Market Overview

Compass Minerals Reports Second-Quarter 2018 Results

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Top-line growth achieved in all segments.

Second-Quarter Highlights:

  • Total company revenue up 8 percent year-over-year
  • Salt segment operating earnings up 17 percent versus prior year
  • Year-over-year sales volume and revenue growth in both Plant Nutrition
    segments
  • New labor agreement reached with Goderich mine employees
  • Cash flow from operations increased 25 percent from prior year to
    $181.6 million
  • Full-year 2018 earnings-per-share outlook unchanged at $2.75 to $3.25

Compass Minerals (NYSE:CMP) reported a second-quarter net loss of $7.6
million, or $0.23 per diluted share, compared to a net loss of $6.4
million, or $0.19 per diluted share, in the prior-year period. Operating
earnings in the second quarter declined 53 percent from 2017 results due
to increased depreciation expense. Adjusted EBITDA increased 13 percent
from second-quarter 2017 results.

"Our second quarter is typically our lowest earnings period, however I
am pleased that we delivered top-line growth across all our businesses.
This provides a strong indicator that the fundamental market conditions
for our businesses globally have continued to improve in 2018," said
Fran Malecha, Compass Minerals' president and CEO. "I believe we are now
better positioned to deliver on our efficiency investments in our salt
business, drive growth in our specialty plant nutrition business and
capitalize on strong grower economics in South America."

 
Compass Minerals Financial Results

(in millions, except for earnings per share)

    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Sales $ 246.7 $ 228.0 $ 684.6 $ 615.8
Operating earnings $ 2.8 $ 6.0 $ 29.4 $ 47.4
Operating margin 1.1 % 2.6 % 4.3 % 7.7 %
Net (loss) earnings $ (7.6 ) $ (6.4 ) $ 5.0 $ 15.1
Diluted net (loss) earnings per share $ (0.23 ) $ (0.19 ) $ 0.14 $ 0.44
EBITDA(1) $ 37.5 $ 32.4 $ 102.5 $ 102.3
Adjusted EBITDA(1)     $ 38.5       $ 34.2       $ 99.3       $ 104.0  
(1)   EBITDA (earnings before interest, taxes, depreciation and
amortization) and adjusted EBITDA are non-GAAP financial measures.
Reconciliations to the most directly comparable GAAP financial
measures are provided in tables at the end of this press release.
 

SALT BUSINESS SUMMARY

Second-quarter salt segment revenue increased 11 percent from $109.0
million in the 2017 second quarter to $121.1 million in the second
quarter of 2018, as a 17 percent increase in sales volumes was partially
offset by a 5 percent decline in average selling prices. Salt segment
sales volumes benefited from a 27 percent increase in highway deicing
demand driven primarily by a combination of increased demand in North
America from April snow events and robust early summer restocking orders
in the U.K. The decline in average selling prices was driven by a shift
in sales mix in favor of highway deicing products, which have a lower
average selling price compared to consumer and industrial products.

Salt segment operating earnings increased $1.8 million, or 17 percent,
to $12.5 million from second-quarter 2017 results of $10.7 million.
Operating earnings margin for the segment expanded to 10.3 percent from
9.8 percent in the year-ago quarter primarily as a result of improved
operating rates in the U.K. and a more profitable sales mix. Salt
segment EBITDA increased 14 percent to $26.6 million compared to $23.4
million in the second quarter of 2017.

Goderich Mine Update

On July 16, 2018, unionized employees at the company's Goderich,
Ontario, mine ratified a new three-year collective bargaining agreement
ending an 11-week strike. The new agreement further aligns our
operations with our investments in continuous mining and provides the
flexibility to operate the mine more efficiently.

Bid Season Update

Approximately 75 percent of the annual North American highway deicing
bidding process has been completed. While market-wide average bid
volumes have increased this season compared to the 2017-2018 season, the
company currently does not expect to increase salt sales volume
expectations for 2018 due to production constraints. These constraints
are due to the impact of the ongoing ramping up of production following
the 11-week strike at the Goderich mine, which included an unexpected
7-day full work stoppage near the end of the strike. The company's bid
season results to date indicate that Compass Minerals' expected average
contract price will increase approximately 15 percent versus
prior-season's results.

