Mosaic Co Earnings Decline and Future Remains Cloudy
The fertilizer industry continues to struggle as the long-term demand thesis is under pressure. Investors are learning the lesson that price matters in the commodity business. In the case of potash fertilizer, the substantial gross margins of the past may never return after to the breakup of the Belarusian marketing arrangement.
First quarter earnings for The Mosaic Company (NYSE: MOS ) were mostly disappointing, with declining prices for phosphate and potash pushing down operating income. The numbers follow those of PotashCorp (NYSE: POT ) , where analysts continue to forecast a substantial drop in earnings for this year.
Read the full article here.
Disclosure: No positions mentioned. Please review the disclaimer page for more details.
Comments