Israel Chemicals (TASE: CHIM) published its financial report for the third quarter of 2007 today. The company posted $1.04 billion revenue, up 22% from the $854 million revenue in the corresponding quarter in 2006. Revenue for the first nine months of 2007 totaled $2.89 billion. Net profit for the quarter rose 58% to $149.7 million from $94.8 million in the corresponding quarter of 2006, bringing the total net profit for January-September to $371 million. The company's strong results beat preliminary estimates from Merrill Lynch, which earlier predicted a 48% increase in third quarter net profit to $140 million
Gross profit totaled $384 million, 33% higher than in the corresponding quarter. Operating profit rose 44% to $185 million from $128 million in the corresponding quarter.
Israel Chemicals said the increase was driven by continued sharp rises in potash and phosphate fertilizer prices and demand for those products, mitigated by falling prices and demand for some bromine products. The acquisition of Supresta, completed on August 13, contributed $36 million revenue.
Israel Chemicals' revenue from potash sales rose 53% to $357 million, while revenue from fertilizer and phosphate sales rose 24% to $196 million. The company has approved a dividend of $104 million, to be paid on December 17, with the ex-date set for December 27.
Published by Globes [online], Israel business news - www.globes.co.il - on November 20, 2007
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