Andersons Shares Fall On Weak 3Q Profit

MAUMEE, Ohio (AP) — The Andersons Inc., a diversified agricultural and transportation company, said Wednesday that its third-quarter profit fell 90 percent as fertilizer retailers kept inventories lean and its rail group suffered from double-digit declines in rail traffic amid the economic slump.

The company earned almost $1.3 million, or 7 cents per share, for the quarter that ended Sept. 30, down sharply from $12.8 million, or 70 cents per share, during the same period last year. Revenue tumbled 34 percent to $601 million, from $905.7 million a year earlier.

Analysts surveyed by Thomson Reuters had been expecting a much higher profit of 37 cents per share on revenue of $691.6 million.

Andersons shares fell $2.48, or 8.3 percent, to $27.51 in after-hours trading. Before the results were released the shares had fallen 6 percent to close at $29.99.

The company's plant nutrient group lost $2.8 million in the most recent quarter on revenue of $70 million, compared with a year-earlier profit of $7.2 million on revenue of $162 million. Andersons said margins were down significantly from high levels in the 2008 period, and retailers continue to maintain lower inventory holdings that drove down sales volume.