Ameron's consolidated sales increased to $134.2 million in the third quarter of 2010, compared to $131.4 million in the third quarter of 2009.

“We are pleased by the third-quarter profitability, especially given difficult market conditions," says James S. Marlen, Ameron Chairman, CEO and President. "Overall, improvements by Water Transmission and Infrastructure Products were offset by a decline by Fiberglass-Composite Pipe. Fiberglass-Composite Pipe experienced a shift to lower-margin industrial projects and increased raw material costs.”

Third quarter sales in the company's Fiberglass-Composite Pipe Group’s were up 6% to $60.1 million, but income fell 13% to $14.8 million in 2010, compared to 2009. The pipe business' third-quarter sales increased in key onshore oilfield and mining markets in North and South America, but sales from Asian operations into marine and offshore energy exploration and production markets fell and were replaced by lower-margin industrial sales. In Brazil, sales growth came from the municipal water markets and from the new Centron operation which produces onshore oil field piping. Ameron notes that profits declined throughout the group as a result of higher raw material costs. 

“While 2010 continues to be challenging, we are pleased with third-quarter results and are cautiously optimistic for the balance of the year," says Marlen. "The company will be led by the Fiberglass-Composite Pipe Group and constrained by the cyclical, construction-related businesses. We are focusing on controlling costs to maximize profits in spite of weak markets and are actively reviewing all operations for improvements."
 
Ameron (NYSE: AMN) is a leading producer of water transmission lines and fabricated steel products; glass fibre composite pipe for transporting oil, chemicals and corrosive fluids and specialised materials; and products used in infrastructure projects.