Mosaic's quarterly profit drops on lower fertilizer prices
Feb 21 (Reuters) - Fertilizer maker Mosaic Co posted a lower fourth-quarter profit on Wednesday, as declining fertilizer prices dented margins, and said it will curtail potash production at its Colonsay mine.
The company said potash prices plunged to $243 per tonne in the October-December quarter, from $581 per tonne a year earlier, when prices soared due to the Russia-Ukraine war.
Selling price for phosphate also fell about 24% to $552 per tonne in the fourth-quarter, and sales volumes remained flat.
Fertilizer prices continued their decline during the reported quarter, pressured by higher supplies as exports from top suppliers Belarus and Russia resumed, while the cost of key input materials such as natural gas fell.
The U.S. phosphate maker expects capital expenditures of $1.2 billion in 2024. The firm expects phosphate prices to be in the range of $580 to $605 per tonne in the first quarter of 2024.
CF Industries and Danish peer Yara International ASA , both posted lower quarterly incomes, weighed down by lower prices and demand for fertilizers.
The Tampa, Florida-based firm said it earned $365 million, or $1.11 per share, in the fourth-quarter, compared with $523 million, or $1.52 per share, a year earlier. (Reporting by Vallari Srivastava in Bengaluru; Editing by Shailesh Kuber)
