Core Insights - FMC Corporation reported earnings of 53 cents per share for Q2 2025, a significant decrease from $2.35 in the same quarter last year. Adjusted earnings per share were 69 cents, surpassing the Zacks Consensus Estimate of 59 cents [1][9] - Revenues for the quarter reached $1,050.5 million, reflecting a 1.2% increase year-over-year and exceeding the Zacks Consensus Estimate of $965.4 million [1][9] Revenue Drivers - The increase in revenues was primarily driven by a 6% rise in volume, as customers reached desired inventory levels. However, prices fell by 3%, largely due to reductions in specific "cost-plus" contracts, and foreign exchange rates negatively impacted results by 1% [2] - Sales from the growth portfolio increased by a high single-digit percentage, while sales from the core portfolio remained largely unchanged [2] Regional Sales Performance - North America: Sales declined by 5% year-over-year to $321 million, with strong growth in branded products in the U.S. offset by reduced volumes in Canada [3] - Latin America: Sales increased by 1% year-over-year to $310 million, benefiting from strong growth in new active ingredients, surpassing the consensus estimate [4] - Asia: Revenues decreased by 17% year-over-year to $159 million, driven by lower pricing and reduced volume due to destocking in India, missing the consensus estimate [4] - EMEA: Sales increased by 29% year-over-year to $260 million, fueled by significant volume increases, particularly in herbicides and branded products, exceeding the consensus estimate [5] Financial Overview - At the end of the quarter, FMC had cash and cash equivalents of $438.2 million and long-term debt of $3,270 million [6] Guidance - FMC expects full-year revenues (excluding India) to range between $4.08 billion and $4.28 billion, indicating a 2% decline at the midpoint compared to 2024. Adjusted EBITDA is forecasted between $870 million and $950 million, suggesting 1% growth at the midpoint. Adjusted EPS is projected to be between $3.26 and $3.70, indicating no change year-over-year at the midpoint [7] Price Performance - FMC's shares have decreased by 29.2% over the past year, contrasting with a 1.7% increase in the industry [10]

Q2 2025 Performance - Revenue increased by 1% to $1,051 million compared to Q2 2024[6], with organic revenue up by 2%[8, 20] - Adjusted EBITDA increased by 2% to $207 million[6, 9] - Adjusted EPS increased by 10% to $0.69[6] - GAAP Net Income decreased by 77% to $67 million[6] - GAAP EPS decreased by 77% to $0.53[6] Regional Performance - North America revenue decreased by 5% to $321 million[21] - Latin America revenue decreased by 17% to $159 million[21] - Asia revenue increased by 1% to $310 million[21] - EMEA revenue increased by 29% to $260 million[21] Financial Outlook - FY 2025 revenue is projected to be between $408 billion and $428 billion, a decrease of 2% year-over-year[24] - FY 2025 Adjusted EBITDA is projected to be between $870 million and $950 million, an increase of 1% year-over-year[24] - FY 2025 Adjusted EPS is projected to be between $326 and $370, flat year-over-year[24] - Q3 2025 revenue is projected to be between $1 billion and $110 billion, a decrease of 1% year-over-year[26] - Q3 2025 Adjusted EBITDA is projected to be between $210 million and $250 million[26] - Q3 2025 Adjusted EPS is projected to be $078 to $098, an increase of 28% year-over-year[26]

Financial Performance - FMC Corporation reported second quarter 2025 revenue of $1.05 billion, an increase of 1 percent compared to the same period in 2024, and a 2 percent organic growth [1][4] - The company’s GAAP net income for the second quarter was $0.53 per diluted share, reflecting a 77 percent decrease from the prior year due to prior year tax incentives [1][4] - Adjusted earnings per diluted share were $0.69, up 10 percent from the second quarter of 2024 [1][4] Revenue Drivers - The increase in revenue was primarily driven by a 6 percent growth in volume, as customers reached target inventory levels for FMC products, despite a 3 percent decline in pricing [2][3] - Sales in North America decreased by 5 percent, while Latin America saw a 1 percent increase, and EMEA sales rose by 29 percent [3][4] Operational Changes - FMC's Board of Directors approved the divestment of its commercial business in India, with plans to maintain participation in the market through a supply agreement with the buyer [6][7] - The revenue from the India commercial business will be classified as held for sale starting in the third quarter, and its earnings will be excluded from adjusted EBITDA and adjusted EPS [7][8] Future Outlook - For the full year 2025, FMC expects revenue excluding India to be between $4.08 billion and $4.28 billion, a decrease of 2 percent at the midpoint compared to the previous year [10][12] - The third quarter revenue forecast, excluding India, is projected to be between $1.00 billion and $1.10 billion, reflecting a 1 percent decline at the midpoint compared to the third quarter of 2024 [8][12] - Adjusted EBITDA for the third quarter is expected to range from $210 million to $250 million, representing a 14 percent increase at the midpoint compared to the prior year [8][12]

Core Viewpoint - The announcement of a strategic partnership between FMC and Corteva Agriscience has positively impacted FMC's stock price, which rose over 5% during the trading session, outperforming the S&P 500 index [1][2]. Group 1: Partnership Details - FMC has signed a strategic agreement with Corteva Agriscience to enhance its fungicide technology in the U.S. corn and soybean markets [2]. - The partnership involves marketing FMC's fungicide fluindapyr to corn and soybean growers, with Corteva set to launch a fluindapyr-based product for the next growing season [4]. - The U.S. agriculture market for corn and soybeans is substantial, with approximately 95 million acres planted for corn and 80 million acres for soybeans [4]. Group 2: Strategic Implications - The collaboration aims to provide growers with advanced tools to combat diseases, thereby protecting yield potential and maximizing return on investment [5]. - Although FMC did not disclose financial details of the partnership, it is viewed as a significant opportunity to expand its customer base in the agricultural science sector [5].

