Ashland Q3 Profit Down - Quick Facts

(RTTNews) - Ashland Inc. (ASH) reported that its third-quarter net income decreased to $124 million or $1.55 per share, from $151 million or $1.90 per share in the same quarter last year.

Net income from continuing operations was $117 million or $1.47 per share, compared to $160 million or $12.00 per share last year.

The latest-quarter results included several key items that together reduced income from continuing operations by approximately $15 million, net of tax, or $0.19 per diluted share. The largest key item was a $10 million after-tax charge from adjustments made to environmental reserves primarily related to legacy non-operating sites.

Excluding all key items, adjusted earnings per share continuing operations declined to $1.66 from $2.04 per share in the year-ago quarter. These adjusted results include a non-cash write-down of $17 million, or $0.16 per share, on elastomers inventory within Ashland Performance Materials.

Analysts polled by Thomson Reuters expected the company to report earnings of $1.84 per share for the quarter. Analysts' estimates typically exclude special items.

Sales for the quarter declined to $2.059 billion from $2.141 billion in the prior year quarter. Six analysts had consensus revenue estimate of $2.06 billion for the quarter.

The company also announced that it is exploring strategic alternatives for Ashland Water Technologies, including a potential sale of the business. The company has retained Citi to assist in this process and intends to evaluate all options.