LONDON, UK / ACCESSWIRE / September 21, 2017 / Pro-Trader Daily has just published a free post-earnings coverage on Phibro Animal Health Corp. (NASDAQ: PAHC) ("Phibro"), which can be viewed by registering at http://protraderdaily.com/optin/?symbol=PAHC, following the Company's disclosure of its fourth quarter and fiscal 2017 financial results on August 30, 2017. The maker of animal health products and nutritional supplements beat earnings expectations. The Company also provided guidance for fiscal 2018. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:

http://protraderdaily.com/register/

At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on PAHC. With the links below you can directly download the report of your stock of interest free of charge at:

http://protraderdaily.com/optin/?symbol=PAHC

Earnings Reviewed

Phibro's net sales were $194.8 million for the three months ended June 30, 2017, increasing 3% compared to net sales of $189.2 million in Q4 FY16. The Company's Animal Health, Mineral Nutrition, and Performance Products grew $2.4 million, $2.5 million, and $0.7 million on a y-o-y basis, respectively. Phibro's net sales were $764.3 million for the year ended June 30, 2017, increasing 2% compared to net sales of $751.5 million for FY16.

Phibro's gross profit was $63.1 million for Q4 FY17, growing 6% compared to $59.6 million in Q4 FY16. The Company's gross profit grew to 32.4% of net sales in the reported quarter from 31.5% for the year-ago same period. Phibro's selling, general, and administrative expenses (SG&A) were $39.6 million for Q4 FY17, gaining $0.1 million compared to $39.5 million in the year-ago corresponding period.

For Q4 FY17, Phibro's foreign currency losses amounted to net losses of $0.5 million compared to $2.5 million in net gains for Q4 FY16. The Company's foreign currency losses in the reported quarter were primarily due to the movement of the Turkish and Argentinean currencies relative to the US dollar. Foreign currency gains and losses primarily arise from intercompany balances.

For Q4 FY17, Phibro's net income was $15.4 million, increasing $0.2 million compared to net income of $15.2 million for Q4 FY16. The Company's diluted EPS was $0.38 for the reported quarter, which was equal to the prior year's same quarter, as a reduced provision for income taxes offset lower income before income taxes. Phibro's adjusted diluted EPS was $0.39 for Q4 FY17 up 22% compared to $0.32 in Q4 FY16, driven by higher gross profit ratio, lower interest expense, net, and a lower effective income tax rate. The Company's earnings beat analysts' expectations of $0.35 per share.

Phibro's adjusted EBITDA was $29.4 million for Q4 FY17, gaining 4% compared to adjusted EBITDA of $28.3 million in Q4 FY16.

For FY17, Phibro reported diluted EPS of $1.61 compared to EPS of $2.07 for FY16, primarily due to an income tax benefit in 2016 related to the $19.6 million release of the valuation allowance for domestic deferred income tax assets. The Company's adjusted diluted EPS was $1.51 for the year compared to $1.43 last year.

Phibro's Segment Results

During Q4 FY17, Animal Health segment's net sales grew 2% to $128.6 million compared to $126.2 million in Q4 FY16. The growth was primarily due to volume increases in the nutritional specialty and vaccine product groups within the segment. The segment's Nutritional specialty products grew 14%, primarily due to volume growth of its products for the US poultry and dairy industries, while Vaccines added 8% primarily due to volume growth of the Company's products for the poultry and swine industries. Excluding the effect of the 2016 acquisition-related cost of goods sold, Animal Health's gross profit increased $2.1 million due to volume growth in nutritional specialty and vaccine products, as well as lower unit costs from improved operating efficiencies. The segment's adjusted EBITDA fell 1% due to increased SG&A, partially offset by sales growth and increased gross profit

For Q4 FY17, the Mineral Nutrition division's net sales jumped 5% to $52.8 million on a y-o-y basis, driven by increased volumes and higher average selling prices resulting from underlying raw material commodity price increases. In the reported quarter, Mineral Nutrition's gross profit increased $0.9 million due to higher average selling prices and volume growth, partially offset by higher raw material costs. For Q4 FY17, Mineral Nutrition's adjusted EBITDA gained 21%, due to improved operating margins from volume growth and from higher average selling prices, partially offset by higher raw material costs.

During Q4 FY17, the Performance Products' net sales advanced 6% to $13.4 million on a y-o-y basis, due to higher volumes of copper-based products and personal care ingredients and higher average selling prices of copper-based products. In the reported quarter, the segment's gross profit decreased $0.4 million due to lower average selling prices of personal care ingredients and higher product costs of copper-based products, partially offset by higher average selling prices of copper-based products. The Performance Products segment's adjusted EBITDA surged 51% to $0.6 million, as higher volumes and lower SG&A were partially offset by higher product costs.

Balance Sheet

Phibro's had a leverage ratio of 2.6x at June 30, 2017, with $315 million of total debt and $120 million of adjusted EBITDA. The Company had $56 million as cash on hand at June 30, 2017

Outlook

For fiscal 2018, Phibro is forecasting consolidated net sales of $765 - $790 million, an increase of up to 3% on a y-o-y basis. The Company is estimating Animal Health segment's revenues of $500 million - $515 million, an increase of up to 3%, representing the majority of the total sales growth. The Mineral Nutrition's revenues are expected to remain steady to a slight increase, with volume growth offset by reduced pricing related to commodity prices, while Performance Products' revenues are expected to be stable or decline slightly for the fiscal year.

Phibro is projecting adjusted EBITDA margins to expand to approximately 16.0% for the year, a 30-40 basis point improvement over the fiscal year 2017.The Company is expecting adjusted diluted EPS of $1.55 - $1.61, an increase of 3% - 7% on a y-o-y basis. Phibro's capital expenditures are expected to be approximately $28 million.

Stock Performance

Phibro Animal Health's share price finished yesterday's trading session at $35.00, sliding 2.37%. A total volume of 108.22 thousand shares have exchanged hands. The Company's stock price soared 28.68% in the past six months and 33.08% in the previous twelve months. Additionally, the stock surged 19.45% since the start of the year. Shares of the Company have a PE ratio of 21.70 and have a dividend yield of 1.14%. The stock currently has a market cap of $1.41 billion.

Pro-Trader Daily:

Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email contact@protraderdaily.com. Rohit Tuli, a CFA® charter-holder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: contact@protraderdaily.com

Phone number: (917) 341.4653

Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Pro-Trader Daily