United Stationers Q4 Results Top Estimates

(RTTNews) - United Stationers Inc. (USTR) reported net income for the fourth quarter of $25.8 million or $0.67 per share, compared to $34.1 million or $0.85 per share for the year-ago quarter.

Excluding items, adjusted earnings per share for the fourth quarter increased to $0.88 from $0.86 in the same quarter last year.

Fourth quarter net sales rose 8.9% to $1.33 billion from $1.22 billion a year earlier, driven by solid organic growth and acquisitions of MEDCO and CPO in 2014.

Analysts polled by Thomson Reuters expected the company to earn $0.84 per share on revenue of $1.29 billion for the fourth quarter. Analysts' estimates typically exclude special items

The company also said that it is taking decisive actions to reposition the business, provide enhanced customer service, and create sustained long-term success.

In 2015, the company will invest an incremental $15.0 million to move to a common operating/IT platform that will simplify the customer experience and deliver operating cost savings.

The company said it will record a charge of about $9.0 million related to workforce and facility consolidations. The company expects savings of $6.0 million in 2015 and $10.0 million annually, beginning in 2016.

The company will also record non-cash charges of about $12.0 million for the impairment of intangibles related to rebranding and $12.0 to $16.0 million related to listing a non-strategic business for sale.