Univar Solutions Inc. reported a fall in profit for the fourth quarter and full year of 2019. The results were impacted by reduced demand in global industrial markets.
In the fourth quarter, the company reported sales of $2.2 billion, up 9.3% compared to the prior year quarter. The company reported a loss of $55.1 million, compared to a profit of $1.2 million for the same period the prior year.
Contribution from the Nexeo buyout was partly offset by reduced demand for chemicals and ingredients from global industrial markets, softness in the energy markets and chemical price deflation in the United States, Canada and EMEA.
Revenues at the USA division rose around 17% year over year on a reported basis to $1,353.9 million in the quarter, driven by the contributions of the Nexeo acquisition, partly masked by chemical price deflation and reduced demand for chemicals. Gross profit rose around 23% year over year, aided by favorable product and end-market mix.
Revenues at the Canada segment fell roughly 3% year over year to $256.2 million, impacted by weakness in the Canadian energy markets and chemical price deflation. Gross profit rose around 9% year over year.
The EMEA segment raked in revenues of $418.9 million, down around 8% year over year, hurt by chemical price deflation. Gross profit was down around 4% year over year.
Revenues from the LATAM unit rose roughly 36% to $126 million. Gross profit jumped around 73% year over year. The segment gained from the Nexeo acquisition and an increase in Mexico’s energy sales.
Full-Year Results: Full year sales for 2019 were $9.3 billion, up 7.6% from 2018. The company reported a loss of $100.2 million, compared to a profit of $172.3 million the prior year.