Olin announces second quarter earnings.
Sales in the second quarter were $826.4 million, compared with $593.7 million in the same quarter of 2005. First half of 2006 sales of $1.55 billion increased from $1.15 billion in the first half of 2005.
"Sales increased by $232.7 million from the second quarter of 2005, due primarily to the impact of higher metal prices," said Joseph D. Rupp, Olin chairman, president and CEO. "Second quarter earnings of $0.45 per-diluted-share reflected continued strong performance from our Chlor Alkali business. Winchester's results improved substantially over the second quarter of 2005 and helped offset lower metals profits."
In the third quarter of 2006, Olin expects earnings to be in the $0.60 per-diluted-share range.
Winchester Ammunition's second quarter 2006 sales were $85.7 million, compared to $80.4 million in the second quarter of 2005. The increase reflects the combination of higher selling prices, which increased approximately $4 million year-over-year, and higher commercial volume, according to Olin.
Winchester's segment income in the second quarter was $3.3 million, compared to a breakeven level in the second quarter of 2005. Olin reports that the favorable impact of increased selling prices, higher sales volume and lower manufacturing costs more than offset the continued increase in commodity and other material costs.