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OCP reports 1Q16 results

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World Fertilizer,


EBITDA margin was 28%, compared with 36% in 2015. Adjusted operating cash flows amounted to US$63 million.

OCP S.A. has reported results for 1Q16.

First quarter revenues totaled US$1.06 billion, compared with US$1.1 billion in the prior-year period. EBITDA was US$294 million.

EBITDA margin was 28%, compared with 36% in 2015. Adjusted operating cash flows amounted to US$63 million.

“OCP continues to report margins that are significantly ahead of the industry average thanks to our key competitive advantages, mainly cost leadership and commercial and operating flexibility. The Company’s unique access to low cost and high quality phosphate rock, our geographically diversified customer base and our industrial and commercial strategy combine to provide OCP with greater resilience to challenging market conditions. We concur with industry analysts' views that 2016 will be a year of progressive improvement, and we continue to expect second half results to outpace the first half, as demand increases within a more stable pricing environment,” said Mr. Mostafa Terrab, Chairman and Chief Executive Officer of OCP.

Operating and Financial Results

First quarter revenues decreased to US$1.06 billion. Higher volumes across all three segments (rock, acid and fertilizers) were more than offset by lower prices across all product classes. Gross margin declined to US$709 million.

OCP’s first quarter EBITDA was US$294 million. The result was mainly impacted by lower revenues and production held as inventory, which more than offset the benefit of reduced raw material costs for both sulfur and ammonia.

Read the article online at: https://www.worldfertilizer.com/materials-handling/01062016/ocp-reports-1q16-results/


 

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