White Plains, N.Y.-Bunge Ltd. reported significantly improved results from its fertilizer segment for the fourth quarter ending Dec. 31, 2010, with higher margins in its Brazilian business partially offsetting lower volumes. However, the company notes the business is still in a transition following the sale of its nutrient production assets last year to Vale S.A. It reported that its Argentine business performed well in the quarter, benefiting from higher volumes and margins. The fertilizer segment reported fourth-quarter EBIT of $1 million on sales of $731 million, compared to the year-ago loss of $174 million on sales of $974 million. Fertilizer volumes were 1.7 million mt, down from 3.33 million mt. The year-ago period includes Bunge’s nutrient production assets. Full-year fertilizer EBIT was $2.34 billion (reflecting the asset sale) on sales of $2.73 billion, up from the year-ago loss of $616 million on sales of $3.7 billion. Volumes were 7.71 million mt, down from 11.6 million mt. Going forward, Bunge said farm economics are good and it expects increased plantings and demand for fertilizer. Company-wide, Bunge reported fourth-quarter net income attributable to Bunge of $301 million ($1.95 per diluted share) on sales of $12.7 billion, up from the year-ago net income of $11 million (negative $.21 per share) on sales of $10.4 billion. Full-year net income was $2.35 billion ($15.06 per share) on sales of $45.7 billion, up from the year-ago $361 million ($2.22 per share) on sales of $41.9 billion. Bunge said that due to natural volatility of its industry, it would no longer provide specific annual earnings-per-share guidance.
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