Core Insights - FMC Corporation's shares dropped significantly following a $510 million write-down on its India commercial business and a dividend cut [1][2] Financial Performance - The company reported a GAAP net loss of $569.3 million, or $4.52 per diluted share, in Q3, compared to a net income of $65 million in the same quarter last year [2] - Revenue for Q3 was $542 million, down 49% year-over-year, primarily due to one-time commercial actions in India [4] - Excluding India, revenue fell 4% on a like-for-like basis, with pricing dropping 6% due to cost-plus contract adjustments and increased competition [4] Business Write-Down Details - The India business was previously valued at approximately $960 million but was written down to an estimated fair value of $450 million [3] - The formal impairment charge was about $227 million, along with pre-sale commercial adjustments of approximately $282 million [3] Guidance Adjustments - Full-year revenue guidance was reduced by 7% to a range of $3.92 billion to $4.02 billion [5] - Adjusted EBITDA forecast was lowered by 6% to a range of $830 million to $870 million [5] - Free cash flow guidance was adjusted to a range of zero to negative $200 million [6] Dividend and Leadership Changes - The quarterly dividend was reduced to $0.08 per share to prioritize cash generation and debt reduction [7] - President Ronaldo Pereira will step down effective December 15, with an advisory role until then [7][8] Regional Performance - Year-over-year performance varied by region: North America +4%, Latin America -8%, Asia (excluding India) -47% [10] - Adjusted EPS rose 30% to 89 cents compared to the same quarter last year [10] Stock Performance - The stock is down 40.42% year-to-date, with a market capitalization of $3.63 billion [11]

Revenue Performance - Revenue for Q3 2025 was $542 million, down 49% compared to Q3 2024, primarily due to one-time commercial actions in India[3] - For Q3 2025, revenue is forecasted to be $542.2 million, a decrease from $1,065.4 million in Q3 2024, representing a decline of approximately 49.1%[30] - Total revenue for the three months ended September 30, 2025, was $542.2 million, a decrease of 49% compared to the same period in 2024[57] - Revenue excluding the India commercial business (Non-GAAP) for the three months ended September 30, 2025, was $961.3 million, down 10% year-over-year[60] - Organic revenue change (Non-GAAP) for the three months ended September 30, 2025, was a decline of 11% compared to the same period in 2024[60] Financial Metrics - Adjusted EBITDA for Q3 2025 was $236 million, an increase of 17% versus Q3 2024[3] - Adjusted earnings per diluted share were $0.89, up 30% compared to Q3 2024[3] - Adjusted after-tax earnings from continuing operations attributable to FMC stockholders (non-GAAP) for Q3 2025 are $112.4 million, compared to $87.2 million in Q3 2024, an increase of approximately 28.5%[33] - Adjusted EBITDA outlook for the full year is lowered to $830 million to $870 million, a decline of 6% at the midpoint versus prior year[3] - The adjusted return on invested capital (ROIC) using Non-GAAP numerator was 7.60% for the twelve months ended September 30, 2025[64] Loss and Charges - Consolidated GAAP net loss was $569 million, a decline of $634 million compared to Q3 2024, mainly driven by charges related to the India business[3] - Net loss attributable to FMC stockholders for Q3 2025 is $569.3 million, compared to a net income of $65.0 million in Q3 2024, reflecting a significant decline[30] - Restructuring and other charges for Q3 2025 amount to $294.5 million, compared to $22.6 million in Q3 2024, indicating a substantial increase due to ongoing restructuring efforts[30] - The company recorded $509.6 million in charges related to the India held for sale business, which included one-time commercial actions and an asset impairment charge[50] - For the nine months ended September 30, 2025, the company reported a net loss of $516.4 million, compared to a net income of $357.7 million for the same period in 2024[47] Cash Flow and Investments - Free cash flow forecast is lowered to negative $200 million to $0, reflecting a decline of $714 million at the midpoint from prior year[3] - Free cash flow for the nine months ended September 30, 2025, was $(788.5) million, compared to $224.7 million in 2024[53] - Cash provided by operating activities of continuing operations for the nine months ended September 30, 2025, was a negative $663.3 million[70] - The company reported an increase in cash and cash equivalents to $497.7 million as of September 30, 2025, from $357.3 million at the beginning of the period[70] - Capital additions and other investing activities for Q3 2025 total $24.3 million, up from $13.7 million in Q3 2024, representing an increase of approximately 77.5%[30] Business Strategy and Outlook - Full-year revenue outlook is lowered to $3.92 billion to $4.02 billion, a decrease of 7% at the midpoint versus prior year[3] - The India commercial business is being positioned for sale, with an estimated fair value of $450 million after a write-down of approximately $510 million[10] - The company initiated a plan to divest from its commercial business in India, with the sale process expected to conclude within the next twelve months[40] - The company is unable to provide GAAP revenue forecasts due to uncertainties related to the India held for sale business and potential restructuring actions[28] - Adjusted EBITDA and free cash flow forecasts are provided, but GAAP measures remain unpredictable due to various restructuring and acquisition charges[28] Tax and Legal Matters - The income tax expense for corporate special charges included a $34.5 million reduction in the legal reserve due to a decrease in outstanding cases[44] - The company recorded a net tax benefit of approximately $300 million in the nine months ended September 30, 2024, due to changes in its corporate entity structure[46] Assets and Liabilities - Total current assets increased to $5,567.3 million as of September 30, 2025, compared to $4,958.3 million at the end of 2024[67] - Total debt as of September 30, 2025, was $4,542.2 million, up from $4,070.0 million at the end of 2024[64] - The net assets related to the India commercial business classified as held for sale were valued at $450.0 million as of September 30, 2025[68]

