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Innophos Holdings, Inc. Reports First Quarter 2013 Results
Date:4/29/2013

Canada business, was therefore unfavorable to margins at both the customer and product level." 

Mr. Gress added, "Our results during the quarter were also affected by our Mexico operations suffering from various equipment performance and maintenance issues.  As a result, our Coatzacoalcos facility experienced reduced production volumes, lower efficiencies and incurred higher maintenance expenses. The issues largely arose in areas already targeted for improvement in our long term upgrade plan for the facility. As a result, we have accelerated our upgrade program with several important improvements completed during the quarter that have already resulted in improved operating performance, with further upgrades to follow in the second quarter. Our long-term plan for this facility remains critical to our efforts in the region, and we are confident these actions will substantially improve manufacturing reliability and performance going forward."

Mr. Gress concluded, "I am confident that we will overcome these temporary hurdles and get our business back on track in the next quarter as we have consistently done since the formation of Innophos.  We remain well-positioned to generate above market revenue growth as our strategic growth initiatives continue to gain traction. In the face of significant variation across our end markets, particularly in the U.S., we believe most of the factors that affected our margins during the quarter are temporary and, therefore, we expect to see improvements in the second quarter and throughout the remainder of 2013."Segment Results first quarter 2013 versus 2012 Specialty PhosphatesSpecialty Phosphates sales revenue was down 1% year-over-year on lower sales in Mexico.  US/Canada volumes were up 7% on acquisitions. Mexico volumes were significantly affected by low production levels due to equipment reliability issues. 

Operating income at $11 million was $22 million below first quarter 2012 lev
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SOURCE Innophos Holdings, Inc.
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