Yara reports fourth-quarter net income after minority interest of NOK 891 million (NOK 3.01 per share), compared with NOK 588 million (NOK 1.90 per share) in the fourth quarter last year. Excluding net foreign exchange gains/losses, the result was approximately NOK 2.61 per share compared with NOK 2.18 per share in fourth quarter 2005. Fourth-quarter operating income was NOK 521 million compared with NOK 651 million last year. EBITDA for the quarter was NOK 1,351 million compared with NOK 1,379 million in the fourth quarter last year. Yara's board will propose to the Annual General Meeting a dividend payment of NOK 2.50 per share for 2006.
"We continue to deliver strong results, with return on capital well above our 10% CROGI target. Increased sales in Latin America and Asia more than compensated for delayed fertilizer deliveries in Europe and North America. Production improvements and continued growth in industrial applications contributed further to the positive performance," said Thorleif Enger, President and CEO of Yara International ASA.
"The steep increase in grain prices since September 2006, with US corn prices up more than 50%, will boost fertilizer demand. This strong demand, together with limited new fertilizer capacity, suggests a healthy supply-demand balance in the coming years", said Thorleif Enger.
Full-year net income after minority interest was NOK 4,188 million (NOK 13.86 per share), compared with NOK 3,198 million (NOK 10.20 per share) for 2005. Excluding net foreign exchange gains/losses, the result was approximately NOK 12.90 per share compared with NOK 11.36 per share in 2005. Full-year operating income was NOK 3,352 million, compared with NOK 3,821 million last year. EBITDA was NOK 6,472 million compared with NOK 6,618 million last year.
Fourth-quarter fertilizer sales were up 7% from last year, primarily reflecting a significant market recovery in Brazil and the Fertibras acquisition. Yara's market position in Europe continued to strengthen, but fertilizer volumes were down 10% compared with last year as total market deliveries were delayed. The Industrial segment saw solid growth with a 10% volume increase over last year. More stringent environmental standards continued to increase demand for industrial products; NOx abatement application sales were up 25% from last year. The Upstream segment increased finished fertilizer production by 6%. Increased energy costs in European plants were not fully compensated by price increases. Following the recent decline in oil prices Yara's European gas cost for the next half-year are expected to decline.
For further information
The entire quarterly report and the presentation material used during the press and analyst conference are available on http://www.yara.com/en/investor_relations/financial_reports/
|
Contact |
Torgeir Kvidal, Investor Relations
Telephone (+47) 24 15 72 95
Cellular (+47) 91 339 832
E-mail torgeir.kvidal@yara.com
Hamed Brodersen, Media Relations
Cellular (+47) 40 468 110
Yara International ASA is a leading chemical company that converts energy and nitrogen from the air into essential products for farmers and industrial customers. As the number one global supplier of mineral fertilizers and agronomic solutions, we help provide food for a growing world population. Our industrial product portfolio includes environmental protection agents that safeguard air and water purity and preserve food quality. Yara's global workforce of 7000 employees represents great diversity and talent enabling Yara to remain a leading performer in its industry.
www.yara.com