CF Industries Holdings Inc. reported first quarter net income of $230.6 million ($4.79 per diluted share) on net sales of $953.6 million. Overall, CF reported a 3 percent year-over-year decrease in revenues from the sales of nitrogen products during the quarter primarily driven by a decrease in overall sales volumes. Nitrogen sales volumes were 2.91 million st, down from the year-ago 3.02 million st.
While year-ago net income was much higher at $708.5 million ($12.90 per share) on sales of $1.13 billion, it included $461 million or $8.39 per EPS for the after-tax gain on the sale of the phosphate business. First quarter 2015 gross margins were $415.8 million compared to the year-ago $442.8 million (prior to the addition of the phosphate sale).
CF said it expects a strong second quarter performance relative to overall market conditions. It reports a robust set of orders for second quarter ammonia though it said first half 2015 ammonia volumes will likely be slightly lower than the record first half 2014’s due to lower inventories on hand at the start of 2015.