American Vanguard Expects Channel Inventory To Affect Q4, FY13 Results

(RTTNews) - American Vanguard Corp. (AVD), a diversified specialty and agricultural products company, Friday said that elevated channel inventories, arising primarily from prolonged wet weather last spring in the midwestern United States, would affect its fourth quarter and full year 2013 performance.

Fourth-quarter sales would be about 30 percent lower than last year, while the company expects to report net earnings that are break-even plus or minus a few cents per share.

For the full year 2013, net sales are expected to rise about 5 percent, and net income to be flat to down 15 percent.

The company said in last June that persistent wet weather affected both the corn and cotton markets during the 2013 planting season. The company expects that demand will pick up strongly next quarter as inventories move through the channel.