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FMC's Earnings Surpass Estimates in Q2 on Higher Volumes

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Key Takeaways

  • FMC reported adjusted Q2 EPS of 69 cents, beating the consensus estimates.
  • Revenue rose 1.2% to $1.05B on 6% volume growth, overcoming lower prices and FX headwinds.
  • Growth portfolio sales rose, while core remained flat; Asia posted double-digit declines.

FMC Corporation (FMC - Free Report) reported earnings of 53 cents per share for second-quarter 2025, down from $2.35 in the year-ago quarter.

Barring one-time items, adjusted earnings per share were 69 cents, beating the Zacks Consensus Estimate of 59 cents.

Revenues were $1,050.5 million in the quarter, up around 1.2% from the year-ago quarter’s levels. The top line surpassed the Zacks Consensus Estimate of $965.4 million.

Second-quarter revenues increased primarily due to a 6% rise in volume, as customers in most countries seemed to have reached their desired inventory levels for FMC products. Prices fell 3%, with more than half of the decline linked to price reductions in specific "cost-plus" contracts with certain diamide partners, reflecting lower manufacturing costs. Foreign exchange rates negatively impacted results by 1%. Sales from the company’s growth portfolio rose by a high single-digit percentage, while sales from the core portfolio remained largely unchanged.

FMC Corporation Price, Consensus and EPS Surprise

FMC Corporation Price, Consensus and EPS Surprise

FMC Corporation price-consensus-eps-surprise-chart | FMC Corporation Quote

FMC’s Regional Sales Performance

In North America, sales declined 5% year over year to $321 million in the quarter. Sales in North America decreased, as strong growth in branded products in the United States was outweighed by reduced volumes in Canada due to anticipated inventory destocking. It topped the consensus estimate of $294.1 million.

Latin American sales saw a 1% year-over-year increase to $310 million in the reported quarter. Sales in Latin America benefited from the strong growth of the new active ingredients, fluindapyr and Isoflex active. It beat the consensus estimate of $296.1 million.

In Asia, revenues declined 17% from the previous year to $159 million. Sales in Asia declined due to lower pricing as well as reduced volume driven by ongoing destocking activity in India. It missed the consensus estimate of $163.7 million.

EMEA experienced a 29% year-over-year sales increase to $260 million in the reported quarter. The growth was fueled by significant volume increases, especially in herbicides, products from diamide partners and branded Cyazypyr offerings. The Plant Health segment also expanded, supported by growth in biological products. It beat the consensus estimate of $223.6 million.

FMC’s Financials

The company had cash and cash equivalents of $438.2 million at the end of the quarter. Long-term debt was $3,270 million.

FMC’s Guidance

FMC expects full-year revenues (excluding India) to range between $4.08 billion and $4.28 billion, implying a 2% decline at the midpoint compared to 2024. Adjusted EBITDA is forecasted between $870 million and $950 million, indicating 1% growth at the midpoint. Adjusted earnings per share (EPS) are projected to be $3.26 to $3.70, indicating year-over-year no change at the midpoint.

FMC’s Price Performance

FMC’s shares have lost 29.2% in the past year against a 1.7% upside of the industry.

Zacks Investment Research
Image Source: Zacks Investment Research

FMC’s Zacks Rank & Key Picks

FMC currently carries a Zacks Rank #3 (Hold).

Better-ranked stocks worth a look in the basic materials space include Royal Gold, Inc. (RGLD - Free Report) , Avino Silver & Gold Mines Ltd. (ASM - Free Report) and Barrick Mining Corporation (B - Free Report) .

Royal Gold is slated to report second-quarter results on Aug 6. The Zacks Consensus Estimate for earnings is pegged at $1.70. RGLD beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 9%. RGLD carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Avino Silver is scheduled to report second-quarter results on Aug 13. The Zacks Consensus Estimate for ASM’s second-quarter earnings is pegged at 3 cents. ASM beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 104.2%. ASM currently carries a Zacks Rank #1.

Barrick Mining is slated to report second-quarter results on Aug 11. The consensus estimate for Barrick’s earnings is pegged at 47 cents. Barrick, carrying a Zacks Rank #1, beat the consensus estimate in three of the last four quarters, with the average earnings surprise being 12.5%.

 

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