Zep swings to profit in fiscal first quarter

Cleaning chemicals manufacturer Zep Inc. swung to a profit in the fiscal first quarter, largely on restructuring initiatives and other cost controls. The Atlanta-based company reported a profit of $5.4 million, or 25 cents per share, compared with a loss of $1.5 million, or seven cents per share in the comparable prior year quarter. Sales in the quarter however, fell nearly two percent to $126.8 million from $129.2 million in the prior year. But that was partially offset by higher price tags for some of its products and double digit volume growth in its retail sales channel. The weak U.S. dollar also helped as foreign currency translations from international sales boosted the bottom line.