Chemtura agrochem sales rose slightly in Q2

Chemtura AgroSolutions’ net sales increased 1.8% to $112 million in the second quarter of 2012 ended June 30, due to higher sales volume and selling prices, but offset by unfavorable foreign currency translation. Embedded within net sales are the benefits of new products and product registrations. Operating income reflected the benefit of reductions in bad debt expense and the improvements in cost base following a restructuring that was implemented in the latter part of 2011.

Net sales were ahead of prior year in all regions except Europe where net sales were marginally lower than the second quarter of 2011 after adjusting for the impact of unfavorable foreign currency translation, primarily due to the weaker euro. This volume decrease was primarily due to the impact of the colder than normal winter in Europe on one of key crops, oil seed rape. Operating income increased $11 million reflecting $12 million in lower SGA&R costs coupled with the $2 million in higher selling prices, partly offset by a $2 million impact from unfavorable foreign currency translation and a $1 million increase in other costs.

Sales of AgroSolutions segment in the first half year went up 6.5% to $197 million and operating income increased $ 19million or 135.7% to $34 million. The company expects AgroSolutions segment will continue to benefit from innovation as well as the improvements in its regional distribution channels.

Chemtura AgroSolutions’ sales result ($million)
Q2 ended June 30th	Q2 2012	Q2 2011	% change	H1 2012	H1 2011	% change
Sales	112	110	+1.8	197	185	+6.5
Operating profit	23	12	+91.7	33	14	+135.7