FMC Profit Rises on Herbicide Demand in North America, Europe
31 July 2014 
North American soybeans drove FMC gains in quarter; photo credit: United Soybean Board
U.S. agrochemical company FMC said its crop protection business climbed in the second quarter on higher demand for its pre-emergent herbicides in North American soybeans and higher herbicide sales in Europe.
FMC Agricultural Solutions posted revenue of $531.2 million, up 20% versus the prior-year quarter. Second-quarter earnings were $130.7 million, a 5% increase from a year ago. According to the company, revenue gains were driven by increased demand for FMC’s Authority brand pre-emergent herbicides in North American soybeans and increased herbicide sales in Europe. These sales gains were partially offset by lower North American sales of Capture LFR at-plant insecticides and continued weak demand from Brazilian sugarcane growers.
“As we look toward the second half of 2014, we expect that Latin America will once again drive most of the year-over-year growth in Agricultural Solutions. We are launching new products and expanding our market access positions outside of Brazil,” Chairman and CEO Pierre Brondeau said.
Segment operating margin decreased compared to the prior-year quarter due to the change in product mix described above, increased business spending and unfavorable foreign exchange movements.
For the full year, revenue for Agricultural Solutions is expected to increase in the mid- to high-single digits on a percentage basis, and earnings are expected to grow mid-single digits percent over 2013. Latin American new product introductions and market share gains in cotton and soybeans will be the primary drivers of revenue and earnings growth in the second half of 2014.
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