PLANT NUTRITION BUSINESS SUMMARY

Steady demand in North America for sulfate of potash (SOP) and
micronutrients combined with a surge in pre-season demand for specialty
nutrients in Brazil driven by attractive crop economics resulted in
year-over-year increases in second-quarter 2018 sales volume and revenue
for Compass Minerals' Plant Nutrition business.

Modest improvements in sales volumes and average selling prices resulted
in a 3 percent increase in Plant Nutrition North America segment revenue
to $51.8 million from $50.5 million in the second quarter of 2017.

Operating earnings for the Plant Nutrition North America segment dropped
$3.4 million from second-quarter 2017 results to $4.2 million. While the
company reported a significant decline in segment logistics costs,
increased production costs resulting from a year-over-year step-up in
depreciation expense pressured earnings and compressed operating
margins. The increased depreciation expense was driven by the
commissioning of new production assets at the company's Ogden, Utah, SOP
plant. The segment's EBITDA rose 6 percent to $17.2 million in the
second quarter of 2018 from $16.2 million in the prior-year period.

Plant Nutrition South America segment revenue rose 8 percent to $71.1
million from second-quarter 2017 results of $66.1 million as sales
volumes increased 5 percent and average selling prices improved 2
percent. Strong pre-season demand for specialty nutrients pushed
agriculture sales volumes up 14 percent year-over-year, while chemical
solutions sales volumes declined 4 percent. Average selling prices for
agriculture products improved 4 percent from 2017 second-quarter results
primarily due to sales mix and increased raw material cost passed
through to customers. Chemical solutions average price declined 5
percent. While both businesses experienced disruptions in May due to the
national truckers' strike in Brazil, the company expects growth in
agriculture sales through the rest of the year to offset much of the
impact from all lost sales in the second quarter. Year-over-year changes
in the weighted average exchange rate of the Brazilian reais to the U.S.
dollar negatively impacted our second-quarter 2018 Plant Nutrition South
America revenue and average selling price results by 11 percent.

Plant Nutrition South America operating earnings for the 2018 second
quarter were $0.7 million compared to $0.8 million in 2017, a decline of
13 percent primarily driven by foreign currency translation. EBITDA for
the segment increased to $6.7 million from $6.4 million in the 2017
second quarter.

OTHER FINANCIAL HIGHLIGHTS

Cash flow from operations increased 25 percent to $181.6 million from
second-quarter 2017 results, primarily due to a year-over-year
improvement in working capital.

Interest expense increased $2.6 million from prior-year expense of $12.3
million as a result of higher interest rates on the floating-rate debt
held by the company in the U.S.

The company now expects a full-year 2018 tax rate of 21 percent, down
from prior estimate of 25 percent, due to discrete tax benefits and
shifts in our pre-tax earnings by jurisdiction.

OUTLOOK

Strong fundamentals in the highway deicing markets in North America and
the U.K. are expected to result in improved pricing and increased sales
volumes for the remainder of 2018 compared to prior-year results,
assuming average winter weather. Some of the benefits of increased
pricing, however, are expected to be offset by increased logistics costs
and Goderich post-strike transition impacts.

Plant Nutrition North America revenue in the second half of the year is
expected to benefit from steady demand in the fall fertilizer season
across all product lines. As a result, our full-year Plant Nutrition
North America sales volume guidance has increased modestly. We also
expect year-over-year revenue growth to continue for the second half of
2018 at operating margins similar to prior-year results.

Improving grower economics in Brazil due to crop prices and the strong
U.S. dollar are expected to drive robust demand for our Plant Nutrition
South America products. Given these factors, we expect year-over-year
growth in revenue for the second half of 2018 with similar operating
margins to second-half 2017 results, although further weakening of the
Brazilian reais may mute some of the growth when translated into U.S.
dollars.

