nav Searchuser
Maxunitech Inc.
Beijing Multigrass Formulation Co., Ltd.

American Vanguard Reports Second Quarter and Mid-Year 2019 Resultsqrcode

−− Performance Affected By Unfavorable North American Weather

Aug. 16, 2019

Favorites Print
Forward
Aug. 16, 2019
American Vanguard Corporation (NYSE:AVD), announced financial results for the quarter and half-year ended June 30, 2019. 
 
Financial Highlights Fiscal 2019 Second Quarter – versus Fiscal 2018 Second Quarter
• Net sales of $113 million in 2019, compared with $107 million in 2018 
• Net income of $3.1 million in 2019, compared with $5.6 million in 2018 
• Earnings per diluted share of $0.11 in 2019, compared with $0.19 in 2018
• EBITDA  of $11.9 million in 2019, compared with $14 million in 2018
 
Financial Highlights Fiscal 2019 First Six Months – versus Fiscal 2018 First Six Months
• Net sales of $213 million in 2019, compared with $211 million in 2018
• Net income of $7 million in 2019, compared with $10.25 million in 2018
• Earnings per diluted share of $0.24 in 2019, compared with $0.34 in 2018
• EBITDA of $24.5 million in 2019, compared to $27.3 million in 2018
 
Eric Wintemute, Chairman and CEO of American Vanguard commented, “Our overall financial performance in this year’s second quarter and first half was significantly affected by widespread unfavorable weather in the U.S. Persistent cold and rainfall had a negative influence on our U.S. crop business particularly in both the Midwest and Southeastern regions, where there were planting delays, several million unplanted acres and sluggish crop protection procurement. By contrast, both our domestic non-crop and international businesses posted double-digit growth allowing us to record a 6% quarterly net sales increase over the prior year.”
 
Mr. Wintemute continued, “Our second quarter gross profit margin was 37% (versus 40% in 2Q2018) as we began moderating manufacturing output in order to achieve significant second-half inventory reductions. As you may recall, recent inventory levels have been driven largely by both the need to stock products in newly acquired businesses and the expedited purchase of goods from China to minimize tariffs. We expect that through inventory reduction and operating performance during the second half, we will be able to reduce debt by $50 million by year end.”
 
Mr. Wintemute concluded, “As indicated in our earlier announcement, in the second half of the year, we expect solid performance from our soil fumigants, cotton harvest products and the Central and South American businesses. We reiterate our full-year 2019 guidance of approximately $500 million in net sales; gross profit margins around 38%; operating expenses near $155 million; interest expense at $8 million; and a comprehensive tax of 26%. Given the probable reduction of 2019 U.S. harvest results and reduced levels of our products in channel inventory, the domestic market may be poised for a rebound in 2020. We look forward to providing investors with additional information during our earning conference call.” 
 

Picture 0/1200

More from AgroNews

Magazine

2019 CRO & CRAO Manual 2019 Market Insight
2019 India Pesticide Suppliers Guide 2019 Biologicals Special
2019 Latin America Focus 2019 Formulation & Adjuvant Technology
I wanna post a press Comment

Subscribe 

Subscribe Email: *
Name:
Mobile Number:  

Comment  

Picture 0/1200

Subscribe to daily email alerts of AgroNews.