K+S Group, Kassel, said on Feb. 4 full-year 2021 earnings and cash flow exceeded the previous outlook and expectations, mainly on higher average prices in the Agriculture customer segment in the fourth quarter and a better-than-expected one-off effect from the REKS waste management joint venture transaction.
The company said full-year EBITDA of continuing operations comes to about €960 million (approximately $1.09 billion at current exchange rates) based on preliminary figures, and compares with €266.9 million for FY2020.
This latest outlook beats the previous guidance of €830 million (GM Dec. 3, 2021) and Vara consensus expectations of €863 million, both of which include the REKS transaction.
K+S said the additional non-cash one-off effect from the REKS transaction, which was completed in December (GM Dec. 31, 2021), now amounts to around €220 million, rather than the previously expected €200 million.
Higher sales of de-icing salt due to adverse weather conditions have also contributed to the EBITDA raise.
Adjusted free cash flow is expected at around €100 million, above the Vara consensus estimate of €52 million.
K+S will publish its full-year 2021 financial results on March 10.