 
2018 OUTLOOK:
FULL YEAR EPS - $2.75 to $3.25
        2H18         FY18
Salt Segment
Volume 11.8 million to 12.3 million tons
Revenue $440 million to $470 million
Operating earnings margin 23% to 25%
Plant Nutrition North America Segment
Volume 340,000 to 360,000 tons
Revenue $115 million to $135 million
Operating earnings margin 12% to 14%
Plant Nutrition South America Segment
Volume 750,000 to 875,000 tons
Revenue $250 million to $275 million
Operating earnings margin 18% to 20%
Corporate
Corporate and other expense ~$59 million
Interest expense ~$57 million
Depreciation, depletion and amortization ~$140 million
Capital expenditures less than $100 million
Effective tax rate                   ~21%
 

Conference Call

Compass Minerals will discuss its results on a conference call tomorrow
morning, Tuesday, August 7, 2018, at 10:00 a.m. ET. To access the
conference call, interested parties should visit the company's website
at www.CompassMinerals.com
or dial 877-614-0009. Callers must provide the conference ID number
2495553. Outside of the U.S. and Canada, callers may dial 720-452-9074.
Replays of the call will be available on the company's website. A
summary of the company's performance is included in a presentation
available at investors.compassminerals.com.

About Compass Minerals

Compass Minerals is a leading provider of essential minerals that solve
nature's challenges, including salt for winter roadway safety and other
consumer, industrial and agricultural uses, and specialty plant
nutrition minerals that improve the quality and yield of crops. The
company produces its minerals at locations throughout the U.S., Canada,
Brazil and the U.K. For more information about Compass Minerals and its
products, please visit www.compassminerals.com.

Non-GAAP Measures

Management uses a variety of measures to evaluate the company's and its
operating segments' performance. While the consolidated financial
statements provide an understanding of the company's overall results of
operations, financial condition and cash flows, management analyzes
components of the consolidated financial statements to identify certain
trends and evaluate specific performance areas. In addition to using
U.S. generally accepted accounting principles ("GAAP") financial
measures, management uses EBITDA and EBITDA adjusted for items which
management believes are not indicative of the company's ongoing
operating performance ("Adjusted EBITDA") to evaluate the operating
performance of the company's core business operations because its
resource allocation, financing methods, cost of capital and income tax
positions are managed at a corporate level, apart from the activities of
the operating segments, and the operating facilities are located in
different taxing jurisdictions, which can cause considerable variation
in net earnings. The company also uses EBITDA and Adjusted EBITDA to
assess its consolidated and segment operating performance and return on
capital against other companies and to evaluate potential acquisitions
or other capital projects. These measures are not calculated under GAAP
and should not be considered in isolation or as a substitute for net
earnings, operating earnings, cash flows or other financial data
prepared in accordance with GAAP or as a measure of overall
profitability or liquidity. EBITDA and Adjusted EBITDA exclude interest
expense, income taxes and depreciation and amortization, each of which
are an essential element of the company's cost structure and cannot be
eliminated. Consequently, any measure that excludes these elements has
material limitations. While EBITDA and Adjusted EBITDA are frequently
used as measures of operating performance, these terms are not
necessarily comparable to similarly titled measures of other companies
due to the potential inconsistencies in the method of calculation. The
calculation of EBITDA and Adjusted EBITDA as used by management is set
forth in the following tables.

This press release may contain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995,
including without limitation statements about market conditions and
fundamentals; the company's ability to deliver on investments, drive
growth and capitalize on grower economics; bid season results, including
contract prices; agriculture sales; Goderich strike impacts and
production constraints; fertilizer demand; farmer economics; demand for
our products; exchange rates; and the company's outlook for the second
half of 2018 and the full year of 2018, including its expectations
regarding earnings per share ("EPS"), volumes, revenue, operating
earnings margin, corporate and other expense, interest expense,
depreciation, depletion and amortization, capital expenditures and tax
rates. We use words such as "may," "would," "could," "should," "will,"
"likely," "expect," "anticipate," "believe," "intend," "plan,"
"forecast," "outlook," "project," "estimate" and similar expressions
suggesting future outcomes or events to identify forward-looking
statements or forward-looking information. These statements are based on
the company's current expectations and involve risks and uncertainties
that could cause the company's actual results to differ materially. The
differences could be caused by a number of factors, including without
limitation (i) weather conditions, (ii) pressure on prices and impact
from competitive products, (iii) any inability by the company to fund
necessary capital expenditures or successfully implement any capital
projects, (iv) foreign exchange rates and the cost and availability of
transportation for the distribution of the company's products, (v) any
inability by the company to successfully implement its cost savings
initiatives, and (vi) impacts of the Goderich mine strike, including any
work stoppages or slowdowns. For further information on these and other
risks and uncertainties that may affect the company's business, see the
"Risk Factors" and "Management's Discussion and Analysis of Financial
Condition and Results of Operations" sections of the company's Annual
Report on Form 10-K for the year ended December 31, 2017, and Quarterly
Reports on Form 10-Q for the quarters ended March 31, 2018, and June 30,
2018, filed or to be filed with the SEC. The company undertakes no
obligation to update any forward-looking statements made in this press
release to reflect future events or developments. Because it is not
possible to predict or identify all such factors, this list cannot be
considered a complete set of all potential risks or uncertainties
.

