The Mosaic Company (MOS) Misses Q4 EPS by 3c
The Mosaic Company (NYSE: MOS) reported Q4 EPS of $1.95, $0.03 worse than the analyst estimate of $1.98. Revenue for the quarter came in at $3.84 billion versus the consensus estimate of $3.9 billion.
2022 Expectations and Key Assumptions
The Company provides the following modeling assumptions for the full year 2022:
| Modeling Assumptions | Full Year 2022 | ||||
| Total Capital Expenditures | $1.1 billion | ||||
| Depreciation, Depletion & Amortization | $810 - $830 million | ||||
| Selling, General, and Administrative Expense | $380 - $400 million | ||||
| Net Interest Expense | $150 - $160 million | ||||
| Non-notable adjustments | $100 - $110 million | ||||
| Effective tax rate | Mid 20’s % | ||||
| Cash tax rate | Mid teens % | ||||
Sensitivities Table Using 2021 Cost Structure
The Company provided the following sensitivities to price and foreign exchange rates to help investors anticipate the potential impact of movements in these factors.
| Sensitivity | Full year adj. EBITDA impact(1) | 2021 Actual | ||||||
Average MOP Price / tonne (fob mine)(6) | $10/mt price change = $53 million (5) | $285 | ||||||
Average DAP Price / tonne (fob plant)(6) | $10/mt price change = $94 million | $564 | ||||||
| Average BRL / USD | 0.10 change, unhedged = $10 million(7) | 5.39 | ||||||
(5) Includes impact of Canadian Resource Tax
(6) Approximately 20% of DAP price sensitivity impact is expected to be in the Mosaic Fertilizantes segment.; approximately 5% of the MOP price sensitivity impact is expected to be in the Mosaic Fertilizantes segment.
(7) The company hedged about 50 percent of the annual sensitivity. Over longer periods of time, inflation is expected to offset a portion of currency benefits.
For earnings history and earnings-related data on The Mosaic Company (MOS) click here.