We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
FMC Corp's (FMC) Earnings and Revenues Surpass Estimates in Q3
Read MoreHide Full Article
FMC Corporation (FMC - Free Report) recorded earnings (as reported) of 95 cents per share in third-quarter 2022, down from $1.24 reported in the year-ago quarter.
Barring one-time items, adjusted earnings per share were $1.23, which topped the Zacks Consensus Estimate of $1.10.
Revenues were $1,377.2 million in the quarter, up around 15% from the year-ago quarter’s levels. The top line surpassed the Zacks Consensus Estimate of $1,342.7 million.
Revenues were driven by a 12% rise in volumes and an 7% contribution from price. The company benefited from a strong start to the Latin American season and pricing actions in all regions.
Sales climbed 21% year over year in North America in the quarter. Demand in the Midwest on corn and other crops offset softness on the West Coast as a result of challenging weather conditions.
Sales in Latin America rose 35% year over year in the reported quarter on strong herbicide and insecticide demand.
Revenues went down 6% year over year in Asia, impacted by erratic weather conditions in a number of countries including India and Pakistan and currency headwinds.
In EMEA, sales fell 12% year over year in the reported quarter.
Financials
The company had cash and cash equivalents of $363.8 million at the end of the quarter, down roughly 7% year over year. Long-term debt was $2,732.5 million, up around 4% year over year.
Guidance
For 2022, FMC raised its revenue outlook to the range of $5.6-$5.8 billion (from $5.5-$5.7 billion), indicating a rise of 13% at the midpoint from 2021 levels. Sales are expected to be driven by higher volumes and prices in all regions partly offset by foreign currency headwinds.
The company also narrowed adjusted EBITDA guidance to the band of $1.37-$1.43 billion for 2022 (compared with $1.36-$1.44 billion expected earlier), indicating a 7% rise at the midpoint from 2021 levels.
FMC also narrowed adjusted earnings per share forecast for 2022 to the range of $7.10-$7.60 (compared with $7.00-$7.70 expected earlier), suggesting an increase of 7% at the midpoint from the 2021 level.
Free cash flow for 2022 is now projected to be $440-$560 million.
The company also sees fourth-quarter revenues in the range of $1.42-$1.62 billion, reflecting an 8% rise at the midpoint compared with the prior-year quarter’s levels. Adjusted earnings are forecast in the range of $2.05-$2.55 per share, representing a rise of 9% at the midpoint from the prior-year quarter’s levels. It also expects adjusted EBITDA in the range of $395-$455 million for the quarter, representing a rise of 15% at the midpoint from the prior-year quarter’s levels.
Price Performance
FMC’s shares are up 28% in the past year compared with a 14.1% decline of the industry.
Image Source: Zacks Investment Research
Zacks Rank & Other Key Picks
FMC currently carries a Zacks Rank #3 (Hold).
Better-ranked stocks worth considering in the basic materials space include Albemarle Corporation (ALB - Free Report) , Sociedad Quimica y Minera de Chile S.A. (SQM - Free Report) and Ryerson Holding Corporation (RYI - Free Report) .
Albemarle, currently sporting a Zacks Rank #1 (Strong Buy), has a projected earnings growth rate of 430.7% for the current year. The Zacks Consensus Estimate for ALB's current-year earnings has been revised 5.8% upward in the past 60 days. You can see the complete list of today’s Zacks #1 Rank stocks here.
Albemarle’s earnings beat the Zacks Consensus Estimate in each of the last four quarters. It has a trailing four-quarter earnings surprise of roughly 24.2%, on average. ALB has gained around 7% in a year.
Sociedad has a projected earnings growth rate of 530.7% for the current year. The Zacks Consensus Estimate for SQM’s current-year earnings has been revised 2.1% upward in the past 60 days.
Sociedad has a trailing four-quarter earnings surprise of roughly 27.2%. SQM has rallied roughly 53% in a year. The company currently carries a Zacks Rank #1.
Ryerson Holding, currently carrying a Zacks Rank #2 (Buy), has an expected earnings growth rate of 74.2% for the current year. The consensus estimate for RYI's earnings for the current year has been revised 3.2% upward in the past 60 days.