 
Reconciliation for EBITDA and Adjusted EBITDA
(unaudited,
in millions)
    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Net (loss) earnings $ (7.6 ) $ (6.4 ) $ 5.0 $ 15.1
Interest expense 14.9 12.3 28.6 26.0
Income tax (benefit) expense (5.1 ) (1.5 ) (0.7 ) 4.8
Depreciation, depletion and amortization 35.3   28.0   69.6   56.4
EBITDA $ 37.5 $ 32.4 $ 102.5 $ 102.3
Adjustments to EBITDA:
Other expense (income), net(1) 1.0   1.8   (3.2 ) 1.7
Adjusted EBITDA     $ 38.5       $ 34.2       $ 99.3       $ 104.0

(1) Primarily includes interest income and foreign exchange gains
and losses.

 
Salt Segment Performance
(unaudited, in millions,
except for sales volumes and prices per short ton)
    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Sales $ 121.1 $ 109.0 $ 437.0 $ 383.8
Operating earnings $ 12.5 $ 10.7 $ 46.6 $ 56.1
Operating margin 10.3 % 9.8 % 10.7 % 14.6 %
EBITDA(1) $ 26.6 $ 23.4 $ 75.4 $ 81.7
EBITDA(1) margin 22.0 % 21.5 % 17.3 % 21.3 %
Sales volumes (in thousands of tons):
Highway deicing 1,201 948 5,463 4,439
Consumer and industrial 403   424   905   966  
Total salt 1,604 1,372 6,368 5,405
Average sales prices (per ton):
Highway deicing $ 50.40 $ 49.95 $ 54.18 $ 54.12
Consumer and industrial $ 150.29 $ 145.32 $ 155.83 $ 148.65
Total salt     $ 75.47       $ 79.44       $ 68.62       $ 71.01  

(1) EBITDA is a non-GAAP financial measure. A reconciliation of
GAAP operating earnings to EBITDA follows.

 

Reconciliation for Salt Segment EBITDA
(unaudited,
in millions
)

    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Reported GAAP segment operating earnings $ 12.5 $ 10.7 $ 46.6 $ 56.1
Depreciation, depletion and amortization 14.1   12.7   28.8   25.6  
Segment EBITDA $ 26.6 $ 23.4 $ 75.4 $ 81.7
Segment sales 121.1 109.0 437.0 383.8
Segment EBITDA margin     22.0 %     21.5 %     17.3 %     21.3 %
 
 
Plant Nutrition North America Segment Performance
(unaudited,
dollars in millions, except for prices per short ton)
    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Sales $ 51.8 $ 50.5 $ 104.7 $ 99.7
Operating earnings $ 4.2 $ 7.6 $ 9.1 $ 15.2
Operating margin 8.1 % 15.0 % 8.7 % 15.2 %
EBITDA(1) $ 17.2 $ 16.2 $ 33.4 $ 32.7
EBITDA(1) margin 33.2 % 32.1 % 31.9 % 32.8 %
Sales volumes (in thousands of tons) 80 78 167 157
Average sales price (per ton)     $ 644       $ 642       $ 626       $ 633  

(1) EBITDA is a non-GAAP financial measure. A reconciliation of
GAAP operating earnings to EBITDA follows.

