Financial Performance - FMC revenues declined approximately 23 percent year over year in 2023, with a 22 percent organic decline excluding foreign currency impacts[19] - For the year ended December 31, 2023, the company reported revenue of $4,486.8 million, a decrease of 22.7% compared to $5,802.3 million in 2022[292] - Gross margin for 2023 was $1,831.0 million, down from $2,326.8 million in 2022, reflecting a decline of 21.3%[292] - The company incurred total costs and expenses of $3,931.2 million in 2023, compared to $4,658.0 million in 2022, representing a decrease of 15.6%[292] - Net income attributable to FMC stockholders for 2023 was $1,321.5 million, an increase of 79.4% from $736.5 million in 2022[292] - Basic earnings per share attributable to FMC stockholders for continuing operations increased to $11.34 in 2023 from $6.60 in 2022[292] - The company reported a comprehensive income of $1,374.6 million for 2023, compared to $606.5 million in 2022[296] - Net income for 2023 was $1,321.0 million, a significant increase of 78.1% compared to $741.5 million in 2022[304] Revenue Breakdown - Revenue from insecticides was $2,639.4 million in 2023, down 21.1% from $3,346.6 million in 2022[378] - The total revenue from herbicides was $1,278.4 million in 2023, down 22.6% from $1,651.6 million in 2022[378] - FMC's revenue from Latin America was $1,401.1 million in 2023, a decline of 32.9% from $2,088.2 million in 2022[377] Product Development and Innovation - Sales from products launched in the last five years reached approximately $590 million, accounting for 14 percent of total revenue[19] - New product launches in 2023 generated approximately $146 million in sales, including Premio Star in Brazil and Altacor Evo in the United States[19] - The diamide active ingredients Rynaxypyr and Cyazypyr generated combined sales of approximately $1.8 billion, representing about 39 percent of total revenue in 2023[19] - The company is investing in plant health, including biological products, to enhance crop yield and quality[380] - FMC announced the acquisition of BioPhero ApS on June 29, 2022, to enhance its R&D pipeline with pheromone insect control technology[399] Research and Development - Research and development expenses for 2023 were $328.8 million, slightly up from $314.2 million in 2022, indicating a focus on innovation[292] - Research and development efforts are focused on environmentally sound solutions, with continuous investments in the FMC Stine Research Center to upgrade infrastructure and equipment[50] - The company has a robust patent estate with 755 active granted patents related to its diamide products, providing a competitive advantage[33] Sustainability and Environmental Impact - FMC has established sustainability goals for 2025 and 2035, including a commitment to 100% research and development spend on sustainable products and a net-zero greenhouse gas emissions target by 2035[62] - The company has reduced Highly Hazardous Pesticides (HHPs) to approximately 0.1% of total sales in 2023, reflecting its commitment to product stewardship and sustainability[64] - Environmental liabilities are accrued based on estimates for remediation costs, which are reviewed quarterly and adjusted as necessary[361] - Environmental charges for 2023 amounted to $66.9 million, an increase from $34.7 million in 2022[429] Financial Position and Liabilities - Long-lived assets totaled approximately $5.46 billion as of December 31, 2023, a slight decrease from $5.52 billion in 2022[22] - The net financial instrument position as of December 31, 2023, was a net liability of $11.4 million, compared to a net liability of $4.6 million at the end of 2022[280] - The company's debt portfolio consisted of 79% fixed-rate debt and 21% variable-rate debt as of December 31, 2023[287] - Long-term debt increased to $3,023.6 million in 2023, up from $2,733.2 million in 2022, indicating a rise of 10.6%[302] Capital Expenditures and Investments - The company reported capital expenditures of $(133.9) million in 2023, slightly lower than $(142.3) million in 2022[309] - The company paid dividends totaling $290.5 million in 2023, compared to $267.5 million in 2022, an increase of 8.9%[309] - The company’s investments increased to $19.8 million in 2023 from $14.5 million in 2022, a growth of 36.6%[302] Restructuring and Charges - Restructuring charges for the year ended December 31, 2023, amounted to $48.4 million, a significant increase from a restructuring income of $26.1 million in 2022[414] - The company reported a total of $212.3 million in restructuring and other charges for 2023, compared to $93.1 million in 2022, reflecting a substantial increase in restructuring activities[414] - The company expects to incur pre-tax restructuring charges between $180 million and $215 million as part of the "Project Focus" initiative aimed at optimizing costs and productivity[419] Accounting and Compliance - New accounting guidance effective for the company includes ASU 2023-09, requiring improved transparency in income tax disclosures starting from the year ended December 31, 2025[368] - The company is evaluating the impacts of the OECD's Pillar Two Model Rules, which will impose a global minimum tax rate of 15% starting in 2024[370] - The company has adopted new accounting guidance effective January 1, 2023, to improve transparency regarding supplier finance programs[374]

