The Mosaic Company (NYSE: MOS) reported Q4 EPS of $0.44, in-line with the analyst estimate of $0.44. Revenue for the quarter came in at $2.16 billion versus the consensus estimate of $1.93 billion.

Outlook:

Total sales volumes for the Phosphates segment are expected to range from 1.8 to 2.2 million tonnes for the first quarter of 2016, compared to 2.3 million tonnes last year. Mosaic's realized DAP price, FOB plant, is estimated to range from $350 to $370 per tonne for the first quarter of 2016. As Mosaic works through higher cost inventory, the segment gross margin rate in the first quarter is estimated to be around 10 percent, and the operating rate is expected to be in the 70 to 80 percent range, reflecting the Company's decision to curtail production in this period.

Total sales volumes for the Potash segment are expected to range from 1.5 to 1.9 million tonnes for the first quarter of 2016, compared to 2.0 million tonnes last year. Mosaic's realized MOP price, FOB plant, is estimated to range from $200 to $230 per tonne. Mosaic's gross margin rate in the segment is expected to be in the low to mid 20 percent range. The operating rate is expected to be in the 70 to 80 percent range.

Total sales volumes for the International Distribution segment are expected to range from 1.0 to 1.2 million tonnes for the first quarter of 2016, compared to 1.0 million tonnes last year. The segment gross margin per tonne is estimated to be around $10 per tonne.

For the calendar 2016, Mosaic estimates:

• SG&A expenses to range from $350 to $370 million with cost savings offsetting inflation.
• Canadian resource taxes and royalties to range from $180 to $220 million.
• Brine management costs to range from $160 to $180 million.
• The effective tax rate to be in the upper teens.
• Capital expenditures in the range of $0.9 to $1.1 billion and equity investments in MWSPC of approximately $300 million.
• Phosphates sales volumes in the range of 9 to 10 million tonnes.
• Potash sales volumes in the range of 7.5 to 8.5 million tonnes.
• International Distribution sales volumes in the range of 6 to 7 million tonnes.

Beginning in the second quarter of 2016, the Company expects to change how it provides guidance for Potash margin rate and Canadian resource taxes. Gross margin rate guidance will exclude Canadian resources taxes, but include Canadian royalties. Full year Canadian resource tax guidance will be given as a range of rates to be applied to expected gross profits, excluding Canadian resource taxes. Under this new methodology, guidance for the first quarter 2016 is as follows:

• First quarter 2016 Potash gross margin rate, excluding Canadian resource taxes, is expected to be in the low to mid 30 percent range.
• Canadian resource taxes are expected to range from 21 to 25 percent of Potash gross margin excluding Canadian resource taxes.

For earnings history and earnings-related data on The Mosaic Company (MOS) click here.