Compass Minerals Reports Meaningful Fiscal 2021 Revenue Growth
Today, Compass Minerals reported meaningful revenue growth for fiscal 2021, including consolidated revenue up 20% versus the comparable year-over-year period on strong sales volumes across both Salt and Plant Nutrition segments.
“I am grateful for the strong work of our team to successfully navigate a number of headwinds in the third quarter to finish fiscal 2021 within our prior announced guidance range. I am equally pleased with the continued progress we’ve made as a company to safely deliver on our commitments, leverage our advantaged assets and achieve meaningful milestones in our longer-term growth strategy,” said Kevin S. Crutchfield, president and CEO. “Looking forward, I believe the strategic investments we are making to expand our essential minerals portfolio and leverage expected future demand in the lithium and fire retardant markets could be transformational for Compass Minerals. Building upon our stable and market-leading salt and plant nutrition businesses, I’m increasingly confident that we are well positioned to grow our margins and increase shareholder returns over the long-term.”
Other third-quarter and fiscal 2021 highlights reported by the company include:
- Tapered production to manage inventory levels as well as lost volumes related to Hurricane Ida negatively impacted Salt segment operating earnings in the third quarter of 2021
- Lower sulfate of potash (SOP) production volumes tied to temporary pond feedstock inconsistencies drove lower third-quarter 2021 operating earnings in the Plant Nutrition segment
- Fiscal 2022 consolidated guidance includes an adjusted EBITDA range of $220 million to $250 million
- The company recently announced successful third-party conversion testing to battery-grade lithium hydroxide of its sustainable lithium brine resource at its solar evaporation facility on the Great Salt Lake and expects commercial market entry by 2025
- Strategic equity investment recently announced in Fortress North America (Fortress), a next-generation fire retardant company dedicated to developing and producing a portfolio of more environmentally friendly and carbon neutral fire retardants to combat the devastating effects of wildfires; Fortress’ magnesium chloride-based retardant formulations have been developed primarily using essential minerals supplied from Compass Minerals’ Ogden facility
Additionally, the company issued a press release announcing a new dividend allocation strategy, which is expected to allow reinvestment of capital in high-growth opportunities that are anticipated to meaningfully increase shareholder value. For more information, you can read the full press release here.