|By PR Newswire||
|December 11, 2012 04:48 PM EST||
PHILADELPHIA, Dec. 11, 2012 /PRNewswire/ -- FMC Corporation (NYSE:FMC) today announced the company is on track to meet or exceed aggressive performance targets as part of its Vision 2015 strategy to profitably double the company's size.
At its 2012 Investor Day conference in New York, Pierre Brondeau, FMC president, CEO and chairman, said that over the last three years, FMC has executed its growth plan and has capitalized on the unique strengths of the company to deliver strong performance against Vision 2015 targets announced in 2010.
"We developed an aggressive, but achievable, strategy to unlock the growth potential of FMC, leading to a larger, more profitable, faster growing specialty chemicals company," Brondeau said. "Halfway through our plan, we are well on our way to achieve or exceed our targets. We've delivered exceptional results over the last several years, despite continuing macroeconomic uncertainty."
Strong Progress to Deliver Vision 2015
The company provided an update on its expectations for Vision 2015 during the event:
- FMC expects to exceed its $5 billion 2015 sales target by at least 10 percent. This would represent more than doubling of company revenues since 2009.
- The company expects to meet or exceed its 2015 EBIT target of $1.2 billion, approximately 2.5 times its EBIT in 2009. EBIT is up 50 percent over the last three years.
- Return on Invested Capital (ROIC) will remain well above the Vision 2015 target of mid-teens or higher. The company has expanded total EBIT margins, up more than 120 basis points from 2009 through today, despite significant growth investments. The company expects EBIT margins to continue to expand an additional 230 basis points by 2015.
- FMC continues to maintain disciplined and balanced cash deployment, with more than $1.5 billion deployed in the last three years. Approximately 40 percent has been used for organic reinvestment, approximately 20 percent for external growth, and approximately 35 percent returned to shareholders in the form of dividends and share repurchases.
Updated Vision 2015 Expectations in Reportable Segments
FMC expects its Agricultural Products Group to deliver sales of approximately $2.8 billion and EBIT of approximately $675 million in 2015. Performance drivers include a rich organic growth pipeline with sustained premium margins and a unique manufacturing and R&D model that delivers results at lower cost.
The Specialty Chemicals Group is expected to deliver sales of approximately $1.2 billion and EBIT of approximately $275 million in 2015. Driving this performance are continued solid, steady performance from the BioPolymer business with the new natural colors and pectin product lines helping to accelerate growth. Lithium performance is anticipated to improve, driven by mix optimization and cost reduction initiatives.
The Industrial Chemicals Group is expected to deliver sales of approximately $1.4 billion, generating EBIT of approximately $250 million in 2015. This performance will be driven by the company's market leadership in soda ash, the continuing shift toward higher value specialties in Peroxygens and growing the new FMC Environmental Solutions business unit.
Cash Deployment Through 2015
FMC expects to have approximately $4 billion in cash to deploy over the plan horizon ending in 2015. Approximately $3 billion will be generated from cumulative cash flow from operations, with the remainder coming from the company's borrowing capacity. The company expects to invest more in organic growth opportunities than originally contemplated at the start of Vision 2015, and will continue to pursue strategic external investments. Large, complex or transformational acquisitions are not expected over the plan horizon.
The company earlier today announced that its Board of Directors approved a 50 percent increase in its dividend. In the future, FMC's dividend is expected to grow broadly in line with the rate of earnings growth. Furthermore, the company expects to continue share repurchases at a pace of $100 million to $150 million per year, with timing and size of repurchases opportunistic relative to other uses of cash.
Earnings Per Share Growth
FMC expects adjusted earnings per share (EPS) to grow at a rate of approximately 18 to 22 percent per year from 2012 through 2015, continuing the company's strong EPS performance. For 2013, while the company is not quite ready to provide formal guidance, the company does anticipate adjusted EPS growth in the mid-teens percent range versus 2012.
"Our management team is intently focused on delivering what we said we'd do," said Brondeau. "We're on the right trajectory to meet or exceed our Vision 2015 targets, and we're planting the right seeds today to ensure strong profitable growth well beyond 2015. We continue to evolve our portfolio, investing in current product lines and pursuing new ones. Over the next few years, we fully expect meaningful contributions from the new FMC Environmental Solutions business, from new natural colors and pectin product lines and from our expanding Agricultural Products portfolio," Brondeau added.
"Our growth through 2015 and beyond also will be driven by technology investments that support commercial success, continued expansion in fast-growing rapidly developing economies and our ongoing rebalancing of FMC's centralized/decentralized organizational model that leverages our size without compromising strong business accountability," Brondeau said.
Today's Investor Day event was webcast live over the internet. A replay of the webcast and a copy of today's presentations are available on the Investor Relations section of the company's website at www.fmc.com.
FMC Corporation is a diversified chemical company serving agricultural, industrial, environmental, and consumer markets globally for more than a century with innovative solutions, applications and quality products. In 2011, FMC had annual sales of approximately $3.4 billion. The company employs approximately 5,500 people throughout the world, and operates its businesses in three segments: Agricultural Products, Specialty Chemicals and Industrial Chemicals. For more information, visit www.FMC.com.
Safe Harbor Statement under the Private Securities Act of 1995: Statements in this news release that are forward-looking statements are subject to various risks and uncertainties concerning specific factors described in FMC Corporation's 2011 Form 10-K and other SEC filings. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. FMC Corporation does not intend to update this information and disclaims any legal obligation to the contrary. Historical information is not necessarily indicative of future performance.
