Tuesday, October 21st16.4°C
23836

Potash Corp. of Saskatchewan reports lower Q2 net earnings, lower sales

SASKATOON - Potash Corp. of Saskatchewan (TSX:POT) raised its outlook for the year Thursday as it reported a second-quarter profit of $472 million.

The company said its second-quarter profit amounted to 56 cents per diluted share, compared with $643 million, or 73 cents per share, in the same quarter of 2013.

However, despite the drop, the results were better than PotashCorp's guidance in April for a profit of 40 to 45 cents per share for the quarter.

The average analyst estimate had been for a profit of 46 cents per share, according to Thomson Reuters.

Sales for the global crop nutrient company were $1.89 billion versus $2.14 billion year-over-year.

In its new outlook for the year, the company said it expected a profit for the full year of $1.70 to $1.90 per share, up from guidance in April for a profit of $1.50 to $1.80 per share.

The new forecast is based on a third-quarter profit of 35 to 45 cents per share and annual potash sales of 8.9 million to 9.2 million tonnes.

PotashCorp president and chief executive Jochen Tilk said robust global fertilizer demand helped the company's results for the quarter.

"Performance in all three nutrient segments improved from the beginning of the year and resulted in our second-quarter earnings exceeding the upper end of our guidance range," Tilk said in a statement.

"Although results were below those of the same period last year, an improving price environment and — in the case of our potash and nitrogen businesses — cost efficiencies contributed to our bottom line."

The price of potash was hit hard last year due to uncertainty caused by the collapse of a Russia-Belarus marketing cartel last August and lower customer demand amid China's economic slowdown.

PotashCorp said Thursday that its average realized potash price for the quarter was $263 per tonne, down from $356 per tonne in the same period last year.

However, the company noted due to improving market fundamentals through the first half of this year the average realized price was up $13 per tonne relative to first-quarter 2014.

The Canadian Press


Read more Business News

23104


Recent Trending




Today's Market
S&P TSX14547.71+209.94
S&P CDNX822.2810.93
DJIA16614.81215.14
Nasdaq4419.479+103.404
S&P 5001941.28+37.27
CDN Dollar0.8908+0.005
Gold1249.70+5.00
Oil82.09+0.71
Lumber330.20-0.70
Natural Gas3.697+0.027

 
Okanagan Companies
Pacific Safety0.100.00
Knighthawk0.01-0.005
QHR Technologies Inc1.17+0.05
Cantex0.055-0.025
Anavex Life Sciences0.192+0.001
Metalex Ventures0.045-0.005
Russel Metals33.09+0.81
Copper Mountain Mining2.17+0.18
Colorado Resources0.150.00
ReliaBrand Inc0.012+0.0009
Sunrise Resources Ltd0.060.00
Mission Ready Services0.46+0.01

 





FEATURED Property
2092893For SALE or TRADE
$339,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


Keep it rubber side down

This time of year, I always worry about which friends of mine will get caught going off the road in adverse weather conditions. With a little preparation most accidents can be avoided. Having won the...


Big bank predicts rate hike

Photo: Thinkstock.comThe end of record-low rates is nigh, according to one major bank, which has taken a stance and predicted when the Bank of Canada will raise its long-standing overnight rate. &ldq...


Experts share strategies in Kelowna

The third week in October is “Small Business Week”, a week dedicated to supporting local, small businesses. The week was designed to bring awareness to Canadians about the role small busin...

_



23803

23803


Member of BC Press Council


23121