Shares of K+S AG were gaining around 5 percent in German trade after the supplier of mineral products Thursday said it sees significantly higher EBITDA in fiscal 2021 with improved demand and slightly higher prices. This was despite reporting wider loss and weak sales in the fourth quarter.<\/p>\n
Burkhard Lohr, Chairman of the Board of Executive Directors of K+S, said, “Despite the difficult conditions, we are not satisfied with the EBITDA achieved in 2020… We have seen some improvement in our business<\/span> environment for 2021, and therefore expect higher operating earnings this year.”<\/p>\n For fiscal 2021, the company expects EBITDA from continuing operations to be between 440 million euros and 540 million euros, significantly higher than last year’s 267 million euros.<\/p>\n K+S assumes a very good demand for potash fertilizers and a further recovery in prices during the current year. There would be slightly higher average prices for potash and magnesium fertilizers.<\/p>\n For the first quarter, the company projects above-average demand for de-icing salt due to the winter weather conditions at the beginning of the year. It should also have a positive impact on the early fills business for the current year.<\/p>\n In fiscal 2020, operating earnings EBITDA including discontinued operations was 445 million euros, sharply lower than 640 million euros a year ago. According to the company, weaker than expected recovery in potash prices in the course of 2020 as well as mild winter in North America and Europe that impacted sales volumes of de-icing salt hurt annual results. <\/p>\n Further, the company said it will not pay dividend for the 2020 financial year.<\/p>\n For the fourth quarter, net loss widened to 26.3 million euros from 25.2 million euros in the same quarter last year.<\/p>\n Adjusted net loss per share was 0.16 euros compared to adjusted net income of 0.05 euros in the previous year. EBITDA decreased 62.5 percent to 60.0 million euros from 159.8 million euros in the previous year.<\/p>\n Quarterly revenue also declined 7.5 percent to 947.4 million euros from 1.02 billion euros in the prior year.<\/p>\n In Germany, K&S shares were trading at 9.49 euros, up 4.86 percent. <\/p>\n