Slide 1: Mosaic's 1st Quarter Fiscal 2010 Earnings and Conference Call
Mosaic’s 1st Quarter Fiscal 2010 Earnings and Conference Call Tuesday, October 6, 2009 Exhibit 99.2 Jim Prokopanko, President and CEO Dr. Mike Rahm, VP Market Analysis & Strategic Planning Christine Battist, Director - Investor Relations
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about future financial and operating results. Such statements are based upon the current
Slide 3: Mosaic's 1st Quarter Fiscal 2010
Mosaic’s 1 st Quarter Fiscal 2010
Slide 4: Financial Results
Financial Results 08/31/09 08/31/08 (In millions, except per share amounts) Net Sales Gross Margin (% of net sales) Net Earnings (% of net sales) Diluted EPS Effective Tax Rate Cash Flow from Operations Cash and Cash Equivalents as of August 31, 2009 & 2008 Three Months Ended $1,457.2 $4,322.5 $222.
Slide 5: Slide 5
Slide 6: Financial Guidance
Financial Guidance 2nd Qtr FY 2010 FY 2010 Phosphate Sales Volume 1.8 - 2.2 million tonnes DAP Selling Price $265 - $305 / tonne Capital Spending $1.0 billion - $1.2 billion SG&A $350 - $370 million Effective Tax Rate High 20% range Note: Mosaic is not providing financial guidance on potash sales vo
Slide 7: Mosaic's 1st Quarter Fiscal 2010
Mosaic’s 1 st Quarter Fiscal 2010
Slide 8: Potash Strategic Priorities
Potash Strategic Priorities Expansion Through Brownfields Potash demand growth Excellent potash reserves Multi-staged expansions underway Attractive returns
Slide 9: Phosphate Strategic Priorities
Phosphate Strategic Priorities Maintain Competitive Position Leverage scale, location and integration Optimize operational excellence Extend phosphate reserves Energy usage and generation Automation Maintenance practices Capital deployment Manufacturing processes
Slide 10: Mosaic's 1st Quarter Fiscal 2010
Mosaic’s 1 st Quarter Fiscal 2010
Slide 11: Global Economic Recovery Underway
Global Economic Recovery Underway World GDP Growth -3.0% -2.0% -1.0% 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% GDP Growth 1990-2008 CAGR = 2.9% 2004-07 CAGR = 3.9% Source: IHS Global Insight
Slide 12: Led by China and India
Led by China and India GDP Growth Three Largest Asian Countries by Population 3% 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% Source: IHS Global Insight China India Indonesia
Slide 13: Continued Strong Grain and Oilseed Demand Growth
Continued Strong Grain and Oilseed Demand Growth World Grain and Oilseed Production and Use 2.0 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 L M H Bil Tonnes Production Use Source: USDA and Mosaic (for 10/11 scenarios)
Slide 14: Global Stocks Still Not Secure
Global Stocks Still Not Secure World Grain and Oilseed Stocks L M H Mil Tonnes Days Use Stocks Days of Use Source: USDA and Mosaic (for 10/11 scenarios)
Slide 15: Futures Markets Agree
Futures Markets Agree New Crop Soybean Prices Daily Close of New Crop Options January 2, 2009 to September 30, 2009 8.00 8.50 9.00 9.50 10.00 10.50 11.00 Jan Feb Mar Apr May Jun Jul Aug Sep Oct $ BU Nov 2010 Nov 2011 Nov 2012 Source: CBOT New Crop Corn Prices Daily Close of New Crop Options January
Slide 16: A Tale of Two Crops
A Tale of Two Crops U.S. Grain and Oilseed Production and Use Mil Tonnes Production Use Source: USDA World less U.S. Grain and Oilseed Production and Use 1.70 1.75 1.80 1.85 1.90 1.95 2.00 2.05 2.10 2.15 2.20 Bil Tonnes Production Use Source: USDA
Slide 17: China: The Challenge to Boost Crop Yields
China: The Challenge to Boost Crop Yields China Grain and Oilseed Production and Use Mil Tonnes Production Use Source: USDA China MOP Import Demand 09F Mil Tonnes Source: Fertecon and Mosaic
Slide 18: India: Full Steam Ahead for the Rabi Crop
India: Full Steam Ahead for the Rabi Crop India Grain and Oilseed Production and Use Mil Tonnes Production Use Source: USDA Return After Variable Cost for an Indian Farm Operation $0 $200 $400 $600 $800 $1,000 $1,200 2005 2006 2007 2008 2009F Source: Mosaic India $ Ha Rice Wheat
Slide 19: South America: A Poor 2009 Harvest
South America: A Poor 2009 Harvest Argentina Grain and Oilseed Harvested Area and Yield Mil Ha 2.2 2.4 2.6 2.8 3.0 3.2 3.4 MT Ha Harvested Area Yield Source: USDA Brazil Grain and Oilseed Production and Use Mil Tonnes Production Use Source: USDA
Slide 20: South America: Decent Incentives for 2010 Crop
South America: Decent Incentives for 2010 Crop Return After Variable Cost for an Argentina Farm Operation $0 $100 $200 $300 $400 $500 $600 2005/06 2006/07 2007/08 2008/09 2009/10F Source: Mosaic Argentina $ Ha Soybeans in Pergamino Corn in South Santa Fe Wheat in East Buenos Aires Return After Varia
Slide 21: We Expect a Strong Demand Recovery
We Expect a Strong Demand Recovery World Processed Phosphate Import Demand (Excludes China) 08E 09F 10F Mil Tonnes W Europe Asia Less China Oceania L America Other Source: Fertecon, IFA and Mosaic World MOP Import Demand (Excludes the United States and Europe) 08E 09F 10F Mil Tonnes Asia Latin Ameri
Slide 22: Mosaic's 1st Quarter Fiscal 2010
Mosaic’s 1 Quarter Fiscal 2010 st
Slide 23: Mosaic Positioned for Demand Recovery
Mosaic Positioned for Demand Recovery Global economic recovery underway • GDP growth • Led by China, India and Indonesia • More income = more grain intensive Positive outlook for agriculture • Continued strong grain and oilseed demand growth • Production challenges in key countries Mosaic strategic
Slide 24: Thank you
Mosaic’s 1 Quarter Fiscal 2010 Thank you st
Slide 25: Mosaic's Annual Shareholders Meeting
Mosaic’s Annual Shareholders Meeting October 8, 2009, in Regina, Saskatchewan 10:00 a.m. CST (12:00 noon EDT) To view the webcast, please visit www.mosaicco.com/investors