LSB back in plus column

Oklahoma City — LSB Industries Inc. reported a return to positive income applicable to common stock for first quarter 2014, to $11.3 million ($0.49 per dilute share) on sales of $178.5 million, compared to a year-ago loss of $368,000 ($0.02 per share) on sales of $150.7 million. Leading the way for LSB was its Chemical segment, which saw operating income increase to $28.8 million on sales of $115.2 million, compared to the year-ago loss of $3.8 million on sales of $77.5 million. LSB cited the upgrades and expansions that it is making within the Chemical business. Within the Chemical segment, Agricultural sales were up 83 percent, to $59.5 million from the year-ago $32.5 million, while Industrial/Mining/Other (IMO) sales were up 24 percent, to $55.7 million from $45 million. In the Ag sector, all products saw tonnage increases, with UAN at 83,516 st, up from 32,419 st; AN at 86,403 st, up from 39,904 st,; and anhydrous ammonia at 15,057 st, up from 3,012 st. Average UAN selling prices were off 16 percent, to $261/st from $311/st. AN prices were off 18 percent, to $308/st from $377/st, and ammonia prices were off 39 percent, to $416/st from $687/st. Cost of purchased ammonia for use as an input was off 32 percent, to $419/st from $619/st, while gas costs were up 39 percent, to $5.25/mmBtu from $3.78/mmBtu. On the IMO side of the segment, nitric acid sales were up 81 percent, to $141.1 million from $77.8 million, while AN/AN solution sales were up 47 percent, to $41 million from $28 million. Results from LSB’s Climate Control segment were off, with operating income $4.3 million on sales of $60.3 million, down from the year-ago $6.4 million and $70.3 million, respectively.