Revenue increased by 5% and earnings per share reached 58 cents
Sensient Technologies reported new first quarter records for revenue, operating income and earnings per share for the three months ended March 31, 2012. Diluted earnings per share were 58 cents, an increase of 9.4% over the 53 cents reported in last year's first quarter. Consolidated revenue increased 4.6% to US$365.7m in the first quarter compared with $349.7m reported in the same period for 2011.
Operating income for the quarter was $46.5m, an increase of 6.6% over the $43.6m reported in the first three months of last year. In local currency, revenue was up 6.3% and operating income was up 8.8% in the period.
Cash provided by operating activities was $9.0m in the first quarter of 2012 compared with $28.4m in the first quarter of 2011. Cash flow was affected by increases in working capital related to growth in revenue and inventory restocking.
’The company continues to perform very well,’ said Kenneth P. Manning, chairman, president and ceo of Sensient Technologies. ‘We achieved solid revenue and operating profit growth during the first quarter and we expect to sustain this level of growth, in local currency terms, for the rest of the year. We continue to see opportunities for growth, and I remain very optimistic about the company's future.’
Sensient has increased its guidance for 2012 diluted earnings per share, which is now expected to be between $2.50 and $2.59. The company's previous guidance had been a range of $2.48 to $2.58 per share.