FMC Agricultural Solutions sales increased 6% in Q3 2017

Date:11-07-2017

FMC Agricultural Solutions reported third quarter revenue of $552 million and segment earnings of $118 million, a record third quarter earnings performance for the segment. Third quarter segment revenue grew 6 percent year-over-year, excluding India.  The increase was driven by strong volume growth in the Americas, offset by revenue declines in Asia and Europe.  The company took actions in India to prepare for the integration of the different market access channels between FMC and the acquired business, which reduced overall Agricultural Solutions revenue by 7 percent. In total, third quarter revenue was down 1 percent year over year.  Segment earnings increased 31 percent compared to the third quarter of 2016, with volume gains and lower costs having the largest impact.

Agricultural Solutions full-year revenue is forecasted to be in the range of $2.5 and $2.6 billion and segment earnings are expected to be in a range of $465 to $485 million. The legacy Agricultural Solutions business is expected to contribute $2.3 billion to $2.4 billion of revenue and $425 to $445 million of earnings in 2017; this legacy contribution to segment earnings guidance represents 9 percent year-over-year growth and a $5 million increase versus prior guidance, at the mid-point.  Fourth quarter segment earnings are forecasted to be in the range of $168 million to $188 million.