Core Points - Ronaldo Pereira, president of FMC Corporation, will step down effective December 15, 2025, after 28 years with the company [1][2] - The decision for Pereira's departure was made by mutual agreement with Pierre Brondeau, chairman and CEO [1][2] - Pereira will assist in an advisory role until his departure to ensure a smooth transition [2] Company Overview - FMC Corporation is a global agricultural sciences company focused on providing solutions for food, feed, fiber, and fuel production [3] - The company emphasizes innovative crop protection solutions, including biologicals, crop nutrition, and digital agriculture [3] - FMC is committed to developing new active ingredients and technologies that are environmentally friendly [3]

Core Insights - The materials sector has several oversold stocks, presenting potential buying opportunities for undervalued companies [1] - The Relative Strength Index (RSI) is a key indicator for identifying oversold conditions, with a value below 30 indicating potential buying opportunities [1] Company Summaries - **FMC Corp (NYSE:FMC)**: - Current RSI Value: 22.7 - Recent Price Action: Shares fell 2.5% to close at $30.34 - Stock Performance: Fell around 18% over the past month, with a 52-week low of $30.15 - Analyst Ratings: UBS and Citigroup maintained a Neutral rating, lowering price targets from $44 to $36 and $42 to $34 respectively [8] - **Corteva Inc (NYSE:CTVA)**: - Current RSI Value: 29.8 - Recent Price Action: Shares fell 3.8% to close at $63.11 - Stock Performance: Fell around 13% over the past month, with a 52-week low of $53.40 - Analyst Ratings: Mizuho maintained an Outperform rating, lowering the price target from $85 to $78 [8] - **Graphic Packaging Holding Co (NYSE:GPK)**: - Current RSI Value: 25.9 - Recent Price Action: Shares fell 1% to close at $18.79 - Stock Performance: Fell around 9% over the past month, with a 52-week low of $18.76 - Analyst Ratings: UBS and Citigroup maintained a Neutral rating, lowering price targets from $24 to $20 and $23 to $21 respectively [8]

Core Insights - The materials sector has several oversold stocks that present potential buying opportunities for undervalued companies [1][2] Group 1: Oversold Stocks - FMC Corp (NYSE:FMC) has an RSI of 22.7, with a recent stock price of $30.34, down 18% over the past month, and a 52-week low of $30.15 [8] - Corteva Inc (NYSE:CTVA) has an RSI of 29.8, with a recent stock price of $63.11, down 13% over the past month, and a 52-week low of $53.40 [8] - Graphic Packaging Holding Co (NYSE:GPK) has an RSI of 25.9, with a recent stock price of $18.79, down 9% over the past month, and a 52-week low of $18.76 [8]

