Eurochem posts 1Q 2011 net profit of 11.3 billion roubles

Eurochem posts 1Q 2011 net profit of 11.3 billion roubles under IFRS
Russian fertilizer producer, eurochem, has posted a 1Q 20110 net profit of 11.3 billion roubles under IFRS.

The net result is up more than 153% year on year from the 4.5 billion rouble profit posted for 1Q 2010, with 1Q EBITDA rising 118% year on year to 11.6 billion, on the back of a 44% year on year increase in 1Q revenues to 31.2 billion roubles.

Eurochem said the figures reflected a strong pricing environment across its product range with CEO, Dmitry Strezhnev, noting a positive outlook with strong demand expected to continue.

“Last year’s results confirmed our commitment to the business and 2011 looks poised to further validate our investment strategy. Prices for our products remained strong, as farmers across the world are encouraged by strong price dynamics for key agricultural commodities and act to increase acreage and yields. Last year’s positive momentum continued in the first quarter and we expect fertilizer consumption to stay strong going into 2012. We crossed another marker on our road to producing all three primary nutrients when we passed the first aquifer during shaft sinking at our Gremyachinskoe potash deposit. We remain on track to complete sinking within the next 18 months.”