Feb 7 (Reuters) - Fertilizer producer Terra Industries Inc (TRA.N: Quote, Profile, Research) said fourth-quarter profit rose six-fold, topping Wall Street expectations, helped by higher nitrogen selling prices.
The company earned $69.7 million, or 66 cents a share for the quarter, up from $11.6 million, or 11 cents a share, a year ago. Revenue for the quarter rose 27 percent to $570 million.
Analysts expected a profit of 64 cents a share, before items, on revenue of $539 million, according to Reuters Estimates.
Nitrogen products revenue for the quarter rose to $554.1 million from $438.2 million last year. Nitrogen solutions selling prices improved 69 percent over last year, while ammonia prices rose 16 percent on stronger demand.
"Nitrogen products selling prices remained strong as high commodity grain prices continued to support very healthy nitrogen demand," Chief Executive Michael Bennett said in a statement.
The company forecast nitrogen prices will remain strong through 2008, but said natural gas
prices will significantly affect product costs.
Shares of the company, which have fallen more than 10 percent so far this year, were trading down $1.59 at $41.06 in morning trade on the New York Stock Exchange.
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