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Company News

BRIEF-Potash Corp posts Q4 earnings of $0.07 per share

Jan 26 (Reuters) - Potash Corporation Of Saskatchewan Inc :

* Potash Corp announces preliminary full-year 2016 earnings

* Q4 nitrogen sales volume 1.6 million tonnes versus 1.6 million tonnes in Q3

* Q4 phosphate sales volume 0.7 million tonnes versus 0.8 million tonnes in Q3

* Sees FY 2017 earnings per share $0.35 to $0.55 including items

* Q4 earnings per share view $0.09 -- Thomson Reuters I/B/E/S

* Q4 earnings per share $0.07

* Q4 potash sales volumes 2.2 million versus 2.5 million tonnes in Q3

* Currently undergoing an impairment assessment of carrying value of certain assets, with a particular focus on phosphate

* Q4 nitrogen average realized sales price $182 per tonne versus $200 per tonne in Q3

* Impact of assessment is not reflected in preliminary qtrly results

* Initiated Rocanville ramp-up; expect company-wide potash cost of goods sold to decline by approximately $10 per-tonne in 2017

* Q4 average realized phosphate price $404 per tonne versus $385 per tonne in Q3

* Q4 potash average realized potash price $157 per tonne versus $150 per tonne in Q3

* Forecast full-year potash gross margin of $550-$800 million

* Maintain our global potash shipment estimate of 61-64 million tonnes for 2017

* Forecast combined nitrogen and phosphate gross margin will be in range of $150-$400 million in 2017

* Q4 sales $1,058 million versus $1,354 million last year

* Supported by healthy underlying consumption, lower global inventories, canpotex fully committed for Q1, see “continued potash recovery”

* In China, anticipate “supportive” domestic crop prices and strong affordability to encourage consumption growth in 2017 regarding potash market

* For potash, in India, believe lower nutrient retail prices, reduced inventory levels will support increased demand in 2017

* Potash Corp sees “more cautious second-half outlook for our nitrogen earnings and expected challenges for our phosphate results”

* Expect company-wide potash cost of goods sold to decline by approximately $10 per-tonne in 2017

* Anticipate 2017 potash sales volumes will be in range of 8.7-9.4 million tonnes

* Expect to complete impairment assessment no later than late february

* Sees 2017 potash gross margin $550-$800 million

* Potash Corporation of Saskatchewan Inc sees combined nitrogen and phosphate gross margin will be in range of $150-$400 million in 2017

* Global phosphate markets were subdued during Q4 as Chinese exports, seasonally slow demand in India offset stronger shipments to Latin America

* “Potash demand was strong in Q4”

* Q4 revenue view $1.06 billion -- Thomson Reuters I/B/E/S Source text for Eikon: Further company coverage:

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