Ryerson Holding’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average being 28.9%. RYI has gained around 24% over a year.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
FMC Corp's (FMC) Earnings and Revenues Surpass Estimates in Q3
FMC Corporation (FMC - Free Report) recorded earnings (as reported) of 95 cents per share in third-quarter 2022, down from $1.24 reported in the year-ago quarter.
Barring one-time items, adjusted earnings per share were $1.23, which topped the Zacks Consensus Estimate of $1.10.
Revenues were $1,377.2 million in the quarter, up around 15% from the year-ago quarter’s levels. The top line surpassed the Zacks Consensus Estimate of $1,342.7 million.
Revenues were driven by a 12% rise in volumes and an 7% contribution from price. The company benefited from a strong start to the Latin American season and pricing actions in all regions.
FMC Corporation Price, Consensus and EPS Surprise
FMC Corporation price-consensus-eps-surprise-chart | FMC Corporation Quote
Regional Sales Performance
Sales climbed 21% year over year in North America in the quarter. Demand in the Midwest on corn and other crops offset softness on the West Coast as a result of challenging weather conditions.
Sales in Latin America rose 35% year over year in the reported quarter on strong herbicide and insecticide demand.
Revenues went down 6% year over year in Asia, impacted by erratic weather conditions in a number of countries including India and Pakistan and currency headwinds.
In EMEA, sales fell 12% year over year in the reported quarter.
Financials
The company had cash and cash equivalents of $363.8 million at the end of the quarter, down roughly 7% year over year. Long-term debt was $2,732.5 million, up around 4% year over year.
Guidance
For 2022, FMC raised its revenue outlook to the range of $5.6-$5.8 billion (from $5.5-$5.7 billion), indicating a rise of 13% at the midpoint from 2021 levels. Sales are expected to be driven by higher volumes and prices in all regions partly offset by foreign currency headwinds.
The company also narrowed adjusted EBITDA guidance to the band of $1.37-$1.43 billion for 2022 (compared with $1.36-$1.44 billion expected earlier), indicating a 7% rise at the midpoint from 2021 levels.
FMC also narrowed adjusted earnings per share forecast for 2022 to the range of $7.10-$7.60 (compared with $7.00-$7.70 expected earlier), suggesting an increase of 7% at the midpoint from the 2021 level.
Free cash flow for 2022 is now projected to be $440-$560 million.
The company also sees fourth-quarter revenues in the range of $1.42-$1.62 billion, reflecting an 8% rise at the midpoint compared with the prior-year quarter’s levels. Adjusted earnings are forecast in the range of $2.05-$2.55 per share, representing a rise of 9% at the midpoint from the prior-year quarter’s levels. It also expects adjusted EBITDA in the range of $395-$455 million for the quarter, representing a rise of 15% at the midpoint from the prior-year quarter’s levels.
Price Performance
FMC’s shares are up 28% in the past year compared with a 14.1% decline of the industry.
Image Source: Zacks Investment Research
Zacks Rank & Other Key Picks
FMC currently carries a Zacks Rank #3 (Hold).
Better-ranked stocks worth considering in the basic materials space include Albemarle Corporation (ALB - Free Report) , Sociedad Quimica y Minera de Chile S.A. (SQM - Free Report) and Ryerson Holding Corporation (RYI - Free Report) .
Albemarle, currently sporting a Zacks Rank #1 (Strong Buy), has a projected earnings growth rate of 430.7% for the current year. The Zacks Consensus Estimate for ALB's current-year earnings has been revised 5.8% upward in the past 60 days. You can see the complete list of today’s Zacks #1 Rank stocks here.
Albemarle’s earnings beat the Zacks Consensus Estimate in each of the last four quarters. It has a trailing four-quarter earnings surprise of roughly 24.2%, on average. ALB has gained around 7% in a year.
Sociedad has a projected earnings growth rate of 530.7% for the current year. The Zacks Consensus Estimate for SQM’s current-year earnings has been revised 2.1% upward in the past 60 days.
Sociedad has a trailing four-quarter earnings surprise of roughly 27.2%. SQM has rallied roughly 53% in a year. The company currently carries a Zacks Rank #1.
Ryerson Holding, currently carrying a Zacks Rank #2 (Buy), has an expected earnings growth rate of 74.2% for the current year. The consensus estimate for RYI's earnings for the current year has been revised 3.2% upward in the past 60 days.
Ryerson Holding’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average being 28.9%. RYI has gained around 24% over a year.