Agrium's Landmark Retail Acquisition Reaps Strong Profits In Q4 And 2011
By The Mays Report:
By G C Mays
On the strength of strong pricing, demand and accretive earnings from an acquisition, Agrium Inc (AGU) reported consolidated net income of $193 million on revenues of $3.17 billion for the fourth quarter of its fiscal year 2011. Consolidated annual earnings of $1.37 billion or $8.68 per diluted share for the year were almost double last year's earnings.The company believes that the underlying fundamentals remain strong due to low crop inventory levels for most crops. We know this thesis isn't true for wheat as grain silos around the globe are bursting at the seams as wheat stocks stand at all-time highs. Can the company keep up this revenue growth with already weakening demand in North America and so many uncertainties around the world?
Fourth quarter sales in the retail segment were up 38% to $1.8 billion. For the full year sales were $10.3 billion, 48%Complete Story »