Agricultural Solutions

2nd Quarter 2018

Sales in the Agricultural Solutions segment declined slightly compared with the prior-year quarter due to negative currency effects in all regions. We increased sales volumes in South America and Asia in particular, and raised prices slightly.

Factors influencing sales, Agricultural Solutions
2nd quarter 2018

Sales in Europe decreased slightly as a result of negative currency effects. These could not be completely offset by higher volumes, particularly for herbicides in central and eastern Europe.

In North America, sales were considerably lower than in the second quarter of 2017. Sales were reduced by lower volumes, particularly of fungicides in Canada due to the late start to the season and higher inventories at our customers. Negative currency effects also contributed to the decline in sales.

We recorded considerable sales growth in Asia thanks to higher sales volumes of fungicides in India and China, among other countries, and a slight increase in prices in the region. Currency effects had a negative impact on sales.

Sales in the region South America, Africa, Middle East rose considerably, mainly due to higher volumes. Volumes growth in Brazil was driven by fungicides and insecticides, while Argentina saw particularly strong increases in herbicide volumes. Significantly negative currency effects had an offsetting effect.

Income from operations before special items was slightly higher than in the second quarter of 2017. Despite the negative currency effects, a more favorable product mix lifted our average margin. This more than compensated for the slight increase in fixed costs.