NTR

It has been about a month since the last earnings report for Nutrien (NTR). Shares have added about 20.9% in that time frame, outperforming the S&P 500. But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Nutrien due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers. Nutrien reported net earnings of $1.22 billion or $2.53 per share for the second quarter of 2026. This compares with net earnings of $1.23 billion or $2.5 per share in the year-ago quarter. Barring one-time items, adjusted earnings were $2.61 per share, which missed the Zacks Consensus Estimate of $2.70. Adjusted earnings were down about 2% from $2.65 per share in the prior-year quarter. The company reported second-quarter sales of $10,812 million, up 4% from $10,438 million in the previous-year quarter. The figure surpassed the Zacks Consensus Estimate of $10,672.6 million. Adjusted EBITDA declined 2% year over year to $2.43 billion for the quarter. Higher global fertilizer benchmark prices were more than offset by lower fertilizer volumes and higher sulfur costs. The Retail segment recorded sales of $8,270 million in the second quarter, up 4% from $7,959 million a year ago. The figure beat our estimate of $7,864.4 million. Retail adjusted EBITDA declined 2% to $1,131 million, mainly due to lower crop nutrient sales volumes and higher fuel costs. The Potash segment generated net sales of $1,053 million, up 6% year over year from $991 million. The figure missed our estimate of $1,236.7 million. Potash adjusted EBITDA increased 4% to $658 million, aided by higher global benchmark prices and strong operational and supply chain execution, partly offset by higher provincial mining taxes. Nitrogen net sales were $1,154 million, down 3% from $1,187 million in the year-ago quarter. The figure topped our estimate of $1,138.2 million. Adjusted EBITDA fell 5% to $635 million as lower sales volumes more than offset the benefit of higher global benchmark prices. Phosphate net sales rose 18% year over year to $468 million from $396 million. The figure surpassed our estimate of $437.6 million. Adjusted EBITDA decreased 75% to $23 million, primarily due to higher sulfur input costs, partly offset by stronger global benchmark prices and higher sales volumes. Cash provided by operating activities was $2.48 billion in the second quarter compared with $2.54 billion in the prior-year quarter. Cash used for dividends and share repurchases increased 18% year over year to $439 million from $373 million. As of June 30, 2026, Nutrien had cash and cash equivalents of $921 million compared with $701 million at the end of 2025. Long-term debt, including the current portion, was $10.86 billion, up from $9.86 billion at year-end 2025, reflecting the issuance of $1 billion of senior notes in the second quarter. For 2026, Nutrien maintained Retail adjusted EBITDA guidance of $1.75-$1.95 billion. The midpoint assumes high-single-digit growth in proprietary products gross margins, strong crop input and services demand in Australia, increased crop nutrient margins per ton and lower crop nutrient sales volumes compared with 2025. The company raised its 2026 Potash sales volume guidance to 14.2-14.8 million tons from 14.1-14.8 million tons, supported by strong demand in key offshore markets. Global potash shipments are still projected at 74-77 million tons for 2026. Nitrogen sales volume guidance was maintained at 9.2-9.7 million tons, while Phosphate sales volume guidance remains 2.4-2.6 million tons. The Nitrogen outlook reflects planned reliability improvements and debottlenecking initiatives, while the Phosphate guidance reflects benefits from reliability improvements completed in 2025. Nutrien lowered its 2026 capital expenditure guidance to $1.95-$2.05 billion from $2-$2.1 billion, reflecting a continued focus on capital efficiency and structural free cash flow growth. It turns out, estimates review have trended downward during the past month. The consensus estimate has shifted -21.18% due to these changes. At this time, Nutrien has a subpar Growth Score of D, though it is lagging a bit on the Momentum Score front with an F. However, the stock has a grade of B on the value side, putting it in the second quintile for value investors. Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Nutrien has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Nutrien Ltd. (NTR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Download the Complete Report Here Key Takeaways: Completion of project-wide FEED awards moves Autazes further from permitting-led de-risking toward lender-facing engineering and construction readiness. During 2Q26, GRO awarded the mine shafts and underground development FEED to WSP UK, with Redpath Deilmann supporting the shaft scope, complementing the surface facilities and infrastructure FEED already being executed by Wood and Promon Engenharia. Engineering design coverage now spans both the surface and underground components of the ~$2.5 billion Autazes Project, strengthening the technical foundation for DFI and ECA construction-debt discussions. The two mine shafts sit on the project’s critical path, making their design and execution central to subsequent underground development, processing, tailings, and logistics. Redpath’s experience across more than 500 shafts globally, including major potash projects such as Jansen, Rocanville, K3, Woodsmith, and Nezhinsky, adds further credibility to the lender diligence package. The Gera Center power MOU provides initial evidence that GRO’s BOOT strategy could reduce upfront project capital requirements and, in turn, the equity burden associated with Autazes. In May, GRO signed a non-binding MOU with Gera Center for a 28-year Build, Own, Operate and Transfer arrangement covering a modular diesel generation system that would provide construction power before transitioning into emergency backup power during