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against FMC Corporation due to a class action complaint alleging breaches of fiduciary duties by the board of directors during the specified Class Period [1] Summary by Sections Class Action Complaint - The class action complaint alleges that FMC Corporation made materially false and misleading statements and failed to disclose adverse facts about its business and operations during the Class Period from November 16, 2023, to February 4, 2025 [2] - Specific allegations include: 1. The company's channel management initiatives were not progressing as represented 2. The company chose not to compete on prices due to pricing pressure, leading to missed sales opportunities 3. There was inflated inventory in channels across LATAM, Asia, Canada, and Eastern Europe 4. Positive statements made by the defendants regarding the company's business lacked a reasonable basis and were materially misleading [2] Next Steps for Shareholders - Long-term stockholders of FMC Corporation are encouraged to reach out for more information regarding the claims or any questions about their rights or interests [3] About the Law Firm - Bragar Eagel & Squire, P.C. is a law firm recognized nationally, representing investors in various complex litigations across state and federal courts [4] Contact Information - Shareholders can contact the firm via email or phone for inquiries related to the investigation [6]

Group 1 - FMC Corporation is recognized as one of the 10 Most Promising Green Stocks according to Wall Street Analysts, supported by strong hedge fund backing and favorable analyst ratings [1] - At the Jefferies Mining and Industrials Conference 2025, FMC emphasized its focus on innovation, particularly in expanding its biological portfolio and introducing new active components Fluentapir and Isoflex to address the expiration of its Rynaxypyr patent [2] - FMC reported improved inventory control and described current market conditions as "normalized," reiterating its Q3 and Q4 forecasts, with September sales and the Latin American season identified as key growth drivers [3] Group 2 - In Q2 2025, FMC posted sales of $1.05 billion, exceeding expectations by 5%, and an EPS of $0.69, up from $0.62, while highlighting advancements in Brazil related to cost efficiency and new product introductions [4] - FMC Corporation operates in the agricultural sciences sector, providing crop protection products such as insecticides, herbicides, and fungicides to farmers across various regions including Latin America, North America, Europe, the Middle East, Africa, and Asia [5]

Core Viewpoint - FMC Corporation is set to release its third quarter 2025 earnings on October 29, 2025, followed by a public webcast conference call on October 30, 2025, at 9:00 a.m. ET [1][2]. Group 1: Earnings Release and Conference Call - The earnings release will be available after the stock market closes on October 29, 2025, through PR Newswire and the company's website [1]. - The conference call will be accessible via internet broadcast and telephone, with a replay available from October 30, 2025, until November 6, 2025 [2]. Group 2: Company Overview - FMC Corporation is a global agricultural sciences company focused on providing solutions for food, feed, fiber, and fuel production while addressing environmental challenges [3]. - The company specializes in innovative crop protection solutions, including biologicals, crop nutrition, and digital agriculture, aimed at helping growers tackle economic and environmental challenges [3].

Group 1 - The article discusses the expansion of coverage to the chemical industry, indicating a belief that valuation models applicable to other sectors can also be used here [1] - The investing group, The Aerospace Forum, focuses on identifying investment opportunities in the aerospace, defense, and airline sectors, leveraging data-informed analysis [1] - The analyst provides context to industry developments and their potential impact on investment theses, emphasizing the importance of understanding trends [1] Group 2 - The article highlights the availability of data analytics monitors for investors, which can enhance decision-making processes [1] - It is noted that the analyst has no current positions in the companies mentioned, ensuring an unbiased perspective [1]

Group 1 - The article discusses the philosophy of value investing, emphasizing the importance of seeking opportunities presented by the market rather than focusing solely on outperforming benchmarks [1] - The author has extensive experience in the hedge fund industry, having worked as a Portfolio Manager and Domestic Equity Analyst, managing a Long/Short Equity product with gross assets exceeding 1 billion dollars [1] - The investment strategy combines fundamental analysis with technical analysis for risk management and focuses on unconventional investments and overlooked securities [1] Group 2 - The author holds a beneficial long position in FMC and LYB, indicating a personal investment interest in these companies [2] - The article expresses the author's opinions without any compensation from the companies mentioned, highlighting an independent perspective [2]