Ecolab Posts Big Gains in Q4

Ecolab, St. Paul, MN, reported fourth quarter sales jumped 5% to a record $16. billion and net income surged 45% to $115 million. However, for the full year, sales declined 4% to $5.9 blllion and net income dropped 7% to $417 million.

Fourth quarter sales for Ecolab’s U.S. Cleaning & Sanitizing operations rose 4% to $676 million, led by double-digit gains from Kay and Healthcare. Ecolab’s U.S. Cleaning & Sanitizing operating income rose 29% to $125 million. Excluding the impact of the change in the Institutional distributor incentive program, U.S. Cleaning & Sanitizing sales increased 2% and operating income grew 19%.

U.S. Other Services sales declined 3% to $109 million in the fourth quarter. However, operating income increased 14% to $16 million.

Sales of Ecolab’s international operations, when measured in fixed currencies, rose 1% to $701 million in the fourth quarter. Canada and Asia Pacific enjoyed strong sales growth. Fixed currency operating income increased 5% to $64 million. When measured at public currency rates, International sales increased 8% and operating income grew 13%. Currency translation had a favorable impact on net income growth of approximately $3 million for the fourth quarter of 2009.