Shares of Mosaic Co. MOS, -1.80% dropped more than 6% in the extended session Tuesday after the fertilizer and feed producer missed fourth-quarter expectations and said rising agricultural commodity prices will be good for demand for its products this year. Mosaic said it earned $665 million, or $1.76 a share, in the quarter, compared with $828 million, or $2.17 a share, in the year-ago quarter. Adjusted for one-time items, the company earned $1.95 a share. Revenue rose to $3.8 billion from $2.5 billion a year ago Analysts polled by FactSet expected Mosaic to report adjusted earnings of $1.97 a share on sales of $3.9 billion. “Strong agricultural commodity pricing trends are expected to continue driving demand for fertilizers through 2022,” the company said. “Global demand for grain and oilseeds remain high while stock-to-use ratios are at the lowest point in more than a decade,” with food-security worries, rising biofuel consumption, and textiles are driving demand for corn, soybeans, and other agricultural commodities, it said. “As a result, strong global fertilizer demand in 2022 is expected as growers seek to maximize yields.” Mosaic said its board authorized a dividend increase to 60 cents a share, from 45 cents a share, and a new share buyback of $1 billion. Shares of Mosaic ended the regular trading day down 1.8%.
View Article Origin Here
