Atlanta, GA, April 28--Georgia-Pacific reported a higher first-quarter profit as price increases helped offset higher raw material costs across its businesses.
Net income rose to $205, or 78 cents a share, compared with $147 million, or 57 cents, a year earlier.
Before items, the Atlanta-based company earned 78 cents a share. On that basis, analysts on average expected 72 cents, according to Reuters Estimates.
Sales fell to $4.6 billion from $5.2 billion a year earlier. But excluding sales from its building products distribution business that was sold in May last year, sales rose 6 percent.
The company said prices remained strong across all North American businesses. Prices for structural panels for housing were down on a year ago but this was offset by higher prices in all other building product businesses.
Higher manufacturing costs across the company in energy, fiber and chemicals counterbalanced some of the gain from the improved prices.
"We will continue to focus on implementing announced price increases and mitigating higher costs with improved operating efficiencies," said Chief Executive Pete Correll.
