The reduction in net earnings this quarter was driven primarily by continued weakness in global nutrient prices.
Agrium Inc. has released its 2Q16 earnings, with net earnings attributable to equity holders of Agrium of US$564 million compared to US$674 million in 2Q15. The reduction in net earnings this quarter was driven primarily by continued weakness in global nutrient prices.
2Q adjusted net earnings were US$578-million or US$4.18 per share.
Retail earnings results were the second highest in history.
Agrium has acquired 33 retail locations with expected annual sales in excess of US$230-million on a year-to-date basis. Agrium is currently working on the completion of the Cargill and another retail acquisition. These would represent over US$300-million of expected annual sales.
Agrium has invested US$15-million into Finistere Ventures Fund II, a leading AgTech venture fund focused on identifying and investing in early-to-growth stage companies within plant nutrition, biologicals, seed technology, digital agriculture and novel farm systems.
Annual guidance range has been revised to US$5.00 to US$5.30 diluted earnings per share due to the weak outlook for nutrient prices.
"Agrium reported solid second quarter results driven by lower costs and strong margins across most of our business portfolio, supported by a stable cash flow from our retail operations. Our steadfast focus on operational excellence continues to deliver results and we believe our strategy and assets will create long-term shareholder value," commented Chuck Magro, Agrium's President and CEO.
Read the article online at: https://www.globalminingreview.com/finance-business/14082016/agrium-publishes-2q16-earnings/