OVERLAND PARK, Kan.--(BUSINESS WIRE)--
Compass Minerals (NYSE: CMP) announced today that first-quarter 2019
winter weather events in its primary North American deicing markets were
above both the 10-year average and prior-year results, which helped
offset the impact of mild weather in the U.K. as well as lower highway
deicing sales commitments in North America.
Eleven representative cities in the company’s primary North American
highway deicing service area reported 122 snow events during the first
quarter of 2019, which was 12 percent above the 10-year average and 3
percent above first-quarter 2018 results.
As expected, highway deicing sales volumes in the first quarter of 2019
declined from 2018 levels. Mild winter weather in the U.K. this quarter
compared to severe winter in the prior period drove more than half of
the decline.
“Our Salt business has outperformed our expectations thus far in 2019
due to a combination of stronger winter weather in North America,
improved production at our Goderich and Cote Blanche mines, and better
than expected logistics, which allowed us to meet customer demand late
in the season,” said Dick Grant, Compass Minerals chairman of the Board
and interim CEO. “In addition, we completed our March shutdown at the
Goderich mine and have resumed production, and together with the
announced labor agreement with our Cote Blanche mine employees, we
believe we are building momentum in our Salt business as we head into
the remainder of 2019.”
The company sold approximately 3.5 million tons of highway deicing salt
products in first quarter of 2019 compared to 4.3 million tons in the
prior-year period. This total includes all highway maintenance products
sold in the U.S., Canada and the U.K., as well as rock salt sold to the
chemical industry. Sales of all salt products were 4.1 million tons in
the 2019 period compared to 4.8 million tons in the first quarter of
2018.
Snow Events Note: The number of snow events reported may not directly
correlate to Compass Minerals’ deicing results due to a variety of
factors, including the relative significance to the company of the
cities represented and differences in the amount of salt purchased by
customers to establish their pre-season stockpiles. The weather data
should be used only as an indicator of the year-to-year variations in
winter weather conditions in these cities. Compass Minerals draws its
weather data from the U.S. National Weather Service and National
Climatic Data Center and Environment Canada without weighting or other
adjustments.
About Compass Minerals
Compass
Minerals is a leading provider of essential minerals that solve
nature’s challenges, including salt for winter roadway safety and other
consumer, industrial and agricultural uses, and specialty plant
nutrition minerals that improve the quality and yield of crops. The
company produces its minerals at locations throughout the U.S., Canada,
Brazil and the U.K., operating 21 production facilities and employing
more than 3,000 personnel worldwide. Compass Minerals’ mission is to be
the best essential minerals company by safely delivering where and when
it matters. For more information about Compass Minerals and its
products, please visit www.compassminerals.com.
This press release may contain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995,
including without limitation statements about the company’s ability to
build momentum in its business. We use words such as “may,” “would,”
“could,” “should,” “will,” “likely,” “expect,” “anticipate,” “believe,”
“intend,” “plan,” “forecast,” “outlook,” “project,” “estimate” and
similar expressions suggesting future outcomes or events to identify
forward-looking statements or forward-looking information. These
statements are based on the company’s current expectations and involve
risks and uncertainties that could cause the company’s actual results to
differ materially. The differences could be caused by a number of
factors, including without limitation (i) weather conditions, (ii)
pressure on prices and impact from competitive products, (iii) any
inability by the company to fund necessary capital expenditures or
successfully implement any capital projects, (iv) foreign exchange rates
and the cost and availability of transportation for the distribution of
the company’s products, (v) any inability by the company to successfully
implement its cost savings initiatives, and (vi) the effects of changes
in the company’s management. For further information on these and other
risks and uncertainties that may affect the company’s business, see the
“Risk Factors” and “Management’s Discussion and Analysis of Financial
Condition and Results of Operations” sections of the company’s Annual
Report on Form 10-K for the year ended December 31, 2018 and Quarterly
Report on Form 10-Q for the quarter ended March 31, 2019 filed or to be
filed with the SEC. The company undertakes no obligation to update any
forward-looking statements made in this press release to reflect future
events or developments. Because it is not possible to predict or
identify all such factors, this list cannot be considered a complete set
of all potential risks or uncertainties.
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Media Contact
Tara Hefner
Director of Corporate Affairs
+1.913.344.9319
MediaRelations@compassminerals.com
Investor
Contact
Theresa Womble
Director of Investor Relations
+1.913.344.9362
womblet@compassminerals.com
Source: Compass Minerals