SASKATOON – Potash Corporation (TSX:POT) posted a US$370-million profit in the first quarter, a US$30-million increase over the same time last year. The increase came despite little change to its sales revenue.
The Saskatoon-based fertilizer producer says the 8.8 per cent improvement in profit was primarily as a result of higher prices for its products and lower production costs.
Those more than offset changes to Saskatchewan’s potash taxes and a lower volume of nitrogen sales amid reduced and increased global supply, including from China.
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The profit — reported in U.S. currency — amounted to 44 cents per share, up from 40 cents per share or $340 million in the first quarter of 2014.
Sales for the three months ended March 31 were nearly $1.67 billion — compared with $1.68 billion last year.
PotashCorp estimated that its profit in the second quarter will be higher — somewhere in the 44 to 55 cents per share range.
The company says that fall in the Canadian dollar since last year will likely continue to push down its costs per tonne.
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