DESPITE drought and a cyclical downturn in the resources sector, fertiliser and industrial explosives manufacturer Incitec Pivot has recorded a profit of $398.6 million for the 2015 full year ended September 30.
It represents a 12 per cent profit increase of $42.3m on its 2014 full year results.
Fertilisers earnings before interest and taxes (EBIT) was up 22pc, driven by strong manufacturing performance at Phosphate Hill in north west Queensland which produced a record 1.043 million tonnes of ammonium phosphates.
The fertilisers result benefited from the lower Australian dollar and higher average global DAP price.
However, its distribution earnings fell on the back of seasonal impacts including drought and market competition.
Incitec Pivot's (IPL) explosives EBIT grew by 1pc.
In a statement, IPL managing director and chief executive James Fazzino described the profit increase as a "good result at a time when our customers in the resources and agricultural industries have been severely challenged by cyclical downturns and external influences."
He said IPL's number one priority was safety, and tragically in 2015, a work colleague was fatally injured.
"While our overall safety statistics improved in 2015, we will never be satisfied with a result that doesn't involve zero harm to our people," he said.
Looking to 2016, Mr Fazzino said he expected challenging market conditions for the resources and agricultural industries would persist.
IPL's Louisiana ammonia project in the United States is now 90 per cent complete and on track for first production in the third quarter of 2016.
