Sector News

Eastman Chemical to boost production of performance films

June 6, 2017
Chemical Value Chain

Eastman Chemical Company EMN has declared plans to expand its Performance Films manufacturing capacity in Martinsville, VA.

The expansion will increase the capacity of both the paint protection films and window films and will drive growth of the LLumar and Suntek brands. The project is expected to be complete by late 2017. Performance Films is part of the company’s Advanced Materials business unit.

The expansion will be a state-of-the-art facility and will produce high performance films for the automotive and architectural markets. The expansion is Eastman Chemical’s largest project to date and will result in additional high-quality jobs for the Martinsville Henry County community. This expansion is in addition to the $40 million investment plan announced in Sep 2013.

This expansion will help to meet customer’s growing demand for window and paint protection films. The project will make Eastman Chemical’s manufacturing site in Henry County the world’s highest quality films products producer.

Prior to this, Eastman Company had launched a next generation paint protection film product line which provides the best-in-class combination of performance, aethestics and easy installation. This has ramped up adoption and acceptance among dealers and customers around the world.

Eastman Chemical has slightly outperformed the Zacks categorized Chemicals-Diversified industry over the past six months. The company’s shares have gained around 7.5% over this period, compared with roughly 7.2% gain recorded by the industry.

Eastman Chemical recorded adjusted earnings of $1.83 per share for the first quarter, up from $1.71 in the year ago-quarter. Earnings topped the Zacks Consensus Estimate of $1.74. Revenues rose around 2.9% year over year to $2,303 million in the quarter, beating the Zacks Consensus Estimate of $2,241 million.

The company remains focused on cost-cutting and productivity actions amid a challenging operating environment, which are expected to contribute around 50 cents to earnings per share in 2017. Further, the company expects adjusted earnings per share to grow 8-12% this year.

Eastman Chemical is also expected to gain from strategic acquisitions and capacity expansion actions. Moreover, the company remains committed to reduce debt and boost shareholders’ returns, leveraging healthy free cash flows. In 2017, it expects to generate solid free cash flow and return around $650 million to its shareholders.

Source: Nasdaq

comments closed

Related News

February 4, 2023

Eastman acquires performance films company Ai-Red Technology

Chemical Value Chain

Eastman Chemical Co. (Kingsport, Tenn.) announced it has acquired Ai-Red Technology (Dalian) Co., Ltd., a manufacturer and supplier of paint protection and window film for auto and architectural markets in the Asia Pacific region.

February 4, 2023

BASF and StePac partner on chemical recycling MAP packs to fight food waste

Chemical Value Chain

BASF and Israeli packager StePac have joined forces to create the “next generation” of fresh produce packaging. BASF will provide StePac with greater flexibility to advance contact-sensitive packaging formats to a higher sustainability standard by supplying StePac with Ultramid Ccycled – a chemically recycled polyamide 6.

February 4, 2023

TotalEnergies and Intraplás partner on food-grade renewable biopolymer production

Chemical Value Chain

TotalEnergies’ biorefinery in La Mède, France, allows direct access to renewable feedstock for its drop-in RE:newable polymer range derived from bio-based products. The company claims these polymers retain virgin-like properties.

How can we help you?

We're easy to reach