SASKATOON (dpa-AFX) - Potash Corp Of Saskatchewan Inc. (POT, POT.TO) reported a sharp fall in its first-quarter net income to $491 million or $0.56 per share from $732 million or $0.84 per share last year. On average, 26 analysts polled by Thomson Reuters expected earnings per share of $0.63 for the quarter. Analysts' estimates typically exclude one-time items.
Gross margin totaled $698 million, compared with $1.1 billion generated in first-quarter 2011. The results largely reflected lower potash sales and production volumes, which resulted in higher costs.
Sales for the 2012 first quarter amounted to $1.75 billion compared with $2.20 billion a year earlier, with net sales declining to $1.64 billion from last year's $2.06 billion. Fourteen analysts estimated revenues of $1.78 billion for the quarter.
Looking ahead, PotashCorp sees second-quarter 2012 earnings of $0.90 - $1.10 per share. Analysts anticipate earnings of $1.07 per share for the second quarter.
The company lowered its full-year 2012 earnings per share guidance to $3.20 - $3.60 from its prior view of $3.40 - $4.00, while 29 analysts project 2012 earnings per share of $3.64.
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