Kilgore, Texas-Martin Midstream Partners LP reported an 88 percent drop in operating income in its Sulfur Services segment, which includes both sulfur and fertilizer. Segment income was $792,000 on sales of $15.1 million for the quarter ending Sept. 30, 2009, versus the year-ago $6.66 million and $133.7 million. Revenues were off 89 percent, primarily as a result of an 88 percent decrease in average sales prices. Martin said the drop was mainly due to decreased market prices for sulfur, primarily driven by lower costs of sulfur and raw material for sulfur-based products. Sulfur volumes were actually up during the quarter, to 296,100 lt from the year-ago 290,800 lt, while fertilizer volumes were down at 32,600 st from 57,400 st. Nine-month Sulfur Services operating income was $7.12 million on sales of $61 million, versus the year-ago $16.7 million and $290.3 million. Nine-month sulfur volumes were 835,400 lt versus the year-ago 814,000 lt, while fertilizer volumes were 130,300 lt versus 213,500 lt. Company-wide, Martin third-quarter net income was $4.5 million ($.26 per unit) on sales of $151.4 million, versus the year-ago $13.7 million ($.88 per unit) and $364.4 million. Nine-month net income was $17.3 million ($1.02 per unit) on sales of $436.5 million, versus the year-ago $26.1 million ($1.64 per unit) and $985.5 million.
Transparency Across the Fertilizer Value-Chain