Glatfelter Reports Strong Results – Nonwovens Industry Magazine

Glatfelter reported earnings from continuing operations for the third quarter of 2021 of $ 8.1 million, up from $ 6.5 million for the same period a year ago. The 2021 results include the prospective acquisition of the US nonwovens business of Georgia-Pacific (“Mount Holly”) from May 13, 2021, the acquisition date. Consolidated net sales for the quarter ended September 30, 2021 were $ 279.7 million, compared to $ 233.5 million for the same period in 2020. At constant exchange rates, net sales of composite fibers and Airlaid materials (including Mount Holly) increased 3.4% and 39.5%, respectively.

Airlaid Materials net sales increased by $ 40.5 million year-over-year, driven by the full first quarter of Mount Holly sales as well as higher selling prices thanks to the agreements passing on costs to customers. Shipments increased 25.2% driven by Mount Holly as well as improved demand for tableware and wipes, slightly offset by lower shipments of hygiene products. Currency conversion was favorable by $ 0.5 million.

“Airlaid Materials performed strongly in the quarter due to improved demand for wipes and tableware, which exceeded expectations. Our contractual cost pass-through agreements with customers offset most of the inflationary pressures, while increased shipments, coupled with an improved product lineup, supported operating profit growth and favorable margins, ”said said Dante C. Parrini, President and CEO. “As headwinds of inflation dominated the global economy, our composite fiber segment continued to increase prices. Although we managed to improve prices by almost $ 6 million to offset rising input costs, the third quarter brought additional inflation and significant increases in energy prices that negatively impacted the profitability.