Company News

UPDATE 1-Israel Chemicals' quarterly net profit falls, revenue up

(Adds detail on potash sales)

TEL AVIV, Feb 6 (Reuters) - Israel Chemicals (ICL) on Wednesday reported lower fourth-quarter net profit even as revenue increased, weighed down by higher financing and tax expenses.

The world’s sixth-largest producer of potash earned an adjusted net profit of $124 million, which excludes divested businesses, compared with $135 million a year earlier.

Sales rose 4 percent to $1.41 billion but excluding the divestment of certain businesses, sales increased by 8 percent.

Higher prices for its products more than compensated for the negative impact of the depreciation of the euro and Chinese yuan against the dollar, ICL said.

Potash sales rose to $515 million from $414 million a year earlier. The average selling price per tonne rose 20 percent to $292.

The quantity of potash sold slipped by 7,000 tonnes to 1.493 million due to a decrease in potash sales to Europe, which was mostly offset by higher sales to Asia and Latin America.

The company, which has exclusive rights in Israel to extract minerals from the Dead Sea, declared a quarterly dividend of 4.8 cents a share, down from 5.4 cents a year earlier. (Reporting by Tova Cohen; editing by Steven Scheer and Jason Neely)