The company announces greater NPK deliveries, improved capital returns and increased cash flow for 3Q20. Net income was US$340 million (US$1.27 per share) compared with US$74 million (US$0.27 per share) a year earlier.
Svein Tore Holsether, President and Chief Executive of Yara, said: “Yara delivers its 9th consecutive quarter with improved capital returns, despite our results being impacted by lower nitrogen prices. Our crop nutrition focused business model continues to perform strongly, delivering record NPK volumes in the quarter. I would like to give credit to the entire Yara organisation for another solid effort in a demanding environment”.
“Our cash flow also continued to improve, with US$2.5 billion of free cash flow generated over the last four quarters. We will propose a NOK 18 per share additional dividend for payment in the fourth quarter, bringing our total cash paid or committed to shareholders in 2020 to NOK 53 per share,” said Holsether.
3Q20 operating income was US$384 million, up from US$314 million a year earlier. Net income, excluding currency effects and special items, was US$0.88 per share, compared with US$0.94 per share in 3Q19. EBITDA excluding special items was US$558 million, down from US$630 million a year earlier.
Yara’s market environment is in a positive trend overall, with a broadly stable global grain balance and limited urea supply pressure. Fertilizer and food demand is also resilient in times of crisis, and ensuring continuity in food production and related value chains remains a top priority for all countries. Yara’s financial situation is robust, with strong cash flow from operations and declining capital expenditure due to strong capital discipline.
Read the article online at: https://www.worldfertilizer.com/special-reports/20102020/yara-delivers-improved-results-for-3q20/