Financial Performance - For the three months ended March 31, 2025, Mosaic reported net sales of 2,620.9million,adecreaseof22,679.4 million in the same period of 2024[106]. - Gross margin increased by 22% to 488.4millionforthethreemonthsendedMarch31,2025,comparedto399.2 million in the prior year, driven by higher average selling prices in the Phosphates segment[106]. - Operating earnings surged 96% to 338.5millionforthethreemonthsendedMarch31,2025,comparedto172.9 million in the prior year[106]. - Net income attributable to Mosaic increased significantly to 238.1million,or0.75 per diluted share, compared to 45.2million,or0.14 per diluted share, in the prior year[107]. Segment Performance - The Phosphate segment's net sales decreased by 6% to 1,098.6millionforthethreemonthsendedMarch31,2025,primarilyduetolowerfinishedgoodssalesvolumes[114].−AveragefinishedproductsellingpriceinthePhosphatesegmentincreasedby7632 per tonne for the three months ended March 31, 2025, compared to 593pertonneintheprioryear[115].−OperatingearningsinthePotashsegmentdecreasedto157 million for the three months ended March 31, 2025, down from 198millionintheprioryear,primarilyduetoloweraveragesellingpricesandsalesvolumes[110].−OperatingearningsintheMosaicFertilizantessegmentincreasedto99 million for the three months ended March 31, 2025, compared to 42millionintheprioryear,drivenbycostimprovementsandincreasedsalesvolumes[111].−ThePotashsegment′snetsalesdecreasedto570.2 million for the three months ended March 31, 2025, down from 643.1millioninthesameperiodayearago,representingan11234 per tonne for the three months ended March 31, 2025, compared to 258pertonneayearago,adecreaseof9168.6 million, down from 211.7million,reflectinga20933.8 million for the three months ended March 31, 2025, up from 886.4million,a5452 per tonne, down from 463pertonne,adecreaseof2127.0 million, up from 75.2million,a69133.1 million, compared to a loss of 100.3millionintheprioryear[107].−Theaverageconsumedpriceforammoniaincreasedby3416 per tonne for the three months ended March 31, 2025, while the average consumed sulfur price increased by 11% to 157perlongton[118].−TheaverageconsumedpriceforammoniainBrazilianoperationsdecreasedto684 per tonne, down from 705pertonne,adeclineof3133.1 million for the three months ended March 31, 2025, compared to a loss of 100.3millionintheprioryear,reflectingasignificantimprovement[143].−AsofMarch31,2025,thefairvalueofMosaic′smajorforeigncurrencyexchangecontractswas(26.7) million, a decrease from (82.6)millionasofDecember31,2024[170].−ThenotionalamountofshortCanadiandollarswas218.1 million with a weighted average rate of 1.4088 Canadian dollars to 1 U.S. dollar as of March 31, 2025[171]. - The notional amount of long Brazilian real was 446.0millionwithaweightedaveragerateof5.8488Brazilianrealto1U.S.dollarasofMarch31,2025[171].−ThefairvalueofnaturalgascommoditiescontractswaszeroasofMarch31,2025,comparedto(1.8) million as of December 31, 2024[173]. - Mosaic uses financial instruments such as forward contracts and futures to hedge against currency exchange rate fluctuations, particularly for the Canadian dollar and Brazilian real[169]. - The company hedges cash flows on a declining basis, up to 18 months for the Canadian dollar and up to 12 months for the Brazilian real[169]. - The fair value of foreign currency exchange derivatives reflects significant exposure to the Canadian dollar and Brazilian real, impacting earnings and cash flows[170]. - The company reported a total fair value of (26.7)millionforforeigncurrencyexchangecontractsasofMarch31,2025[171].−Themanagement′sdiscussionincludesfurtherinformationregardingforeigncurrencyexchangeratesandderivativesinthe10−KReport[170].CashFlowandLiquidity−ForthethreemonthsendedMarch31,2025,thenetcashprovidedbyoperatingactivitieswas42.9 million, a significant improvement of 122.9millioncomparedtoanetcashusedof80.0 million in the same period last year[155]. - The company had cash and cash equivalents of 259.2million,short−termdebtof1.2 billion, and long-term debt of approximately 3.4billionasofMarch31,2025[151].−DuringthethreemonthsendedMarch31,2025,thecompanyreturnedcashdividendsof70.9 million and invested 340.8millionincapitalexpenditures[151].−Thenetcashusedininvestingactivitieswas340.8 million, a decrease of 12% from 387.8millionintheprioryearperiod[154].−Thecompanyhad2.50 billion available under its committed revolving credit facility and approximately 0.8billionavailableunderuncommittedfacilitiesasofMarch31,2025[152].−TheunfavorablechangeinassetsandliabilitiesforthethreemonthsendedMarch31,2025,wasprimarilydrivenbyincreasesininventoriesof162.4 million[156]. - The company received net proceeds of 202.1millionunderitsinventoryfinancingarrangementduringthethreemonthsendedMarch31,2025[158].−Thecompanyexpectsitsliquiditytofluctuate,particularlyinthefirstquarterofeachyear,tomanagethroughtheseasonalityofitsbusiness[151].−Thecompanyhadatargetliquiditybufferofupto3.0 billion, including cash and available credit lines[151]. - The company anticipates that funds generated from operations and available cash will be sufficient to finance operations, capital expenditures, and expected dividend payments for the next 12 months and beyond[152]. Expenses and Taxation - Selling, general and administrative expenses increased by 15.8millionto122.6 million, primarily due to higher incentive compensation and employee benefit costs[140]. - The effective tax rate for the three months ended March 31, 2025, was 20.2%, with income tax expense amounting to $63.3 million[146].