Libbey reported a rise in sales in the fourth quarter, although its net loss widened.
The company said net sales increased 6.7% to $224 million for the fourth quarter ended December 31, compared to $205.8 million in the prior-year fourth quarter. Net sales in the U.S. and Canada segment increased 8.2%, driven by segment volume and favorable price and mix of product sold in the food service channel.
Net loss in the fourth quarter was $7.2 million, compared to a net loss of $2.2 million in fourth quarter of 2016. The fourth quarter included a $6.7 million unfavorable revaluation of net deferred tax assets as a result of the latest U.S. tax reform.
“We were pleased to see the business return to sales growth during the fourth quarter. This and several other performance indicators give us confidence that our strategies to drive long-term, profitable growth are gaining traction,” said William Foley, CEO, Libbey.
According to Foley, the company saw improved sales contributions from both its new e-commerce platform and new products during the fourth quarter. Profitability in its EMEA and Latin America segments also improved for a second consecutive quarter.
For the full year 2017, net sales were $781.8 million, compared to $793.4 million for the full year 2016, a decrease of 1.5%. Net sales in the U.S. and Canada segment were lower due to lower price and mix of product sold, partially offset by increased volumes and a favorable currency impact.
Net loss for the full year 2017 was $93.4 million, compared to net income of $10.1 million during full year 2016. The current fiscal year included a $79.7 million non-cash goodwill impairment charge associated with the Latin America segment, and a $6.7 million charge related to the revaluation of net deferred tax assets as a result of the latest U.S. tax reform.