FMC Earnings: Here’s Why the Stock is Rising Now

FMC Corp. (NYSE:FMC) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 0.01%.

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FMC Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 13.4% to $1.1 in the quarter versus EPS of $0.97 in the year-earlier quarter.

Revenue: Rose 5.26% to $990.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: FMC Corp. reported adjusted EPS income of $1.1 per share. By that measure, the company beat the mean analyst estimate of $1.08. It missed the average revenue estimate of $1.04 billion.

Quoting Management: Pierre Brondeau, FMC president, chief executive officer and chairman, announced today the company is realigning its portfolio. “As we continue to implement our Vision 2015 strategic plan and position the company for future growth beyond 2015, we have evolved our view of FMC as a specialty chemicals company driven by three core platforms: agriculture, health and nutrition, and minerals. This portfolio evolution increases our focus on strategic businesses and markets where we lead today, and where we expect to grow in the future. It also reflects the already disproportionate investment of resources in our two fastest growing businesses, Agricultural Products and BioPolymer, which will be supported by the strong cash generation of our cost-advantaged Alkali business.”

Key Stats (on next page)…

Revenue decreased 0.98% from $1 billion in the previous quarter. EPS increased 35.8% from $0.81 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $1.05 to a profit $0.99. For the current year, the average estimate has moved down from a profit of $4 to a profit of $3.94 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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