Bubble Wrap maker Sealed Air reported earnings Thursday that beat analysts’ forecasts despite a drag on sales from a stronger U.S. dollar and the loss of revenue from a business segment the company sold this spring.
For the three months ending June 30, the company reported earnings of $28.1 million, down from $60.1 million in the same period in 2014, according to a securities filing. Cutting into earnings was $111 million paid on debt reduction, the company said, as well as refinancing and restructuring costs.
On an adjusted basis, second-quarter earnings were 60 cents a share, topping the median estimate of Bloomberg-surveyed analysts, who had called for 53 a share.
Second-quarter sales were $1.79 billion, down 9.6 percent from the same period in 2014 but above the $1.77 Wall street consensus estimate. The company said the April sale of its foam trays and absorbent pads business, which generated about $214 million in revenue, decreased total sales in its food care segment by 5.8 percent, or $55.9 million.
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Currency had a drag on total sales of 10.1 percent, of $199 million, the company said. When the U.S. dollar strengthens against other currencies, it makes companies’ goods pricier abroad. The dollar has appreciated by almost 10 percent against the euro this year.
“Our second quarter 2015 performance demonstrates our continued focus on profitable growth and ongoing commitment to delivering innovative solutions to our customers,” Jerome Peribere, Sealed Air’s president and chief executive officer, said in the filing.
Sealed Air, a Fortune 500 company, has undergone a number of structural changes over the years to develop its business, which it divides into three segments: food care, Diversey Care and product care.
In April, the company bought a company called Intellibot Robotics, which develops robotic commercial floor cleaning machines. In 2011, Sealed Air purchased Diversey Care, a cleaning products company.
The company broke ground on its new Charlotte headquarters in June. The manufacturer has said it expects to have a workforce of 1,262 in Charlotte, with local hires making up about half, once it finishes moving from New Jersey into its new offices at LakePoint Corporate Center in early 2017.