Viskase Companies, the US group which specialises in the production of cellulosic and nylon casings used in the preparation and packaging of processed meat products, has reported third quarter results slightly ahead of those registered in 2001.

Net sales were $48.7 million (€48.1m) for the three months ended 30 September 2002, a slight increase on the $48.5 million in 2001. For the first nine months, net sales were down 3.3 per cent to $138.4 million, reflecting "reduced worldwide selling prices for the company's cellulose casings".

The strengthening of the euro against the US dollar had a positive effect on nine month sales, however.

At the operating level, the company fell $2.9 million into the red for the three month period, a sharp fall compared to profits of $0.6 million for the same period of 2001. The decline was due to one-off costs of $2.4 million relating to the company's restructuring.

For the nine months, operating profits of $0.7 million compared with losses of $4.6 million for the same period of 2001, helped by a gain of $6.1 million as a result of the restructuring. Even without the gain, Viskase said that there had been an improvement in operating losses primarily from operating efficiencies generated by previous cost saving measures, reduced raw material and energy costs.