Mosaic posts $273 million net loss in Q2 as sulfur crisis forces phosphate curtailments

Mosaic reported a net loss of $273 million in the second quarter of 2026 on revenue of $2.8 billion, down from net income of $411 million a year earlier. The phosphate producer said sulfur availability and affordability remain the dominant drag on its operations, forcing curtailments at multiple U.S. plants.

“Business conditions remained challenging in the second quarter, driven primarily by sulfur availability and affordability challenges,” said CEO Bruce Bodine. “At Mosaic, we are focused on the things we can control.”

The phosphate segment bore the heaviest losses. Mosaic’s Q2 phosphate production and sales totaled 1.4 million tonnes, down from higher levels a year ago, with realized stripping margins averaging $422 per tonne. Sulfur costs reached $522 per long ton in Q2 and are guided higher for Q3. The company has idled its Faustina ammonia plant in Louisiana and is running its Bartow facility in Florida at 40% capacity.

Mosaic Fertilizantes, the Brazilian arm, posted a $41 million operating loss on $1 billion in revenue as sales volumes dropped to 1.5 million tonnes from 2.2 million a year earlier. The company has announced plans to idle its Araxá and Patrocínio facilities in Brazil and pursue the sale of the former.

Potash provided some stability, generating $195 million in operating earnings on $650 million in sales, roughly flat with the prior year.

Full-year capital spending guidance was cut to $1.2 billion from an original $1.5 billion target. Operating cash flow is projected at $900 million to $1 billion for 2026, while SG&A expenses fell 20% year-over-year.

Bodine told analysts the sulfur crisis would ease eventually. “The crisis will come to an end,” he said, adding that Mosaic is positioned to resume full production rates when markets improve. The company also flagged its earlier phosphate output cuts as ongoing but manageable.

Source: AgNavigator