MSA Safety announces second quarter results of 2020

by Americas - Events

Global safety equipment manufacturer MSA Safety Incorporated has reported their results for the second quarter of 2020.

Quarterly Highlights

  • Revenue was $314 million, decreasing 10 percent from a year ago on a reported basis and 8 percent on a constant currency basis.
  • GAAP operating income was $48 million or 15.4 percent of sales, compared to $54 million or 15.6 percent of sales in the same period a year ago. Adjusted operating income was $59 million or 18.7 percent of sales, compared to $64 million or 18.4 percent of sales in the same period a year ago.
  • GAAP earnings were $36 million or $0.92 per diluted share, compared to $40 million or $1.01 per diluted share in the same period a year ago. Adjusted earnings were $44 million or $1.11 per diluted share, compared to $48 million or $1.22 per diluted share in the same period a year ago. Adjusted earnings include $0.03 per share of headwind from higher non cash pension expense, in line with the company’s expectations.
  • Operating cash flow was $69 million, nearly doubling from a year ago on strong working capital management and lower product liability payments. MSA paid down $37 million of debt, funded $17 million of dividends, and invested $13 million in capital expenditures in the quarter.
  • MSA’s debt balance was $335 million at quarter end, reflecting 1.2x adjusted EBITDA on a gross basis or 0.7x adjusted EBITDA on a net basis. With more than $136 million in cash and significant room available under its current debt covenants, the company has ample liquidity and flexibility to maintain its balanced capital allocation strategy.

Comments from Management

“Our second quarter results reflect strong execution and a resilient business model in a challenging environment,” said Nish Vartanian, MSA Chairman, President and CEO.  “Our diversified portfolio and continued focus on productivity yielded adjusted operating margin expansion of 30 basis points. It’s particularly noteworthy that we achieved this level of margin performance on lighter sales volume,” he said. Mr. Vartanian added that in addition to lower discretionary costs, strategic growth and profitability improvement programs supported the strong performance. “The returns from our investments in our respirator manufacturing capabilities, combined with solid execution of our International segment margin improvement programs, were clear highlights of the quarter.”

The company’s quarterly results include 63 percent revenue growth in air-purifying respirators. “In response to the global shortage of personal protective equipment, we have started to make investments to ramp up and modernize our manufacturing operations associated with the air-purifying respirator side of our business,” Mr. Vartanian explained.  “These investments will help us improve lead times for our existing industrial and first responder customers, while positioning MSA to respond to potential growth opportunities.”  He added that the company’s unwavering mission of protecting people at work, in an ongoing pandemic environment, is more relevant than ever before.

In MSA’s International segment, profitability improvement programs helped drive adjusted operating margin expansion of 310 basis points in the quarter and 240 basis points for the year to date. “Our focus on price realization across MSA International is supporting gross profit improvements, and previously executed restructuring programs are enabling operating expense leverage,” said Mr. Vartanian.

Mr. Vartanian noted that business conditions remain challenging and a number of external factors could impact how the second half of 2020 unfolds for the company.  “While we expect a tough environment in the near term, we continue to focus on leveraging our diversified portfolio, controlling discretionary costs, and investing in long-term growth and productivity programs that will position MSA to emerge from this downturn as an even stronger organisation,” he concluded.

ADIPEC 2020 to be held virtually from 9-12 November due to COVID-19 restrictions

by EventsMiddle East - Featured News Archives

dmg events, organiser of the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC), and with the support of its strategic partner and host, the Abu Dhabi National Oil Company (ADNOC), has announced that the ADIPEC Strategic and Technical Conference will take place virtually between November 9 and 12, 2020.

This follows a directive from Abu Dhabi’s Department of Culture and Tourism that events should not take place in light of Covid-19 restrictions. The next full in-person annual exhibition and conferences will take place from November 8 to 11, 2021.

The decision to hold an online event ensures the ADIPEC Strategic and Technical Conferences will continue to provide the thought leadership that will frame the future oil and gas landscape and connect global organisations to shape the industry’s future.

Omar Suwaina Al Suwaidi, Chairman of ADIPEC said: “Despite the global challenge of COVID-19, we are delighted the ADIPEC strategic and technical conferences will take place virtually this year, enabling leaders from across the oil and gas industry to come together to share ideas and connect on a range of key industry trends, challenges, and opportunities.

“The health and welfare of all ADIPEC participants is our highest priority and we look forward to welcoming all visitors to the full in-person exhibition and conference at ADIPEC 2021. As we look to the future, collaboration, technology and innovation will be essential levers as we continue to identify new smart growth opportunities across the global energy landscape.”

ADIPEC is an annual global industry event that attracts world energy leaders to discuss and debate the future of global energy markets, geopolitics, and technology. Held for over thirty-five years, ADIPEC underpins Abu Dhabi as a global energy hub in bringing together the best of minds at a government and industry leadership level including senior academics, technology innovators and financial leaders.

dmg events Global Energy President, Christopher Hudson said: “We are committed to ensuring ADIPEC remains at the heart of the global oil and gas landscape, driving forward the conversations, collaborations, and connections that address key challenges and fuel innovative ideas and strategies that shape the industry.

“By staging a concentrated and abridged virtual conference program this year, ADIPEC will utilise cutting edge technology that has evolved exponentially over the last 4-5 months, to ensure the industry and its community has a voice to discuss and share the learnings of this year and into the future.”