the mine’s 23-year operating life. The proposed 20 MW plant would initially deploy 10 MW and ramp to 20 MW during the first construction year, with first power available within 120 days after definitive contract execution and 98% minimum availability during the backup phase. More importantly from a financing perspective, if finalized, the structure is expected to shift approximately $33 million of upfront power-generation capex into operating costs over the contract term while generating approximately $10 million of net savings versus the Pre-Feasibility Study budget. New Profert legislation introduces another potential lever to lower Autazes’ construction funding requirement and expand access to domestic financing. Brazil’s Senate approved Profert on August 11, 2026, creating a new incentive framework for domestic fertilizer production that now awaits presidential signature into law. Management estimates that Profert, when combined with existing SUFRAMA incentives, could exempt up to ~$190 million of federal taxes on Autazes’ ~$2.5 billion initial capex, reducing required construction capital by approximately 7%. The legislation also authorizes BNDES to invest in the construction of new domestic fertilizer production capacity and introduces a domestic-content requirement for fertilizer sold in Brazil, beginning at 2% in 2027 and rising to 10% by 2037, with potential to increase to 30% depending on supply availability. Importantly, the benefits are not yet assured, as GRO’s eligibility will depend on a competitive selection process and implementing regulations from MAPA that have not yet been published. Separately, Profert provides for a production tax credit of up to 20% of eligible investment, subject to a R$2 billion annual program cap from 2027 through 2031, which management notes is distinct from the ~$190 million capex tax analysis. Infrastructure carve-outs could become a meaningful component of the broader construction funding stack if additional proposals convert into definitive agreements. GRO continues to frame Autazes around approximately $2.5 billion of total capex, with ~$1.8 billion expected from DFIs and ECAs and up to ~$350 million of potential third-party infrastructure funding across the powerline, port, steam plant, construction/backup power, and trucking system. The project also has potential access to approximately $150 million from Franco-Nevada’s binding royalty option, subject to the applicable funding condition. On a purely illustrative basis, if all three funding sources were fully realized, they would represent roughly $2.3 billion of the $2.5 billion requirement, leaving approximately $200 million to be addressed through strategic project equity or other capital. The $350 million remains prospective and the Gera agreement remains non-binding, but the $33 million identified in the proposed Gera construction-power BOOT begins to demonstrate how the BOOT strategy could reduce the amount of equity capital ultimately required at the project level. Recent judicial developments have further reduced perceived legal risk around Autazes, with both the PGR’s position and separate favorable TRF-1 rulings supporting the project’s legal and permitting position. In July, the DPU filed an application with the Federal Supreme Court seeking to suspend installation activities, but the matter did not constitute a new lawsuit or introduce new allegations and instead challenged prior TRF-1 decisions favorable to GRO and the Mura Indigenous Council. The underlying consultation process spanned more than six years, covered over 35 Mura villages and concluded with approximately 90% support among participating communities. On July 9, the PGR, Brazil’s highest prosecutorial authority before the STF, recommended that the application not be heard on the merits, citing lack of standing and an inappropriate procedural mechanism. Separately, on August 11, TRF-1 found other special and extraordinary appeals inadmissible for referral to the Superior Court of Justice and Federal Supreme Court, thereby preserving prior rulings supporting the Mura consultation process, IPAAM’s licensing authority and the validity of Autazes’ environmental licenses. Together with the project’s 21 Installation Licenses covering the mine, processing plant and port, the cumulative judicial record further supports the project’s legal and permitting position, while residual procedural risk remains given that additional appeals may still be available. Development-stage operating expenses fell materially y/y, while reported 2Q26 net income was driven by a non-cash warrant revaluation rather than an operating earnings inflection. GRO remains pre-revenue, but operating loss declined 77% y/y to $3.35 million from $14.54 million. The largest driver was share-based compensation, which fell 93% to $0.79 million from $11.63 million as prior-period share-based compensation expense normalized sharply; professional fees also declined to $0.17 million from $0.47 million, while consulting and management fees were broadly stable at $1.44 million. Reported net income of $7.60 million versus a $14.83 million loss in 2Q25 primarily reflected a $10.67 million gain from the change in fair value of warrant liabilities. We therefore view operating loss as the better measure of underlying corporate expense intensity. The May financing materially strengthened GRO’s ability to fund FEED and development activity while larger project-level financing is pursued. Cash increased to $75.7 million at June 30 from $27.8 million at December 31, 2025, while working capital rose to $74.6 million from $26.6 million. The increase primarily reflects the May 4 public offering, which generated $63.23 million of gross proceeds through 7.0 million common shares at $2.50 per share and 18.3 million pre-funded warrants at $2.499, with approximately $4.27 million of issuance costs. Common