June 13, 2012
Agrium eyes to hit first-half targets on tight supply
As it benefits from strong global grain prices and tight supply, Agrium Inc. says it expects earnings for the first half of its fiscal year will be near or at the top end of its guidance range.
The Calgary-based fertiliser company expects earnings for the first six months of 2012 to be between US$5.50-6.10 diluted earnings per share. It projects second-quarter continuing operations earnings to be near the top of its range of US$4.18-4.78 diluted earnings per share.
The outlook does not include hedging gains or losses and share-based payments expenses.
"These impressive first half earnings are due to excellent results across our crop input business," said Mike Wilson, Agrium president and CEO.
The company sells fertiliser whole-sale globally and operates a North American retail operation.
The guidance assumes higher nitrogen and potash prices, but lower phosphate prices than during the corresponding period last year, as well as lower wholesale fertiliser sales volumes and lower margins in North America.