FMC Agricultural Solutions sales up 1% in 2016

FMC Agricultural Solutions’ revenue declined 6% year-over-year to $618 million in the fourth quarter of 2016, principally due to lower sales in Latin America and Europe, while segment earnings increased by 25% to $127 million, driven by FMC ability to maintain pricing, principally in Latin America, despite the strengthening of the U.S. dollar. 

Segment revenue for 2016 was $2.27 billion, a 1% increase compared to the prior year, while full-year segment earnings were $400 million, a 10% increase compared to the prior year. Segment earnings margin improved 140 basis points to 17.6%.

For 2017, full-year segment revenue is expected to be approximately $2.2 billion to $2.4 billion and full-year segment earnings are expected to be in the range of $410 million to $450 million, an increase of 8% at the mid-point compared to the prior year.  First quarter segment earnings are expected to be in the range of $60 million to $70 million, a decrease of approximately 20% at the mid-point compared to the prior year quarter.　Earnings growth in 2017 is expected to be driven by lower operating costs and higher volumes, offset partially by unfavorable foreign exchange.