American Vanguard Corporation (NYSE: AVD), today announced financial results for the fourth quarter and full year ended December 31, 2012.
Fiscal 2012 Financial Highlights – versus Fiscal 2011:
- Net sales were $366.2 million compared to $301.1 million.
- Net income was $36.8 million compared to $22.1 million.
- Earnings per diluted share were $1.28 versus $0.79.
Fiscal 2012 Fourth Quarter Financial Highlights – versus Fiscal 2011 Fourth Quarter:
- Net sales were $104.3 million compared to $81.8 million.
- Net income was $11.3 million compared to $6.4 million.
- Earnings per diluted share were $0.39 versus $0.23.
Eric Wintemute, Chairman and CEO of American Vanguard, stated: “Our record-setting performance in 2012, capped by our first $100+ million revenue quarter, was driven by strong end-use demand and consistent business execution by our organization. Compared to the prior full-year period, 2012 sales grew by 22% , gross profit margins improved from 41% to 44% , and operating expenses remained steady as a percentage of sales at 28%. This operating performance allowed us to grow our net income by 67% and increase our fully diluted earnings per share to $1.28. Our year-end cash position remained very strong; stockholders equity rose for the year by 20%; and we were able to return additional value to shareholders with a special $0.10/share dividend during December.”Mr. Wintemute continued: “Strong global demand for food, feed, fiber and bio-fuels continues to encourage growers to support the Yield Enhancing Solutions - YES™ that American Vanguard provides. The practice of Integrated Pest Management has stimulated demand for our comprehensive offering of corn soil insecticides and proprietary closed delivery systems. In 2012, we invested in significant capital improvements at our Axis, Alabama facility to support both our growing granular soil insecticide franchise and our strong cotton defoliant business. We also established an international subsidiary in the Netherlands to focus resources on the important long-range objective of global expansion. At year-end, in a bold new initiative, we formed a majority-owned subsidiary with TyraTech, an innovative developer of natural products that will allow us to participate in the growing demand for “green technology” in commercial, consumer and agricultural pest control markets.” - Mr. Wintemute concluded: “In 2013, we are well-positioned to satisfy the continuing strong demand for our many crop protection products. Attractive crop commodity prices continue to give growers the financial health and incentive to invest in our proven technologies for maximizing their harvest output. We are prepared to satisfy the increasing demand for soil insecticides in corn and other crops by maintaining full production of our market-leading products & proprietary equipment systems. We expect to meet the increased demand for our corn herbicide Impact® which has been stimulated by our co-marketing agreement with Monsanto’s Roundup® brands. We believe that 2013 will be very promising for American Vanguard and look forward to providing additional information about those prospects during our earnings conference call.”