Slide 1: 2012 Fourth Quarter Financial Results
2012 Fourth Quarter Financial Results February 20, 2013 NYSE: CF
Slide 2: Forward-Looking Statements
All statements in this communication, other than those relating to historical facts, are “forward-looking statements.” These forward-looking statements are not guarantees of future performance and are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control,
Slide 3: Financial Highlights
Financial Highlights In millions, except percentages and EPS 2012 Q4 2011 Q4 FY 2012 FY 2011 Reported net sales $ 1,481 $ 1,718 $ 6,104 $ 6,098 Adjusted net sales (1) $ 1,611 $ 1,675 $ 6,104 $ 5,955 Reported gross margin 656 865 3,113 2,896 - As percent of reported sales 44% 50% 51% 48% Adjusted gro
Slide 4: 2012 Accomplishments
2012 Accomplishments Delivered record net earnings, EPS, EBITDA, revenue and operating cash flow Strong demand and excellent execution Robust nitrogen demand amid tight global inventories Healthy domestic phosphate market Low natural gas costs Mitigated impact of low river water levels Clearly delin
Slide 5: Earnings and Cash Flow
Earnings and Cash Flow 2008 2009 2010 2011 2012 Earnings per Share Operating Cash Flow (millions) 5 $7.40
Slide 6: 2012 Segment Results
2012 Segment Results In millions, except as noted FY 2012 H/(L) Reported FY 2011 H/(L) Adjusted FY 2011(1) Sales $ 5,097 $ 85 $ 227 Gross margin 2,914 350 493 - Percent 57% 6 pts 7 pts Volume (000 st) 12,969 (33) (33) Average selling prices ($/st) - Ammonia $ 602 $ 16 $ 44 - Urea 441 30 56 - UAN 308
Slide 7: Q4 Nitrogen Segment Results
Q4 Nitrogen Segment Results (1) Graph source: Green Markets In millions, except as noted 2012 Q4 Reported H/(L) 2011 Q4 Reported 2012 Q4 Adjusted H/(L) 2011 Q4 Adjusted Sales $ 1,226 $ (238) $ 1,355 $ (64) Gross margin 620 (166) 750 7 - Percent 51% (3) pts 55% 3 pts Volume (000 st) 3,279 (65) 3,279
Slide 8: Q4 Phosphate Segment Results
Graph source: Green Markets In millions, except as noted 2012 Q4 H/(L) 2011 Q4 Sales $ 256 $ 1 Gross margin 36 (43) - Percent 14% (17) pts Volume (000 st) 509 70 - DAP 424 57 - MAP 85 13 - Domestic 367 127 - Export 142 (57) Average selling prices ($/st) - DAP $ 499 $ (77) - MAP 527 (77) DAP Central
Slide 9: Supplemental Information
Supplemental Information 9 Source: USDA, CF *Market Year **USDA Season Average Growing Benefit of Shale Gas $/MMBtu Source: PIRA, IFERC U.S. Farm Income (Billions of U.S. Dollars) Source: USDA 0 2 4 6 8 10 12 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2007 2008 2009 2010 2011 2012 Conventional/Othe
Slide 10: Outlook/Summary
Outlook/Summary Continued positive agricultural market conditions Stocks-to-use ratios remain at record lows Corn acreage forecast of 97 million acres Attractive fertilizer market fundamentals Low ammonia inventories and strong domestic nitrogen demand Continued nitrogen supply curtailments and limi
Slide 11: EBITDA and Selected Items
EBITDA and Selected Items 11 (in millions) Quarter ended December 31, Twelve months ended December 31, 2012 2011 2012 2011 Net earnings attributable to common stockholders $ 470.7 $ 438.9 $ 1,848.7 $ 1,539.2 Interest expense (income) – net 28.1 32.0 131.0 145.5 Income taxes 241.9 306.4 963.8 932.0 D
Slide 12: CFL Selling Price Modifications
CFL Selling Price Modifications 12 CF Industries, Inc. (CF Industries) currently owns 49% of the voting common shares and 66% of the non-voting preferred shares of Canadian Fertilizers Limited (CFL), an Alberta, Canada based nitrogen fertilizer manufacturer, and purchases 66% of the production of CF
Slide 13: CFL Selling Price Modifications: Consolidated Results
13 CFL Selling Price Modifications CONSOLIDATED RESULTS Three months ended Twelve months ended December 31, December 31, 2012 2011 2012 2011 (in millions, except as noted) Net sales As reported $ 1,481.4 $ 1,718.4 $ 6,104.0 $ 6,097.9 Impact of selling price adjustment 129.7 (43.7) - (142.6) As adjus
Slide 14: Nitrogen Segment Data
14 Three months ended Twelve months ended NITROGEN SEGMENT DATA December 31, December 31, 2012 2011 2012 2011 (in millions, except as noted) Net sales As reported $ 1,225.6 $ 1,463.1 $ 5,096.6 $ 5,012.1 Impact of selling price adjustment 129.7 (43.7) - (142.6) As adjusted $ 1,355.3 $ 1,419.4 $ 5,096