FMC sales up 20% in Q2

Date:08-02-2012

FMC’s Agricultural Products segment increased 19.4% to $393.6 million versus the prior-year in the second quarter of 2012 ended June 30th with substantial sales gains in Latin America and North America. Segment earnings of $111.2 million increased 17.9% versus the year-ago quarter driven by strong volume growth, partially offset by higher spending on targeted growth initiatives. First-half year sales were up 25.9% to $847.8 million, and earnings rose by 23.7% to $241 million.

FMC’s agricultural products sales results ($ million)
Q2 ended June 30th	Q2 2012	Q2 2011	change%	H1 2012	H1 2011	change%
Sales	393.6	329.6	+19.4	847.8	673.2	+25.9
Income from continuing operations before income taxes	111.2	94.3	+17.9	241.0	194.8	+23.7

Pierre Brondeau, FMC president, CEO and chairman, said, "Our second quarter 2012 results continue to demonstrate the strength of FMC's advantaged portfolio. Agricultural Products showed vigorous growth, driven by overall strong conditions in North America and continued robust demand in Latin America.

In Latin America, sales increased significantly, driven by continued strength in sugar cane, growth in soybeans, and sales from new market access joint venture in Argentina. In North America, sales also increased significantly due to strong demand for proprietary herbicides, higher insecticide sales, and increased non-crop sales. Asia and Europe/Middle East/Africa sales were marginally down versus the prior-year period. 

Outlook

FMC expects their Agricultural Products segment to achieve its ninth consecutive year of record earnings, delivering a year-on-year percentage increase in earnings in the high-teens, reflecting increased volumes, particularly in Latin America, North America and Asia, due to strong market conditions and growth from new and acquired products, but partially offset by higher spending on targeted growth initiatives.