Armstrong Reports Fourth Quarter Profit

Lancaster, PA, Feb. 27, 2012 -- Armstrong World Industries reported fourth quarter net income of $8.5 million, compared to a net loss the previous year of $21 million.

Net sales for the quarter rose 1.4% to $652.1 million, up $9 million.

Fourth quarter operating income was $21.6 million, up more than $50 million over the 2010 period.

Excluding approximately $3 million of favorable foreign exchange impact for the quarter, sales increased approximately 1% compared to the prior year period.

Resilient sales decreased while wood sales rose. The increase in net sales was driven primarily by better price and mix, Armstrong said.

Volumes were essentially flat in the Americas, declined in Europe, and grew in Asia. Armstrong restructured its European flooring business, which included the exit of the residential flooring business.

For the year, Armstrong reported net sales of $2.85 billion, up 3.4% from the previous year.

The company expects 2012 sales to be between $2.9 billion and $3.0 billion.

"While we have begun to see some positive economic indicators in the late part of 2011, overall economic signs continue to be mixed," said Tom Mangas, senior vice president and CFO.

For the quarter, resilient sales totaled $221.9 million, down from $229.3 a year ago. Wood flooring sales totaled $111.5 million, up from $107.8 million.