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May 11 (Reuters) - German potash and salt miner K+S on Wednesday reported better-than-expected quarterly core profit, as higher fertiliser prices and positive currency effects more than offset lower sales volumes and increased energy, logistics and material costs.
The group, which produces potash fertilisers and salts for cooking, animal feed and de-icing of roads, said its core earnings (EBITDA) increased fourfold to 524 million euros ($553 million) in the first quarter, beating analysts' average estimate of 514 million euros in a company-provided poll.
It said higher average prices and sales volumes for potash products compensated for the weaker sales in its de-icing salt business due to the mild winter.
K+S produces about 11% of the world's potash, an essential nutrient for crops. Since the beginning of the war in Ukraine, the market prices for the nutrient, which had already risen significantly, have further increased by around 35%.
Russia is one of the world's top suppliers of potash and other crop nutrients such as nitrogen, phosphate, urea and ammonia.
K+S reaffirmed its full-year core profit forecast of 2.3 billion to 2.6 billion euros, which it raised last month.
However, the company said the outlook did not take into account any production interruptions from potential impairments in the energy or gas supply to its German locations.
Canadian rival Nutrien, the world's largest fertiliser company, last week said it was weighing further increases to potash production as sanctions continue to limit shipments from Russia and Belarus. ($1 = 0.9475 euros) (Reporting by Bartosz Dabrowski in Gdansk; editing by Milla Nissi)