 

Reconciliation for Plant Nutrition North America Segment EBITDA
(unaudited,
in millions
)

    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Reported GAAP segment operating earnings $ 4.2 $ 7.6 $ 9.1 $ 15.2
Depreciation, depletion and amortization 13.0   8.6   24.3   17.5  
Segment EBITDA $ 17.2 $ 16.2 $ 33.4 $ 32.7
Segment sales 51.8 50.5 104.7 99.7
Segment EBITDA margin     33.2 %     32.1 %     31.9 %     32.8 %
 
Plant Nutrition South America Segment Performance
(unaudited,
dollars in millions, except for prices per short ton)
    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Sales $ 71.1 $ 66.1 $ 137.4 $ 127.4
Operating earnings $ 0.7 $ 0.8 $ 1.5 $ 2.6
Operating margin 1.0 % 1.2 % 1.1 % 2.0 %
EBITDA(1) $ 6.7 $ 6.4 $ 13.3 $ 13.5
EBITDA(1) margin 9.4 % 9.7 % 9.7 % 10.6 %
Sales volumes (in thousands of tons)
Agriculture 90 79 151 139
Chemical solutions 69   72   148   144  
Total sales volumes 159 151 299 283
Average sales prices (per ton):
Agriculture $ 538 $ 519 $ 582 $ 553
Chemical solutions $ 331 $ 350 $ 336 $ 352
Total Plant Nutrition South America     $ 448       $ 439       $ 460       $ 451  

(1) EBITDA is a non-GAAP financial measure. A reconciliation of
GAAP operating earnings to EBITDA follows.

 

Reconciliation for Plant Nutrition South America Segment EBITDA
(unaudited,
in millions)

    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Reported GAAP segment operating earnings $ 0.7 $ 0.8 $ 1.5 $ 2.6
Depreciation, depletion and amortization 5.6 5.4 11.5 10.7
Earnings in equity method investee 0.4   0.2   0.3   0.2  
Segment EBITDA $ 6.7 $ 6.4 $ 13.3 $ 13.5
Segment sales 71.1 66.1 137.4 127.4
Segment EBITDA margin     9.4 %     9.7 %     9.7 %     10.6 %
 
 
COMPASS MINERALS INTERNATIONAL, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited, in millions, except share and per-share data)

 
    Three Months Ended
June 30,
    Six Months Ended
June 30,
2018     2017 2018     2017
Sales $ 246.7 $ 228.0 $ 684.6 $ 615.8
Shipping and handling cost 49.8 40.6 169.9 134.3
Product cost 154.4   142.5   406.8   355.0  
Gross profit 42.5 44.9 107.9 126.5
Selling, general and administrative expenses 39.7   38.9   78.5   79.1  
Operating earnings 2.8 6.0 29.4 47.4
Other expense (income):
Interest expense 14.9 12.3 28.6 26.0
Net earnings in equity investee (0.4 ) (0.2 ) (0.3 ) (0.2 )
Other, net 1.0   1.8   (3.2 ) 1.7  
(Loss) earnings before income taxes (12.7 ) (7.9 ) 4.3 19.9
Income tax (benefit) expense (5.1 ) (1.5 ) (0.7 ) 4.8  
Net (loss) earnings $ (7.6 ) $ (6.4 ) $ 5.0   $ 15.1  
Basic net (loss) earnings per common share $ (0.23 ) $ (0.19 ) $ 0.14 $ 0.44
Diluted net (loss) earnings per common share $ (0.23 ) $ (0.19 ) $ 0.14 $ 0.44
Cash dividends per share $ 0.72 $ 0.72 $ 1.44 $ 1.44
Weighted-average common shares outstanding (in thousands):(1)
Basic 33,850 33,823 33,843 33,813
Diluted 33,850 33,823 33,843 33,813
(1)   Excludes weighted participating securities include RSUs and PSUs
that receive non-forfeitable dividends which consist of 191,000 and
177,000 weighted participating securities for the three and six
months ended June 30, 2018, respectively, and 169,000 and 163,000
weighted participating securities for the three and six months ended
June 30, 2017, respectively.
 
 
COMPASS MINERALS INTERNATIONAL, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS

(in millions)

        (Unaudited)    
June 30, December 31,
2018 2017
ASSETS
Cash and cash equivalents $ 40.8 $ 36.6
Receivables, net 174.6 344.5
Inventories 247.7 289.9
Other current assets 83.7 66.5
Property, plant and equipment, net 1,077.5 1,138.1
Intangible and other noncurrent assets 650.0 695.4
Total assets $ 2,274.3   $ 2,571.0
 
LIABILITIES AND STOCKHOLDERS' EQUITY
Current portion of long-term debt $ 29.9 $ 32.1
Other current liabilities 175.6 235.9
Long-term debt, net of current portion 1,255.1 1,330.4
Deferred income taxes and other noncurrent liabilities 263.2 278.0
Total stockholders' equity 550.5 694.6
Total liabilities and stockholders' equity $ 2,274.3   $ 2,571.0
 