shares outstanding increased 15% from 53.69 million at year-end to 61.95 million at June 30, reflecting the public offering as well as RSU and DSU exercises and other share issuances during the period, while the 18.3 million new pre-funded warrants create additional economic dilution given their $0.001 exercise price. The financing nevertheless gives GRO substantially greater negotiating flexibility as it works through FEED, BOOT agreements, and project-level debt/equity discussions. Current liquidity materially extends GRO’s runway for corporate and engineering activities, but it should not be confused with construction funding capacity. GRO used $5.12 million of cash in operating activities during 1H26 and invested $6.13 million into exploration and evaluation assets, implying combined operating and project cash deployment of roughly $11.25 million before financing flows. Annualizing that 1H pace would imply approximately $22.5 million of cash deployment, against $75.7 million of quarter-end cash; however, that run-rate is unlikely to remain static as the $4.3 million underground FEED Early Works program progresses alongside surface FEED and other pre-construction activities. Accordingly, the balance sheet materially reduces near-term corporate financing risk, but the financial statements continue to note that GRO’s ability to continue development remains dependent on securing additional financing, and the principal investment question remains GRO’s ability to assemble the approximately $2.5 billion project funding package required to reach full production. Autazes’ long-term financial profile remains intact. Based on ERCOSPLAN technical report assumptions, management illustrates potential run-rate EBITDA of ~$1.0 billion at commercial scale, supported by an estimated realized price of ~$493/ton FOB Port and operating costs of ~$79/ton at full run-rate. This implies mine-gate gross margins above 80% and an EBITDA margin approaching ~75% after transportation and G&A, reflecting the project’s structural delivered-cost advantage in Brazil’s import-dependent potash market. We continue to view GRO as pre-revenue through 2026 and 2027, with near-term value creation driven by milestone completion rather than quarterly earnings progression. Commercial production could begin approximately four years after construction commencement, while current project materials continue to show 2.4 million tons of annual nameplate production and approximately $1.0 billion of estimated run-rate EBITDA once steady-state operations are reached. Over the next several quarters, the more relevant indicators are therefore advancement of the 12-month, $4.3 million underground Early Works program; progression of the Wood/Promon surface FEED; conversion of the Gera Center and other BOOT proposals into definitive agreements; and progress toward the approximately $1.8 billion of targeted DFI/ECA debt and strategic project-level equity required to begin full-scale construction. Disclaimer: Exec Edge does not publish proprietary estimates, ratings, price targets, or investment recommendations. The valuation discussion below is illustrative only and is based on company filings, management commentary, and third-party data and estimates. It does not constitute a recommendation, price target, rating, or prediction of future pricing. GRO’s current valuation continues to reflect substantial financing and execution risk despite meaningful project de-risking and a materially stronger liquidity position. At $2.15 per share, GRO carries a basic market capitalization of approximately $133.2 million and enterprise value of $57.5 million, reflecting $75.7 million of cash and no debt as of June 30, 2026. Cash therefore represents roughly 57% of basic market capitalization, while the stock remains approximately 26% below the $2.92 price used in our May update despite subsequent progress across underground FEED, infrastructure funding optimization, liquidity, and the project’s legal position. GRO also has 84.8 million basic shares plus pre-funded warrants and approximately 106.8 million fully diluted shares, highlighting that dilution remains an important consideration as the company assembles the larger construction funding package. We expect valuation to evolve with project milestones, with the largest rerating potential tied to financing de-risking and progression into full-scale construction. GRO is targeting approximately $1.8 billion of DFI/ECA debt against the ~$2.5 billion Autazes funding requirement, supplemented by potential third-party infrastructure funding of up to ~$350 million, the Franco-Nevada royalty option, and strategic project-level equity. As these funding sources move from indicative discussions toward binding commitments, we would expect the market to assign greater value to Autazes’ prospective operating economics and reduce the discount currently applied for financing, dilution and execution risk. Key catalysts include completion and lender acceptance of the Wood/Promon and WSP/Redpath FEED programs, binding DFI/ECA commitments, additional BOOT infrastructure agreements, strategic equity participation and ultimately the start of full-scale construction. With 91% of nameplate capacity already covered by long-term offtake agreements, full-project FEED coverage established, and the legal/permitting backdrop improving, valuation remains highly sensitive to further milestone delivery, while the scale of the remaining construction requirement keeps funding execution and dilution as the principal risks to the rerating path. Read Exec Edge’s Initiation on Brazil Potash Corp. Here Subscribe to our Weekly Newsletter to Receive All Research Contact: Executives-Edge.com [email protected] The post Brazil Potash Reports Full-Project FEED Coverage, Liquidity & Policy Support for Autazes – Quarterly Update Report appeared first on ExecEdge.

