the first half of 2021.

On a full-year basis, we currently expect 2021 Adjusted EBITDA to be at least on par with our 2020 Adjusted EBITDA, after adjusting for the Cariflex stub period that contributed approximately $10.0 million in 2020, or approximately $252.0 million.

For earnings history and earnings-related data on Kraton Corporation (KRA) click here.



Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

Earnings, Guidance

Related Entities

Earnings