Core Insights - FMC Corporation has entered a strategic agreement with Corteva Agriscience to expand the use of fluindapyr fungicide technology in the U.S. corn and soybean markets [1][2] - The collaboration aims to provide U.S. growers with advanced tools to combat foliar diseases, enhancing yield potential and return on investment [3] - Fluindapyr is recognized for its effectiveness against pathogens resistant to other fungicides, making it a key component in resistance management strategies [3] Agreement Details - Both FMC and Corteva will market fluindapyr-based fungicide products to U.S. corn and soybean growers, with FMC continuing to offer Adastrio® fungicide [2] - Corteva plans to launch a fluindapyr-based product at the start of the 2026 growing season, pending EPA registration [2] Market Impact - The U.S. corn and soybean markets encompass approximately 95 million and 80 million planted acres, respectively, indicating a significant market opportunity for fluindapyr technology [3] - The introduction of fluindapyr is expected to provide farmers with an additional effective disease management tool, complementing existing fungicides in the market [4] Global Reach - FMC has already commercialized fluindapyr products in several countries, including Argentina, Brazil, and Mexico, and anticipates launching in additional markets such as Chile and India, pending regulatory approvals [4]

Q1 2025 Financial Results - Revenue decreased by 14% from Q1 2024, totaling $791 million compared to $918 million[9] - GAAP Net Loss was $(16) million, a decrease of $(13) million compared to Q1 2024's $(3) million[9] - Adjusted EBITDA decreased by 25% to $120 million, compared to $161 million in Q1 2024[9] - Adjusted EPS decreased by 50% to $0.18, compared to $0.36 in Q1 2024[9] Regional Revenue Performance - North America revenue decreased by 10% organically, or 27% excluding FX, to $207 million[14] - Latin America revenue decreased by 28% year-over-year, but increased by 17% excluding FX, reaching $186 million[14] - Asia revenue decreased by 24% year-over-year, or 21% excluding FX, to $125 million[14] - EMEA revenue decreased by 11% year-over-year, or 7% excluding FX, to $273 million[14] 2025 Financial Outlook - Q2 2025 revenue is projected to be between $104 billion and $1.10 billion, a decrease of 2% year-over-year[25] - Q2 2025 Adjusted EBITDA is expected to be between $175 million and $205 million, a decrease of 6% year-over-year[25] - FY 2025 revenue is projected to be between $4.15 billion and $4.35 billion, flat year-over-year or up 3% excluding GSS[27] - FY 2025 Adjusted EBITDA is projected to be between $870 million and $950 million, up 1% year-over-year or 4% excluding GSS[27] Tariff Impact - The company estimates $15 million to $20 million of direct incremental costs in 2025 due to tariffs[30]

Core Viewpoint - FMC Corporation is expected to report its first-quarter 2025 results on April 30, with a history of beating earnings estimates and a trailing four-quarter earnings surprise of approximately 20.2% [1][4] Earnings Performance - FMC has consistently exceeded Zacks Consensus Estimates for earnings in the last four quarters, with an earnings surprise of 11.1% in the most recent quarter [1][2] - The Earnings ESP for FMC is +34.04%, indicating a strong likelihood of an earnings beat this quarter [4] Revenue Estimates - The Zacks Consensus Estimate for FMC's first-quarter sales is $779 million, reflecting a 15.1% year-over-year decline [7] - Revenue estimates for different regions include: - North America: $224.2 million, a 13.4% decline [7] - Latin America: $137.9 million, a 26.6% decline [7] - EMEA: $278.5 million, a 9.2% decline [8] - Asia: $144.8 million, an 11.8% decline [8] Factors Influencing Performance - FMC is expected to benefit from new product launches and cost-control measures, which are anticipated to support its performance despite challenges [2][9] - The company is focusing on expanding its product portfolio and has seen strong sales from its growth portfolio, including new active ingredients [9] - Cost reductions and a favorable product mix are expected to positively impact margins, with restructuring actions projected to yield $165 million in adjusted EBITDA for full-year 2024 and over $225 million in savings by the end of 2025 [10] Challenges Faced - FMC is likely to encounter challenges from inventory de-stocking and pricing pressures, which may negatively affect volumes and revenues [11][12] - The company projects first-quarter revenues in the range of $750-$800 million, indicating a 16% decrease at the midpoint compared to the same period in 2024 [11] - Weaker prices are expected to continue impacting revenues, with a mid-to-high single-digit price decline anticipated due to adjustments in partner contracts [12]