Platform Specialty Products Corp (NYSE:PAH) issued its financial report for the third quarter closed September 30, 2017. Net sales jumped 2% to $904 million over Q3 2016. GAAP fully diluted loss came at $0.24 per share; adjusted earnings stood at $0.17 per share, a jump 18%. The adjusted EBITDA surged 3% to $197 million over the same quarter, a year ago.
Platform Specialty reaffirmed FY2017 adjusted EBITDA projection range of $810 million to $830 million. Rakesh Sachdev, the CEO, expressed that the results for Q3 2017 showed their ability to grow irrespective of near term macro issues in some of their end-markets. In their Performance Solutions segment, continued industry demand for automotive and electronic components and an increased stabilization of their offshore energy operations helped lead mid-single-digit organic sales increase in the division.
In their Ag segment, they witnessed delayed purchasing activity led by drought problems in Brazil, which were partly offset by robust growth of crop protection offerings in North America. Mr. Sachdev added that their Q3 performance also showcased their consistent ability to follow against their business plans and cost management measures.
During the reported quarter, they witnessed adjusted EBITDA growth at an increased rate than net sales. Platform Specialty Ag business can enhance margins on a constant currency basis, irrespective of witnessing a sales drop. In their Performance Solutions segment, earnings jumped as an outcome of increased sales in most of their sustained cost synergy realization and business lines programs in spite of pressure from raw material rate jump and an unfavorable mix shift. For FY2017, the firm is reaffirming full year adjusted EBITDA projection of $810 to $830 million as it projects robust YoY growth in both business divisions.
In the last trading session, the stock price of Platform Specialty gained more than 1% to close at $9.95.