Mosaic (MOS) Reports Volumes & Sales Data for July and August
The Mosaic Company MOS released its combined sales volumes and revenue data for July and August 2023, by business units.
In the first two months of the third quarter of 2023, potash sales volumes rose by 4% year over year to 1.48 million tons. However, revenues dropped from $967 million in the same period of 2022 to $489 million. For the third quarter, Potash sales volumes are projected to be close to the upper end of the previous guidance of 2.1-2.3 million tons. This reflects the continued robust demand in North America. The price guidance for MOP (Muriate of Potash) remains consistent at $250-$300 per ton.
Phosphate sales volumes rose by 10.4% year over year in the first two months of the third quarter of 2023 to 1.08 million tons, but revenues dropped from $966 million in the same period of 2022 to $642 million.
The Mosaic Company Price and Consensus
The Mosaic Company price-consensus-chart | The Mosaic Company Quote
In the Phosphates division, third-quarter sales volumes are expected to be in the range of 1.6-1.8 million tons. However, shipments were affected by Hurricane Idalia, necessitating a brief proactive production halt. Operations in Florida, which produce approximately 20,000 finished product tons daily, resumed within three days. In Louisiana, an unforeseen local utility power disruption at the end of August led to damage at Louisiana's Uncle Sam facility, specifically the largest sulfuric acid plant. Repairs for this facility, operating at a production rate of 15,000 finished product tons per week, are anticipated to conclude by the end of October.
Third-quarter realized DAP (Diammonium Phosphate) prices, calculated on a FOB (Free on Board) basis, are expected to align with the previous guidance of $475-$525 per ton.
Mosaic Fertilizantes sales volumes rose by 6.6% year over year in the first two months of the third quarter of 2023 to 2.06 million tons, but sales revenues dropped from $1,788 million in the same period of 2022 to $1,150 million.
Mosaic’s shares have declined 31% in a year compared with a 34.9% fall recorded by the industry.
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Zacks Rank & Key Picks
Mosaic currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the basic materials space are Carpenter Technology Corporation CRS and Akzo Nobel N.V. AKZOY, both sporting a Zacks Rank #1 (Strong Buy), and Alamos Gold Inc. AGI, carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
The earnings estimate for Carpenter Technology’s current year is pegged at $3.48, indicating a year-over-year growth of 205%. CRS beat the Zacks Consensus Estimate in all the last four quarters, with the average earnings surprise being 10%. The company’s shares have rallied 86.8% in the past year.
The consensus estimate for Akzo Nobel’s current-year earnings is pegged at $1.44, indicating a year-over-year growth of 67.4%. In the past 60 days, AKZOY’s current-year earnings estimate has been revised upward by 2.9%. The company’s shares have rallied 23.6% in the past year.
The earnings estimate for Alamos’ current year is pegged at 43 cents, indicating a year-over-year growth of 53.6%. The Zacks Consensus Estimate for AGI current-year earnings has been revised 13.1% upward in the past 60 days. The company’s shares have risen roughly 62.4% in the past year.
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