SOURCE FMC Corporation
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, discussed single-value, geo-spatial, and log time series dat...
Dec. 25, 2014 12:00 AM EST Reads: 2,074
In her General Session at 15th Cloud Expo, Anne Plese, Senior Consultant, Cloud Product Marketing, at Verizon Enterprise, focused on finding the right mix of renting vs. buying Oracle capacity to scale to meet business demands, and offer validated Oracle database TCO models for Oracle development and testing environments. Anne Plese is a marketing and technology enthusiast/realist with over 19+ years in high tech. At Verizon Enterprise, she focuses on driving growth for the Verizon Cloud platfo...
Dec. 25, 2014 12:00 AM EST Reads: 2,334
Lori MacVittie is responsible for education and evangelism of application services available across F5's entire product suite. Her role includes authorship of technical materials and participation in a number of community-based forums and industry standards organizations, among other efforts. MacVittie has extensive programming experience as an application architect, as well as network and systems development and administration expertise. Prior to joining F5, MacVittie was an award-winning Senio...
Dec. 24, 2014 09:00 PM EST Reads: 1,213
15th Cloud Expo, which took place Nov. 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA, expanded the conference content of @ThingsExpo, Big Data Expo, and DevOps Summit to include two developer events. IBM held a Bluemix Developer Playground on November 5 and ElasticBox held a Hackathon on November 6. Both events took place on the expo floor. The Bluemix Developer Playground, for developers of all levels, highlighted the ease of use of Bluemix, its services and functionalit...
Dec. 24, 2014 06:30 PM EST Reads: 1,913
SYS-CON Media announced today that Skytap blog on "DevOps Journal" exceeded 84,000 story reads. DevOps Journal is focused on this critical enterprise IT topic in the world of cloud computing. DevOps Journal brings valuable information to DevOps professionals who are transforming the way enterprise IT is done. Noel Wurst is the managing content editor at Skytap. Skytap provides SaaS-based dev/test environments to the enterprise. Skytap solution removes the inefficiencies and constraints that comp...
Dec. 24, 2014 05:00 PM EST Reads: 1,310
SYS-CON Events announced today that Gridstore™, the leader in hyper-converged infrastructure purpose-built to optimize Microsoft workloads, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Gridstore™ is the leader in hyper-converged infrastructure purpose-built for Microsoft workloads and designed to accelerate applications in virtualized environments. Gridstore’s hyper-converged infrastructure is the ...
Dec. 24, 2014 04:00 PM EST Reads: 1,702
The 3rd International @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to th...
Dec. 24, 2014 02:00 PM EST Reads: 2,602
"There is a natural synchronization between the business models, the IoT is there to support ,” explained Brendan O'Brien, Co-founder and Chief Architect of Aria Systems, in this SYS-CON.tv interview at the 15th International Cloud Expo®, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Dec. 24, 2014 02:00 PM EST Reads: 2,811
The Internet of Things promises to transform businesses (and lives), but navigating the business and technical path to success can be difficult to understand. In his session at @ThingsExpo, Sean Lorenz, Technical Product Manager for Xively at LogMeIn, demonstrated how to approach creating broadly successful connected customer solutions using real world business transformation studies including New England BioLabs and more.
Dec. 24, 2014 01:45 PM EST Reads: 1,944
The Internet of Things will greatly expand the opportunities for data collection and new business models driven off of that data. In her session at @ThingsExpo, Esmeralda Swartz, CMO of MetraTech, discussed how for this to be effective you not only need to have infrastructure and operational models capable of utilizing this new phenomenon, but increasingly service providers will need to convince a skeptical public to participate. Get ready to show them the money!
Dec. 24, 2014 01:00 PM EST Reads: 1,911
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff happe...
Dec. 24, 2014 12:30 PM EST Reads: 1,921
WebRTC defines no default signaling protocol, causing fragmentation between WebRTC silos. SIP and XMPP provide possibilities, but come with considerable complexity and are not designed for use in a web environment. In his session at @ThingsExpo, Matthew Hodgson, technical co-founder of the Matrix.org, discussed how Matrix is a new non-profit Open Source Project that defines both a new HTTP-based standard for VoIP & IM signaling and provides reference implementations.
Dec. 24, 2014 12:30 PM EST Reads: 1,755
"ElasticBox is an enterprise company that makes it very easy for developers and IT ops to collaborate to develop, build and deploy applications on any cloud - private, public or hybrid," stated Monish Sharma, VP of Customer Success at ElasticBox, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Dec. 24, 2014 12:00 PM EST Reads: 1,697
The definition of IoT is not new, in fact it’s been around for over a decade. What has changed is the public's awareness that the technology we use on a daily basis has caught up on the vision of an always on, always connected world. If you look into the details of what comprises the IoT, you’ll see that it includes everything from cloud computing, Big Data analytics, “Things,” Web communication, applications, network, storage, etc. It is essentially including everything connected online from ha...
Dec. 24, 2014 12:00 PM EST Reads: 2,117
An entirely new security model is needed for the Internet of Things, or is it? Can we save some old and tested controls for this new and different environment? In his session at @ThingsExpo, New York's at the Javits Center, Davi Ottenheimer, EMC Senior Director of Trust, reviewed hands-on lessons with IoT devices and reveal a new risk balance you might not expect. Davi Ottenheimer, EMC Senior Director of Trust, has more than nineteen years' experience managing global security operations and asse...
Dec. 24, 2014 11:45 AM EST Reads: 2,201