Key PointsFMC stock could quickly become a trader favorite in the current industry expansion caught in the chemical and agricultural space.Understanding that this is a trend already expressed by Wall Street's most prominent names can help you line up your portfolio for it.Analysts may have gotten the tip, so double-digit upside is the theme all over FMC.5 stocks we like better than NVIDIAThe stock market is about to go on a new tear. Some may call it a continuation of an existing trend. Others may consider ...

Financial Data and Key Metrics Changes - Fourth quarter sales in North America decreased by 37% year-over-year due to lower volume after a record Q4 in 2022 [9] - Latin America sales fell by 38%, with a 41% decline excluding foreign exchange effects, attributed to lower volumes and a low double-digit pricing decline [9] - Fourth quarter EBITDA was 41% lower than the prior year, primarily due to lower sales, although cost management provided a strong tailwind [10] - Full year 2023 EBITDA margin was nearly 22%, down approximately 240 basis points but still at industry-leading levels [10][11] - Free cash flow for 2023 was negative $524 million, with adjusted cash from operations down $960 million compared to the prior year [29] Business Line Data and Key Metrics Changes - Branded diamide sales in Q4 were up 5%, with sales flat or higher in all regions [8] - New product introductions (NPI) sales were down only 2% and accounted for over 13% of total revenue, a record high [11] - Full year diamide sales totaled $1.8 billion, a decline of about 15%, while branded diamides were only down 7% [11] Market Data and Key Metrics Changes - Sales in Asia were flat year-over-year, with inventory destocking offsetting growth in fungicides and biologicals [9] - EMEA revenue decreased by 24%, or 22% lower excluding foreign exchange, primarily due to lower volume in herbicides [9] - The company expects the global market to be flat to down low single digits in 2024, with India anticipated to be down for the full year due to channel inventory issues [13] Company Strategy and Development Direction - The company is undergoing a global restructuring plan to transform its operating model, with a focus on cost management and efficiency [16][18] - FMC plans to enhance visibility into channel inventory through various initiatives across key markets [12] - The company anticipates revenue growth in 2024 to be driven by volume growth led by new product introductions, expecting NPI sales to grow by approximately $200 million [14] Management's Comments on Operating Environment and Future Outlook - Management noted that market conditions and buyer behavior were as expected in Q4, with the exception of Latin America, which faced drought conditions [7] - The company expects a transition year in 2024, with a recovery anticipated in the second half of the year [34] - Management remains confident in achieving long-term growth targets despite short-term challenges, citing strong drivers for the industry [34][50] Other Important Information - The company recorded a GAAP income tax benefit of roughly $1.2 billion in Q4 due to extraordinary tax events [25] - Gross debt at year-end was approximately $4 billion, with a gross debt to trailing 12-month EBITDA ratio of 4.0x [27] - The restructuring plan is expected to yield $50 million to $75 million in cost savings for 2024, with a run rate of $150 million by the end of 2025 [18] Q&A Session Summary Question: Update on diamides business and outlook - Management indicated that branded diamides continue to perform well, while non-branded sales are expected to decline as partners draw down inventories [36][37] Question: Pricing expectations by region - Management expects moderate pricing headwinds in 2024, particularly in Latin America, with a small price decline anticipated in Q1 [40][42] Question: Working capital extraction in 2024 - The company plans to release cash from working capital, particularly through accounts payable and inventory management, with a focus on ramping up production in the latter half of the year [43][44] Question: Cadence of EBITDA growth throughout the year - Management expects a transition to growth in Q2, driven by new product introductions and a recovery in market conditions [46][48] Question: Fixed cost absorption and production levels - Management anticipates improved fixed cost absorption as production ramps up in Q2, alleviating some of the pressures seen in Q1 [53][55] Question: New product traction and launches - The company highlighted strong commercial traction for new products, with expectations for significant contributions from launches in 2024 [59][62]

FMC Corporation (FMC) reported earnings of $8.77 per share in fourth-quarter 2023 compared with $2.17 reported in the year-ago quarter.Barring one-time items, adjusted earnings per share were $1.07, missing the Zacks Consensus Estimate of $1.09.Revenues were $1,146.1 million in the quarter, down around 29% from the year-ago quarter’s levels. The top line fell short of the Zacks Consensus Estimate of $1,249.2 million.A 25% decline in volumes impacted FMC’s revenues in the fourth quarter.  A 5% decline in pri ...