Khalifa Yahweel Al Qubaisi, Chief Commercial Officer at the Abu Dhabi National Exhibitions Company (ADNEC), stated: “The Abu Dhabi National Exhibitions Company always co-ordinates closely with its partners to find optimal solutions that ensure the competitiveness of events which it hosts on both the local and international level. In order to ensure the health and safety of exhibitors and visitors, which is our company’s foremost priority across our operations, it was agreed with the organisers of ADIPEC to postpone the activities of this year’s exhibition to 2021.”

He added: “We look forward to welcoming the upcoming ADIPEC 2021 exhibition at the Abu Dhabi National Exhibition Centre. Our teams are currently developing a wide range of programmes that will improve exhibitor’s and visitor’s experience at this important event, ensuring to exceed their expectations and provide leading sector-based standards.”

Marking its 10th anniversary milestone this year, ADIPEC Awards 2020 will be presented in an immersive and interactive virtual awards experience in November 2020.

Fatema Al Nuaimi, Chief Executive Officer of ADNOC LNG and ADIPEC Awards Chairperson commented: “I am pleased we will be virtually staging this year’s awards and I am confident the progress and enhancements made to the ADIPEC Awards will magnify the value, prestige, and visibility of the ADIPEC Awards for years to come”.

As the organisers and ADNOC look to the 2021 edition, the event will retain its position as the premium event partner of choice and market leader within the global energy event industry, with ADIPEC 2021 promising a powerful platform for industry stakeholders and its value chain to display their innovation, launch new products, strike partnerships and conduct business that will fast track their recovery and highlight pathways to a successful future.

Held under the patronage of His Highness Sheikh Khalifa Bin Zayed Al Nahyan, President of the UAE ADIPEC 2021 will take place at the Abu Dhabi National Exhibition Centre (ADNEC). ADIPEC is hosted by Abu Dhabi National Oil Company (ADNOC) and supported by the UAE Ministry of Energy and Infrastructure, the Abu Dhabi Chamber, and the Abu Dhabi Tourism and Culture Authority.

www.adipec.com/

DuPont publishes 2020 Sustainability Report

by Projects

DuPont has announced the release of its 2020 Sustainability Report, which is the first for DuPont de Nemours, Inc. (following its separation from DowDuPont), and covers integrated activities during the calendar year 2019.

DuPont’s innovation culture and diverse portfolio position the company to deliver science-based solutions that create sustainable, positive societal change and competitive advantages in essential areas such as clean water, health and safety, high- speed connectivity, and automotive electrification. Among the many ways the company’s competitive differentiators are being harnessed to create social and environmental advantage are its investment in advanced technologies for 5G networks to support more connected, sustainable communities, and DuPont’s AHEAD™ automotive program, which will help accelerate the transportation industry’s transformation to hybrid and electric vehicles.

DuPont’s 2030 Sustainability Goals underscore the importance of bringing sustainable innovations to market and draw inspiration from the United Nations Sustainable Development Goals (UN SDGs), which help to gauge what the biggest market drivers will be in the years to come and chart a clear path ahead for its businesses.

“At the end of 2019, we announced our 2030 Sustainability Goals—nine ambitious, long-term goals developed to amplify our company’s contributions in areas that are critically important to our stakeholders and society,” said Alexa Dembek, DuPont Chief Technology & Sustainability Officer. “In this, our first sustainability report, we introduce our roadmap to meet our goals, hold ourselves accountable, and track our progress. You’ll read about how we engage our colleagues and the communities we live in by empowering people to drive change and be part of the solution. While the report tracks 2019 performance, this commitment is especially visible right now, as we find new ways to secure the health and safety of our own teams, recommit to our responsibilities to assure racial justice for Black Americans, and partner with fellow industry leaders to provide the protective equipment frontline workers, including many of our own, need to combat the pandemic.”

Highlights of the company’s 2019 performance include: 

  • In our operations, we continue to deliver world-class health and safety performance. In 2019, 75 percent of DuPont sites achieved zero injuries and/or illnesses, which is the best safety performance our businesses have ever recorded.
  • We are advancing water security, availability and quality worldwide through our filtration and purification technologies, and we’ve expanded our capabilities with strategic acquisitions of Memcor, Inge, Desalitech and OxyMem.
  • We partnered with Habitat for Humanity International to provide safe, affordable, and energy-efficient housing for people in need worldwide. In the second half of 2019, 400 DuPont employees donated more than 2,550 service hours to Habitat projects in 16 communities across the U.S. and Canada.
  • We continue to affirm our commitment to address climate change as a member of the CEO Climate Dialogue, a collaboration between large companies and NGOs working together to advance effective climate legislation in the U.S.
  • We were named to the 2019 Bloomberg Gender- Equality Index (GEI), and for the sixth year in a row, scored a perfect 100 on the Human Rights Campaign’s Corporate Equality Index (CEI).  

“DuPont’s businesses and employees have a long history of improving the world through science-based innovation and that is reflected today in an approach to sustainability that empowers people everywhere to be agents of change,” said Ed Breen, DuPont Executive Chairman and Chief Executive Officer. “Our goals include achieving a more just and equitable world for all, which is why I felt it was so important to sign on to the Catalyst CEO Champions for Change, pledging to advance more women, particularly women of colour, into senior leadership positions and onto our board, and the CEO Action for Diversity & Inclusion pledge. In this period of profound global change and unprecedented health, economic, and societal challenges, I expect this first Sustainability Report will be the foundation for meaningful change, with DuPont innovation helping to lead the way to dramatic improvements on multiple fronts.”

https://www.dupont.com/about/sustainability.html