Nutrien (NYSE: NTR) reported Q2 EPS of $1.48, versus $0.29 reported last year.

HIGHLIGHTS

• Nutrien's second-quarter adjusted net earnings was $1.48 per share4, adjusted for purchase price allocation ($0.02 per share), merger-related costs ($0.02 per share), share-based compensation ($0.10 per share) and dividend income from discontinued operations ($0.17 per share). Second-quarter adjusted EBITDA5 was $1.6 billion, adjusted for merger-related costs and share-based compensation.
• Retail first-half EBITDA was up 10 percent over last year4 as a result of strong seed and crop protection product margins and excellent demand for crop inputs in the second quarter, demonstrating the value of our distribution network in a compressed season.
• Potash segment EBITDA was 34 percent higher in the first half of 2018 compared to the same period last year4 due to higher realized prices, strong offshore sales volumes and lower production costs.
• Nitrogen EBITDA improved by 17 percent in the first half of 2018 compared to the same period last year4 as a result of lower production costs, higher urea prices and increased sales volumes.
• Nutrien full-year 2018 adjusted annual earnings per share and adjusted consolidated EBITDA guidance were raised to $2.40 to $2.70 earnings per share and $3.7 to $4.0 billion, respectively (up from $2.20 to $2.60 earnings per share and $3.3 to $3.7 billion). The adjusted annual earnings per share guidance includes approximately $100 million in additional annual depreciation and amortization in phosphate and sulfate, related to the conversion of our Redwater phosphate facility to produce ammonia sulfate.
• Nutrien repurchased 29.3 million shares under its normal course issuer bid program year-to-date.
• Nutrien enhanced its digital ag and omni-channel offering with the recently announced acquisitions of Waypoint Analytical, Inc. and Agrible, Inc.
• Nutrien decided to close its small phosphate facility at Geismar, Louisiana, by the end of 2018 and will no longer require offshore phosphate rock imports starting in 2019.
• Nutrien agreed to sell its Sociedad Química y Minera de Chile S.A. (SQM) series A shares and its stake in Arab Potash Company (APC), and closed the auction of its SQM series B shares. Total net proceeds of required equity divestments are expected to be approximately $5 billion by the end of 2018.
• Nutrien has achieved $246 million in run-rate synergies as at June 30, 2018 and now expects to achieve $350 million in run-rate synergies by the end of 2018, up from the initial estimate of $250 million.

"Nutrien delivered strong second quarter and first half results, demonstrating the value of our integrated business model and extensive supply chain capabilities, in what was a very compressed spring application season. We also advanced our strategic plan, making significant progress on selling the remaining equity investments, repurchasing our shares and growing our Retail business," commented Chuck Magro, Nutrien's President and CEO. "We have raised our annual guidance due to firm market fundamentals; this, combined with our rapid pace of synergy realization and a strong balance sheet, will provide us with numerous options to enhance shareholder value," added Mr. Magro.

GUIDANCE:

Nutrien sees FY2018 EPS of $2.40-$2.70.

For earnings history and earnings-related data on Nutrien (NTR) click here.