Mosaic Company (the) · NYSE:MOS
Mosaic Company (the) — The Mosaic Company — Q1 2018 Earnings Presentation
14 slides from Mosaic Company (the)'s earnings presentation, May 8, 2018
Slide 1: Earnings Conference Call – First Quarter 2018
The Mosaic Company Earnings Conference Call – First Quarter 2018 Joc O’Rourke, President and Chief Executive Officer Presenters: Laura Gagnon, Vice President Investor Relations Date: May 8, 2018
Slide 2: Forward Looking Statements
Forward Looking Statements 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 the anticipated benefits and synergies of our acquisition of the global phosp
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation includes certain non-GAAP financial measures, including adjusted diluted net earnings per share guidance. For important information regarding the non-GAAP measures we present, see “Non-GAAP Financial Measures” in our May 7, 2018 earnings release and the
Slide 4: Executive Summary
Executive Summary ▪ Raising full year adjusted EBITDA to $1.7B - $1.9B and adjusted EPS guidance 1 to $1.20 - $1.60 per share*: Constructive • Expect to recoup most logistics related shipment delays Outlook • Expect market momentum to continue through 2018 • Ahead of schedule on debt pay-down, targe
Slide 5: Improving Market Conditions
Improving Market Conditions Stripping Margin Phosphate and Potash Prices MOP $ Tonne $ Tonne 300 325 Source: Argus 300 275 275 250 250 225 225 200 200 175 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 DAP Stripping Margin MOP cfr Brazil 5
Slide 6: Mosaic Fertilizantes
Mosaic Fertilizantes First Quarter 2018 Results Guidance 1.3M 1.6M 1.6M Mosaic Fertilizantes Guidance Volumes Q2 Sales Volumes 2.0 to 2.3 million tonnes Q2 Gross Margin per Tonne $20 to $30 per tonne $37* GAAP 2018 Sales Volumes 9.2 to 10.0 million tonnes Margin/Tonne $25 $37 $38 ▪ Q1’18 benefited f
Slide 7: Phosphates
Phosphates First Quarter 2018 Results Guidance 1.9M 1.9M 2.2M Phosphates Guidance Volumes Q2 Sales Volumes 2.1 to 2.4 million tonnes Q2 Gross Margin per Tonne $65 to $75 per tonne GAAP $49* 2018 Sales Volumes 8.2 to 9.0 million tonnes Margin/Tonne $55 $57 $65 ▪ Strong operational performance and Non
Slide 8: Potash
Potash First Quarter 2018 Results Guidance 1.7M 1.7M 2.0M Potash Guidance Volumes Q2 Sales Volumes 2.1 to 2.4 million tonnes Q2 Gross Margin per Tonne $50 to $60 per tonne $61* GAAP 2018 Sales Volumes 8.2 to 9.0 million tonnes Margin/Tonne ▪ Expect sales volumes and unit costs to be $50 $64 $64 nega
Slide 9: Capital Allocation Philosophy
Capital Allocation Philosophy Further accelerating debt repayment in 2018 9
Slide 10: Appendix
Appendix 10
Slide 11: Full Year 2018 Guidance
Full Year 2018 Guidance Consolidated Full-Year Guidance 2018 Adjusted Earnings Per Share $1.20 to $1.60* Total SG&A $325 to $350 million Adjusted EBITDA $1.7 to $1.9 billion Capital Expenditures $900 million to $1.1 billion *Reflects an increase of 34 million shares (to 386 million shares) as a resu
Slide 12: Global Phosphate Shipment Forecasts by Region
Global Phosphate Shipment Forecasts by Region (May 2018) Source: IFA, CRU and Mosaic (Numbers may not sum to total due to rounding) DAP / MAP / NPS* / Low High TSP (Million Tonnes) 2015R 2016R 2017E 2018F 2018F Comments Our forecast for 2018 is little-changed, as we look to see stabilization of dome
Slide 13: Global Potash Shipment Forecasts by Region
Global Potash Shipment Forecasts by Region (May 2018) Source: IFA, CRU and Mosaic Muriate of Potash Low High (Numbers may not sum to total due to rounding) Million Tonnes (KCl) 2015 2016 2017E 2018F 2018F Comments 2017 shipments were revised down to 14.6 mmt due to lower production (7.3 mmt producti
Slide 14: Sensitivity Table: Estimated Full Year Impacts
Sensitivity Table: Estimated Full Year Impacts ($ in millions) Impacts to PL: Operating Earnings Δ EPS Δ Average MOP Price --> $10/mt $76 $0.11 Average DAP NA Stripping Margin --> $10/mt $87 $0.16 Average Selling Price Mosaic Fertilizantes Production--> $10/mt $38 $0.07 Potash Sales Volume --> 100k