Mosaic Company (NYSE:MOS) shares are trading lower after the company reported mixed first-quarter results, including an adjusted earnings per share of five cents, below analyst expectations of 24 cents.

Revenue of $2.998 billion came slightly ahead of the $2.897 billion consensus estimate.

Sales volumes stood at 1.9 million tonnes in Phosphate, 2.2 million tonnes in Potash, and 1.6 million tonnes in Mosaic Fertilizantes.

Adjusted EBITDA fell to $416 million from $544 million a year earlier. This is owing to weaker Fertilizantes performance, lower overall volumes, and higher phosphate raw material costs.

Mosaic generated $104 million in operating cash flow, up from $43 million in the prior-year quarter. This is aided by a $122 million reduction in phosphate finished goods inventories.

Free cash flow was negative $253 million, compared with negative $298 million a year earlier, reflecting seasonal trends and the working capital impacts.

Segment Performances

Potash segment’s net sales rose to $667 million from $570 million a year earlier. Adjusted EBITDA rose to $275 million from $240 million a year ago quarter. Results benefited from stronger pricing. Production volumes of 2.2 million tonnes remained flat Y/Y.

Potash sales volumes increased to 2.2 million tonnes from 2.1 million tonnes in the prior-year quarter, while production volumes remained steady at 2.2 million tonnes.

Phosphate segment sales stood at $1.4 billion, up from $1.1 billion a year earlier. The segment posted an adjusted EBITDA decline to $115 million from $276 million.

This was owing to a $280 million increase in raw material costs, partly offset by stronger sales volumes and lower conversion expenses.

Sales volumes rose to 1.9 million tonnes from 1.5 million tonnes, and production volumes totaled 1.6 million tonnes.

Mosaic Fertilizantes reported net sales of $937 million, largely unchanged from $934 million a year earlier. Adjusted EBITDA declined to $79 million from $122 million a year ago quarter.

Outlook

The company continues to project roughly 9 million tonnes of potash production in 2026, supported by strong output at Esterhazy, which is expected to offset the impact of the Carlsbad divestiture.

Mosiac sees second-quarter potash sales volumes of 1.9–2.1 million tonnes, with realized mine-gate MOP pricing projected at $260–$280 per tonne.

For the second quarter, the company expects phosphate sales volumes of 1.4–1.7 million tonnes and DAP prices of $760–$780 per tonne FOB.

Given ongoing uncertainty surrounding global fertilizer and raw material supply, the company did not provide second-quarter adjusted EBITDA guidance for Mosaic Fertilizantes, as it continues to evaluate production operating rates for the second half of 2026.

Price Action: MOS shares are down 5.36% at $21.00 at the last check on Monday.

Photo via Shutterstock