Mosaic Company Reports $272.8 Million Net Loss in Q2 2026

The Mosaic Company reported a significant decline in financial performance for the second quarter of 2026, with a net loss of $272.8 million, or $(0.86) per diluted share, compared to a net income of $410.7 million, or $1.29 per diluted share, in the same period last year. Total net sales for the quarter were $2.82 billion, down 6% from $3.01 billion in the prior year. The company's gross margin also fell sharply to $214.7 million, a 59% decrease from $518.6 million in the previous year, primarily due to increased raw material costs and reduced sales volumes.

In the first half of 2026, Mosaic's net loss reached $530.4 million, compared to a profit of $648.8 million in the same period of 2025. The company attributed the losses to higher input costs, particularly for sulfur and ammonia, as well as strategic decisions to idle and divest certain operations, including the Araxá mining and chemical complex in Brazil. The gross margin for the six-month period decreased by 55% to $450.3 million from $1.01 billion in the prior year, reflecting the impact of these factors.

Operationally, Mosaic faced challenges across its segments. The Phosphate segment reported an operating loss of $104 million for the quarter, compared to a loss of $8 million in the prior year, driven by higher raw material costs and decreased sales volumes. The Potash segment, however, saw a slight increase in operating earnings to $196 million, up from $194 million, benefiting from higher average selling prices despite lower sales volumes. The Mosaic Fertilizantes segment experienced a significant decline, reporting an operating loss of $41 million, down from a profit of $109 million, primarily due to lower sales volumes and increased costs.

Mosaic's strategic developments included the completion of the sale of its Carlsbad potash mine in New Mexico for $20 million, which closed on April 30, 2026. The company also announced plans to temporarily curtail production at certain facilities in response to market conditions and limited sulfur supply. As of June 30, 2026, Mosaic had cash and cash equivalents of $294 million and total assets of approximately $24.64 billion, with a focus on maintaining liquidity and managing debt levels. The company expects to navigate ongoing market volatility and supply chain challenges while pursuing strategic opportunities for growth.