) consolidated adjusted earnings for fourth-quarter 2013 were
$1.05 per share, surpassing the Zacks Consensus Estimate of 95
cents and also exceeding the year-ago adjusted earnings of 77
cents per share. Adjusted earnings exclude charges of 85 cents
per share, mainly related to the sale of the Peroxygens
Consolidated profit, as reported, slid 73.5% year over year to
$27.1 million (or 20 cents per share) from $102.2 million (or 74
cents a share) a year ago, hurt by sizable charges.
For full-year 2013, adjusted earnings increased 14% year over
year to $3.88 per share. It exceeded the Zacks Consensus Estimate
of $3.79 per share.
Revenues rose roughly 24% year over year to $1,130.7 million
in the reported quarter. It beat the Zacks Consensus Estimate of
$1,046 million. For 2013, revenues increased 14% year over year
to $3,874.8 million, but missed the Zacks Consensus Estimate of
Revenues from the Agricultural Solutions division jumped 38%
year over year to $677.7 million in the reported quarter on the
heels of continued market penetration in Brazilian soybean
applications, new products and strong demand due to higher cotton
acreage. Early season demand in North America also led to
increased sales volumes for pre-emergent herbicides and
Health and Nutrition segment's sales rose 13% to $189.8
million in the quarter on higher volumes of colloidal
microcrystalline cellulose and pharmaceutical binders. Segment
profit increased 13% to $40.4 million, but was lower than the
previous guidance due to a delayed startup of the Seals Sands
omega-3 production facility in the U.K. However, the plant is
currently operational and is expected to deliver initial sales in
the first quarter of 2014.
Revenues from the Minerals unit went up 3% to $263.2 million.
Profit slipped 18% year over year to $36.2 million. During the
quarter, Alkali Chemicals completed the move of its long-wall
operations into a new section and achieved sequentially higher
Asian soda ash pricing. Increased soda ash volume and improved
pricing was offset by costs associated with the long-wall
Cash and cash equivalents as of Dec 31, 2013, were $123.2
million compared with $77.1 million as of Dec 31, 2012, up 60%.
Long-term debt rose 27% year over year to $1,154.1 million.
For 2014, FMC Corp. expects adjusted earnings to be in the band
of $4.35 to $4.55 per share, representing a 15% year-over-year
rise at midpoint of the range.
FMC Corp. expects above-market rate growth to continue into
2014 for its Agricultural Solutions segment. It forecasts
full-year segment earnings to increase in mid-teens clip over
2013 driven by favorable market conditions, continued market
share gains and new product introductions.
FMC Corp. expects growth from food and pharmaceutical
ingredients, mainly in emerging markets, in 2014. Earnings are
anticipated to increase in mid-teens clip versus 2013. FMC
expects earnings in Minerals segment to increase in high-teens
clip as a result of improved operating performance from both
Lithium and Alkali Chemicals.
FMC Corp. is a leading diversified chemical company, serving
agricultural, industrial, environmental and consumer markets
across the globe.
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FMC Corp. currently retains a short-term Zacks Rank #3 (Hold).
Some better-ranked stocks in the chemical industry include N
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