Lower prices impact Mosaic
The Mosaic Company reported fourth quarter fiscal 2013 net earnings of $486 million, compared to $507 million a year ago. Earnings per diluted share were $1.14 in the quarter compared to $1.19 last year. Mosaic’s net sales in the fourth quarter of fiscal 2013 were $2.7 billion, down from $2.8 billion last year. Operating earnings during the quarter were $621 million, down from $671 million a year ago, as record potash and strong phosphate sales volumes were more than offset by lower realized prices.
"Our focus on planning and execution paid off, with Mosaic achieving record potash and strong phosphate shipments during the quarter," said Jim Prokopanko, President and Chief Executive Officer of Mosaic. "Mosaic delivered outstanding results despite difficult external factors such as the late and compressed North American spring planting season, and additional logistical challenges. The long-term outlook for Mosaic remains compelling, and we are executing well to capture the opportunity."
For the year ended May 31, 2013, net income was $1.9 billion, or $4.42 per diluted share, compared to the $1.93 billion and $4.42 per diluted share in fiscal 2012. Net sales were $10.0 billion, down from $11.1 billion a year ago. Full-year operating earnings were $2.2 billion, down from $2.6 billion a year ago. Lower net sales and operating earnings for the year were primarily driven by lower realized prices for both potash and phosphate, partially offset by higher potash volumes. Full year selling, general and administrative (SG&A) expenses were $427 million compared to $410 million last year. Net cash provided by operating activities was $1.9 billion.