H.B. Fuller Co. recently reported financial results for the third quarter that ended August 30, 2014. Net income for the quarter was $4 million, compared to $27.2 million in last year’s third quarter.
Net revenue for the quarter was $526.8 million, up 2.4% vs. last year’s third quarter. Higher volume and foreign currency translation positively impacted net revenue growth by 2 and 1.1 percentage points, respectively. Organic revenue grew by 1.3% year-over-year.
“The delayed and costly execution of our SAP project in North America and European business integration project led to disappointing and unacceptable results this quarter,” said Jim Owens, president and CEO. “We entered this fiscal year with plans that by the third quarter we would complete a major project in Europe, initiate a major systems upgrade project in North America, improve our organic growth rate and, at the same time, improve our margins and take another significant step forward toward our 2015 strategic goals. Our commitment and confidence in achieving our long term goals is clear and confirmed; however, the achievement of these goals will be delayed. We invested heavily this quarter to minimize disruptions to our customers and preserve our strong relationships, and we took decisive actions to accelerate the completion of our major projects and move to normal operating conditions. More work is to be done in the fourth quarter, but we expect our intensified focus on completing these projects will lead to improved operating performance in the fourth quarter and pave the way for a strong 2015.”
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