Business
EcoSynthetix Reports 2014 Second Quarter Results
BURLINGTON, ON , July 31, 2014 /CNW/ - EcoSynthetix Inc. (TSX:ECO) ("EcoSynthetix" or ...
About this update from Ecosynthetix Inc.
[{"type":"text","content":"\n\n\nBURLINGTON, ON, July 31, 2014 /CNW/ - EcoSynthetix Inc. (TSX:ECO) (\"EcoSynthetix\" or the \"Company\"), a\n renewable chemicals company that produces a family of commercially\n proven bio-based products, today announced its financial results for\n the three and six months ended June 30, 2014. Financial references are\n in U.S. dollars unless otherwise indicated.\n\n\nSecond Quarter 2014 Highlights\n\n\n\nNet sales of $4.5 million for the three months ended June 30, 2014, (Q2\n 2014) compared to $5.5 million for the three months ended June 30, 2013\n (Q2 2013)\n\n\nIntroduced EcoSphere 2330, a new grade of biolatex, at PaperCon 2014,\n the seminal paper and paperboard event in North America\n\n\nAppointed Jeff MacDonald as Chief Operating Officer with\n responsibilities for business development, sales, operations and\n product development activities.\n\n\n\n\"We continue to increase our substitution rates within our North\n American customer base and we are experiencing a recovery in margins\n from last year's historic lows due to improved raw material prices.\n However, continued softness in butadiene prices impacted top line sales\n in the period,\" said John van Leeuwen, Chief Executive Officer of\n EcoSynthetix. \"In order to return to the growth trajectory we expect\n from the business we are focused on three core areas: converting mill\n trials into customers within the paper and paperboard market, expanding\n into new markets - specifically building materials, and leveraging the\n power of our proprietary technology by developing new applications to\n expand our pipeline and drive growth. Our product development team\n continues to make strong progress in the development of new products\n which will provide a strong foundation for future growth.\"\n\n\nFinancial Summary\n\n\nNet Sales\n\n\nNet sales for the three months ended June 30, 2014 (Q2 2014) were $4.5\n million compared to $5.5 million for the three months ended June 30,\n 2013 (Q2 2013), a decrease of 18%. The decrease was principally due to\n lower sales volume in Asia Pacific of $1.1 million resulting from\n continuing unfavourable market dynamics caused by the oversupply of\n butadiene and the related drop in butadiene and SB latex prices.  EMEA\n sales decreased $0.7 million due to the negative impact of the closure\n of a customer's coated paper p...