Arysta LifeScience sales up 14% in Q1 2018

Arysta LifeScience (the Agricultural Solutions segment) net sales increased 14% to $472 million in the first quarter of 2018. Organic sales increased 6%. Arysta LifeScience adjusted EBITDA was $95 million, an increase of 5%.  On a constant currency basis, adjusted EBITDA decreased 8%.

Chief Executive Officer Rakesh Sachdev said, “Our first quarter results demonstrated strong sales growth bolstered by healthy end-markets, solid execution and a translational currency tailwind.  In our Performance Solutions business, net sales grew as our end-markets are generally robust and our teams continue to execute well.  In our Ag business, we saw a strong continuation of the season in Brazil and a healthy start of the season in North America and Southern Europe, offset partially by a cold spring in Eastern Europe.  In both businesses, we saw margin pressure from product mix and inflation in our raw materials.  We have seen the inflationary commodity environment in late 2017 continue into 2018, and our businesses continue to take actions to offset this pressure.  We remain confident with respect to our adjusted EBITDA margin expansion goals for 2018."

Mr. Sachdev continued, “Our outlook for the remainder of the year is optimistic given healthy end-markets in our Performance Solutions segment and improving end-markets in Agricultural Solutions.  We are reaffirming our full year adjusted EBITDA guidance in the range of $870 million to $900 million in that context.”

“Progress against our separation continues with momentum.  We remain committed to this path to create two standalone businesses with terrific market positions, growth trajectories and management teams. Strategically, we believe each of these companies will be better positioned to deliver value to their customers, and we remain confident that our shareholders should benefit from value creation from the separation.”