Perimeter Solutions SA’s oil additives business reported lower earnings and sales for the fourth quarter and lower earnings and higher sales for the full year of 2021.
Oil additives’ adjusted earnings before interest, taxes, depreciation and amortization fell 17% to $5.6 million for the fourth quarter, compared with $6.7 million in the same period in 2020. Fourth-quarter oil additives’ sales declined 11% to $22 million, down from $24.8 million.
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For the full year, oil additives’ EBITDA was down 2% at $23.6 million, compared with $24 million in 2020. In 2021, oil additives sales rose 7% to $101.2 million, improving from $94.6 million.
Based in Clayton, Missouri, the company’s oil additives business produces and sells phosphorus pentasulfide that is primarily used in the preparation of lubricant additives, including zinc dialkyldithiophosphates that provide critical anti-wear protection to engine components. Perimeter Solutions manufactures the chemical at plants in Sauget, Illinois, and in Hurth, Germany, and claims to be the only phosphorus pentasulfide supplier with a global footprint.
Perimeter Solutions’ other business, fire safety, consists of formulating, manufacture and sale of fire retardants and firefighting foams that assist in combating various types of fires. In June 2021, EverAcr Holdings Ltd. acquired the Perimeter Solutions business from SK Capital Partners. Perimeter Solutions was established in 2018 when SK Capital Partners purchased the business from Israel Chemicals Ltd., known as ICL. In 2013, ICL acquired the phosphorus pentasulfide business of Thermphos International, creating a global footprint for that business.