FMC Corporation
(FMC) reported an EPS of $1.34 for the first quarter of fiscal 2010, up from $1.22 in the first quarter of fiscal 2009. However, it surpassed the Zacks Consensus Estimate of $1.30. Net earnings were $98.4 million, up 10.2% from $89.3 million in the year-ago quarter.
During the quarter, revenues grew 9.6% year over year to reach $756.5 million from $690.5 million during the same period of 2009, based on improved market conditions. Revenue from Agricultural Products increased 17% to $304.6 million, driven by sales gains in Latin America, particularly in Brazil.
Specialty Chemicals revenue was up 16% to $202.6 million based on the increase in sales volume in food, pharmaceutical and lithium businesses. However, revenue from Industrial Chemicals dropped 2% to $250.1 million due to lower selling price.
Earnings improved significantly over the prior year, driven by strong commercial performance and lower operating costs. Total cost and expenses as a percentage of revenue declined by 150 basis points.
At the end of the reported quarter, cash & cash equivalents were $86.7 million, down from $76.6 million at the end of the previous quarter. Net debt increased to $613.2 million at the end of the quarter from $567.3 million at the end of the previous quarter.
FMC Corporation is a diversified chemical company serving agricultural, industrial and consumer markets globally for more than a century with innovative solutions, applications and quality products. We expect the company to grow through a combination of internal and external investments.
For 2010, management raised its EPS guidance to $4.45 to $4.80 from the previous guidance of $4.35 to $4.75. For the second quarter, the company expects it to be in the range of $1.15 to $1.25.

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