14th Apr 2020 08:39
(Alliance News) - APi Group Corp on Thursday last week reported a swing to loss in the fourth quarter of 2019 as well as for the whole year.
The stock was trading 1.0% lower at USD8.80 each on Tuesday morning in London.
For the three months to the end of December, the manufacturer of specialist foils and packaging materials posted an operating loss of USD138 million, swinging from a profit of USD13 million a year earlier, with the deterioration blamed on transaction-related and exceptional expenses in the period. Net revenue was down at USD985 million from USD992 million
Gross margin declined to 20% from 22% in the quarter to the end of 2018.
For all of 2019, API Group posted a 9.8% rise in net revenue at USD4.1 billion. The company reported operating loss of USD59 million, swinging from a profit of USD162 million the year prior. The net loss for the year was USD67 million, swinging from 2018's net income of USD136 million, due to higher transaction-related and non-recurring expenses.
Annual gross margin was 19.6%, down year-on-year from 21.1%
Looking ahead, Chief Executive Russ Becker said: "Facing the worldwide shock wave of Covid-19 has brought out the best in APi's culture and our leadership organization. The safety, health and well-being of all our employees remains paramount, and we will continue to be proactive in taking measures that we expect to help protect our business and all of our constituencies."
By Ife Taiwo; [email protected]
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