Mosaic(US:MOS)2025-11-04 22:01Financial Performance - Q4 2023 diluted net earnings per share was $1.11, while Q1 2024 is projected at $0.14, indicating a significant decline[2] - Total net sales for Q4 2023 were $3,149 million, compared to $2,679 million in Q1 2024, reflecting a decrease of approximately 15%[2] - Adjusted EBITDA for Q4 2023 was $646 million, with a forecast of $576 million for Q1 2024, showing a decline of about 11%[2] - Operating earnings in Q4 2023 were $279 million, with a decrease to $173 million anticipated in Q1 2024[2] - The company reported a net loss attributable to Mosaic of $162 million for Q1 2025, following a profit of $365 million in Q4 2023[2] Sales and Revenue - Phosphate segment sales for Q4 2023 reached $1,070 million, with a slight increase to $1,169 million projected for Q1 2024[2] - Potash segment sales decreased from $758 million in Q4 2023 to $643 million in Q1 2024, a drop of approximately 15%[2] - Mosaic Fertilizantes segment reported $1,192 million in sales for Q4 2023, with a forecast of $886 million for Q1 2024, indicating a decline of about 26%[2] - Total net sales for Q4 2023 were $1,070 million, with a gross margin of $139 million, representing 13% of sales[5] - Finished goods net sales increased to $1,180 million in Q2 2024, up from $1,169 million in Q1 2024[5] Cost and Margin Analysis - Gross margin for Q4 2023 was $560 million, translating to a gross margin rate of 18%, while Q1 2024 is expected to drop to 15%[2] - The phosphate segment's gross margin per tonne of finished product was $88 in Q4 2023, with an adjusted gross margin of $106 per tonne[5] - Net Sales for Q4 2023 were $758 million, with a Gross Margin of $255 million, representing a Gross Margin percentage of 34%[7] - Adjusted Gross Margin for Q4 2023 was $97 million, with a Gross Margin per tonne of finished product at $44[9] Production and Operational Metrics - Total finished product sales volume for Q4 2023 was 1,582,000 tonnes, with an average finished product selling price of $553 per tonne[5] - The operating rate for production in Q4 2023 was 60%, with total tonnes produced at 1,479,000[5] - Production Volume for Q4 2023 was 2,527,000 tonnes, with an Operating Rate of 90%[7] - Total Finished Product sales volume for Q4 2023 was 2,577,000 tonnes, an increase from 2,163,000 tonnes in Q3 2023[7] Capital Expenditures and Investments - Adjusted EBITDA for Q4 2023 was $259 million, with capital expenditures of $208 million[5] - Capital expenditures for Q4 2023 were $105 million, a decrease from $97 million in Q3 2023[7] - Capital expenditures in Q4 2023 amounted to $68 million, with a focus on enhancing production capabilities[9] Foreign Exchange and Notable Items - Consolidated foreign currency transaction loss of $390 million impacted EPS by $(0.99)[20] - Unrealized loss on derivatives amounted to $(80) million, affecting EPS by $(0.20)[20] - Total notable items for Q4 2024 resulted in a net impact of $(40) million, contributing $0.08 to EPS[20] - The company reported a foreign exchange gain of $32 million in Q4 2023, contributing positively to earnings[9] Future Outlook and Strategic Initiatives - Future guidance indicates a projected increase in net sales and gross margin as new products and market expansions are anticipated[9] - The average price of finished products sold by the company is expected to increase, enhancing revenue potential in future quarters[29] - The company plans to focus on market expansion and new product development to drive future growth[29] - The company is committed to improving operational efficiency and reducing costs in response to market conditions[37]