Key TakeawaysFMC shares fell sharply after the chemical maker issued first-quarter earnings guidance significantly below analysts' expectations due to weak sales volumes and destocking challenges.The company's Latin American business reported a 38% decline in fourth-quarter sales, compounded by drought conditions in Brazil.Although the FMC share price has recently clawed back above the 50-day moving average, it appears poised to retest the key $50 level. FMC Corporation Source: TradingView.com.Shares in ...

FMC Corp. shares slumped in premarket trade on Tuesday as the Philadelphia fertilizer company issued a weak outlook after missing fourth-quarter sales estimates.FMC stock FMC, -1.64% skidded 16% as the company posted adjusted earnings of $1.07 a share, a drop of 55%, on a 29% drop in revenue to $1.15 billion. Analysts polled by FactSet expected earnings of $1.08 per share on revenue of $1.24 billion.“During the fourth quarter we observed continued channel destocking in all regions, while drought in Brazil a ...

FMC (FMC) came out with quarterly earnings of $1.07 per share, missing the Zacks Consensus Estimate of $1.09 per share. This compares to earnings of $2.37 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -1.83%. A quarter ago, it was expected that this chemical producer would post earnings of $0.45 per share when it actually produced earnings of $0.44, delivering a surprise of -2.22%.Over the last four quarters, the company has ...

Core Insights - FMC Corporation reported a fourth quarter 2023 revenue of $1.15 billion, a decrease of 29% compared to Q4 2022, primarily due to continued channel destocking and adverse weather conditions in Brazil [5][2] - The company achieved a consolidated GAAP net income of $1.10 billion for Q4 2023, reflecting a significant increase of 291% year-over-year, largely attributed to one-time tax benefits from new incentives for its Swiss subsidiaries [5][2] - For the full year 2023, FMC's revenue totaled $4.49 billion, down 23% from 2022, with a GAAP net income of $1.32 billion, up 78% year-over-year [3][5] Fourth Quarter 2023 Highlights - Adjusted EPS was reported at $1.07 per diluted share, down 55% from Q4 2022, while consolidated GAAP earnings were $8.77 per diluted share, up 304% year-over-year [2][5] - Adjusted EBITDA for Q4 2023 was $254 million, a decline of 41% compared to the same period last year [2][5] - New product introductions contributed 14% of total sales in the quarter, with branded diamide sales growing by 5% [5][2] Full-Year 2023 Highlights - The full-year revenue of $4.49 billion represented a 23% decline year-over-year, with an organic revenue decline of 22% [3][5] - Adjusted EBITDA for the year was $978 million, down 30% from 2022 [3][5] - Free cash flow was negative $524 million, a decrease of 202% compared to the previous year [3][5] Full-Year 2024 Outlook - FMC forecasts revenue for 2024 to be between $4.50 billion and $4.70 billion, indicating a potential growth of 2.5% at the midpoint [4][6] - Adjusted EBITDA is expected to range from $900 million to $1.05 billion, remaining essentially flat compared to the prior year [4][6] - The company anticipates free cash flow to be between $400 million and $600 million, reflecting a significant improvement from 2023 [4][6] First Quarter 2024 Outlook - Revenue for Q1 2024 is projected to be between $925 million and $1.075 billion, representing a 26% decrease at the midpoint compared to Q1 2023 [9][6] - Adjusted EBITDA for Q1 is expected to be between $135 million and $165 million, a decline of 59% at the midpoint versus the prior-year period [9][6] - Adjusted EPS for Q1 is forecasted to be in the range of $0.21 to $0.43, indicating an 82% decrease at the midpoint compared to Q1 2023 [9][6]

Analysts on Wall Street project that FMC (FMC) will announce quarterly earnings of $1.09 per share in its forthcoming report, representing a decline of 54% year over year. Revenues are projected to reach $1.25 billion, declining 23% from the same quarter last year.The consensus EPS estimate for the quarter has undergone a downward revision of 25.4% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this ...

FMC (FMC) is expected to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended December 2023. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on February 5, 2024, might help the stock move higher if these key numbers are better than expectati ...