 
COMPASS MINERALS INTERNATIONAL, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited, in millions)
       
Six Months Ended
June 30,
2018     2017
Net cash provided by operating activities $ 181.6   $ 145.1  
 
Cash flows from investing activities:
Capital expenditures (52.1 ) (55.6 )
Other, net (1.5 ) (2.7 )
 
Net cash used in investing activities (53.6 ) (58.3 )
 
Cash flows from financing activities:
Proceeds from revolving credit facility borrowings 249.3 100.3
Principal payments on revolving credit facility borrowings (322.2 ) (122.6 )
Proceeds from issuance of long-term debt 16.8 11.6
Principal payments on long-term debt (11.2 ) (59.2 )
Acquisition-related contingent consideration payment (14.7 )
Dividends paid (49.0 ) (48.9 )
Deferred financing costs (0.3 ) (0.2 )
Proceeds received from stock option exercises 0.3
Other, net (0.5 ) 1.0  
 
Net cash used in financing activities (117.1 ) (132.4 )
Effect of exchange rate changes on cash and cash equivalents (6.7 ) 2.1  
Net change in cash and cash equivalents 4.2 (43.5 )
Cash and cash equivalents, beginning of the year 36.6   77.4  
 
Cash and cash equivalents, end of period $ 40.8   $ 33.9  
 
 
COMPASS MINERALS INTERNATIONAL, INC.
SEGMENT INFORMATION

(unaudited, in millions)

 
Three Months Ended June 30, 2018     Salt  

Plant
Nutrition North
America

 

Plant
Nutrition South
America

 

Corporate
& Other(a)

  Total
Sales to external customers     $ 121.1   $ 51.8   $ 71.1   $ 2.7   $ 246.7
Intersegment sales 2.2 1.1 (3.3 )
Shipping and handling cost 39.4 6.2 4.2 49.8
Operating earnings (loss) 12.5 4.2 0.7 (14.6 ) 2.8
Depreciation, depletion and amortization 14.1 13.0 5.6 2.6 35.3
Total assets (as of end of period) 830.7 584.2 726.2 133.2 2,274.3
 
Three Months Ended June 30, 2017     Salt  

Plant
Nutrition North
America

 

Plant
Nutrition South
America

 

Corporate
& Other(a)

  Total
Sales to external customers $ 109.0 $ 50.5 $ 66.1 $ 2.4 $ 228.0
Intersegment sales 2.0 (2.0 )
Shipping and handling cost 29.7 6.9 4.0 40.6
Operating earnings (loss) 10.7 7.6 0.8 (13.1 ) 6.0
Depreciation, depletion and amortization 12.7 8.6 5.4 1.3 28.0
Total assets (as of end of period) 868.0 582.9 790.0 57.0 2,297.9
 
Six Months Ended June 30, 2018     Salt  

Plant
Nutrition North
America

 

Plant
Nutrition South
America

  Corporate
& Other(a)
  Total
Sales to external customers $ 437.0 $ 104.7 $ 137.4 $ 5.5 $ 684.6
Intersegment sales 2.4 1.5 (3.9 )
Shipping and handling cost 148.9 12.6 8.4 169.9
Operating earnings (loss) 46.6 9.1 1.5 (27.8 ) 29.4
Depreciation, depletion and amortization 28.8 24.3 11.5 5.0 69.6
 
Six Months Ended June 30, 2017     Salt  

Plant
Nutrition North
America

 

Plant
Nutrition South
America

  Corporate
& Other(a)
  Total
Sales to external customers $ 383.8 $ 99.7 $ 127.4 $ 4.9 $ 615.8
Intersegment sales 2.9 (2.9 )
Shipping and handling cost 112.7 13.6 8.0 134.3
Operating earnings (loss) 56.1 15.2 2.6 (26.5 ) 47.4
Depreciation, depletion and amortization 25.6 17.5 10.7 2.6 56.4
(a)   Corporate and other includes corporate entities, records management
operations and other incidental operations and eliminations.
Operating earnings (loss) for corporate and other includes indirect
corporate overhead, including costs for general corporate governance
and oversight, as well as costs for the human resources, information
technology, legal and finance functions.

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