August 15, 2019 / 5:38 AM / a month ago

CORRECTED-UPDATE 1-K+S lifts 2Q revenues, earnings on higher fertilizer prices, volumes

(Corrects previous outlook range in paragraph 2)

Aug 15 (Reuters) - German minerals miner K+S reported higher second-quarter revenues and core earnings on Thursday, citing higher fertilizer prices and higher potash production volumes at its Werra plant in Germany and the Bethune plant in Canada.

The company also narrowed its full-year outlook range for earnings before interest, tax, depreciation and amortization (EBITDA) to between 730 and 830 million euros from previous 700 million euros to 850 million euros range.

“The development of cash flow is very positive, and our earnings growth even accelerated somewhat in the second quarter,” chief executive Burkhard Lohr said in a statement.

Second-quarter EBITDA rose 24% to 130 million euros, below a consensus provided by the company of 135.5 million euros ($151 million).

K+S, the world’s largest producer of salt for food and de-icing, said it had increased its storage capacity for saline waste water, a byproduct of potash processing, at its Werra site in order to prevent another drought from disrupting production.

Regional authorities are set to meet with the Weser river basin community later on Thursday to discuss the company’s plans to build a pipeline to dump waste water into the river, according to the DPA news agency.

Production stoppages at its Werra site due to waste water issues have plagued K+S in recent years and forced the company to cut its forecasts twice last year due to a drought at the German river.

K+S said second-quarter revenues rose 8% to 879 million euros, slightly above the company-provided consensus of 871.6 million euros.

$1 = 0.8969 euros Reporting by Silvia Recchimuzzi in Gdynia Editing by Tomasz Janowski

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