Download the Complete Report Here Key Takeaways: New CEO Craig Wichner is driving a sharper focus on commercial execution as initial LATAM rice commercialization moves to 2028. Wichner, appointed CEO in June after joining the Board in November 2025, has outlined three monetization pathways for the business: platform-program revenue, per-acre trait royalties and deeper multi-trait relationships with seed-company partners. Near-term revenue remains concentrated in Sustainable Ingredients, while rice advances toward commercialization. Revenue increased 6.5% y/y to $1.0 million in 2Q26, while 1H26 revenue rose 36% to $2.7 million from $2.0 million, driven by Sustainable Ingredients collaboration activity. In rice, testing of HT traits transferred into Interoc germplasm is underway, Fedearroz remains on track for a 2028 launch and Interoc has the potential for a limited 2028 launch focused on hybrid varieties. Rice remains the first significant test of CBUS’ royalty model, representing 5-7 million peak addressable acres and >$200 million of potential annual royalties across the Americas. The Interoc expansion from two traits to five is the clearest strategic proof point because it begins to validate CBUS’ ambition to become a recurring editing engine rather than a one trait licensor. The August amendment adds three potential future traits, shifting the contemplated relationship toward a multi-trait product pipeline and allowing the same RTDS and Trait Machine infrastructure to support repeated development programs within a single customer. That model is increasingly supported by execution across crops: CBUS has improved 10 customer canola and winter oilseed rape lines, returned six of those lines, and delivered three improved rice lines to a U.S. customer, while targeting an approximately 12-month editing turnaround across crops after demonstrating that cadence in canola. If replicated across CBUS’ seven existing rice seed-company customers, the opportunity becomes less dependent on individual trait launches and increasingly reflects an embedded breeding-platform relationship with recurring development and royalty potential. Rice remains the core royalty-validation pathway, but the move to a 2028 LATAM launch increases the importance of tangible commercial milestones over the next 12-18 months. CBUS maintains seven rice seed-company customers across Latin America and the U.S., while discussions continue with additional companies in Brazil and Argentina and several large participants in India. Latin America represents the bulk of the 5-7 million peak addressable acres and >$200 million annual Americas royalty opportunity, while the U.S. launch remains targeted for 2029 alongside Albaugh’s herbicide-registration timeline. During the quarter, CBUS advanced field trials of an improved first-generation trait and continued work to identify the genetic changes associated with increased herbicide tolerance and seed fertility. Technical progress remains encouraging, but the next stage of valuation de-risking increasingly depends on successful partner testing, definitive commercial agreements, seed production and launch readiness. Initial royalties are now expected with commercial acres in 2028 and to build through 2029 as adoption expands. Interoc’s increased focus on hybrid rice could strengthen the durability and strategic value of CBUS’ royalty model over time as the route to commercialization evolves. Latin American rice has historically been weighted toward conventional and inbred varieties, but management expects hybrid penetration to increase as the market evolves, following a progression already seen in crops such as corn and canola. Interoc is emphasizing hybrid varieties, while Fedearroz remains more oriented toward conventional varieties, giving CBUS exposure to both routes to market. Hybrid adoption could be particularly attractive for the platform model because differentiated proprietary seed provides a stronger vehicle for stacking multiple productivity traits and deepening recurring relationships with seed-company partners. In that context, Interoc’s expansion from two contemplated traits to five could ultimately prove more valuable than a series of standalone licenses, particularly if CBUS becomes embedded in the partner’s ongoing breeding and product-development pipeline. Sustainable Ingredients assumes greater importance as the near-term revenue bridge, with 1H26 collaboration revenue increasing 36% and additional BioFragrance scale-up orders still targeted for 2H26. CBUS generated $2.7 million of revenue in 1H26 versus $2.0 million a year earlier, including $1.0 million in 2Q26 versus $0.9 million y/y, with the YTD increase driven by Sustainable Ingredients collaboration agreements. The initial BioFragrance program received its first customer payment in 4Q25 and has entered the commercial ramp-up phase, with the partner having already validated ingredient performance. The remaining steps are scaling production to commercial volumes, establishing supply terms and pricing, and ultimately moving to commercial production orders. Management continues to expect additional scale-up orders for the initial BioFragrances during 2H26, while fully commercialized partnerships could represent $20-$40 million of annual revenue. With first rice royalties now expected in 2028, successful conversion of BioFragrance activity into larger commercial orders is increasingly important to building revenue and partially funding the path to the rice launch. Regulatory momentum broadened materially during the quarter, improving commercial optionality across Europe while adding validation in the U.S. and LATAM. The European Union approved rules in June that generally allow precision-edited crops with genetic changes comparable to conventional breeding and no added foreign DNA to receive conventional-like treatment, with implementation now entering an approximately two-year period. Herbicide-tolerant plants and plants engineered to produce insecticidal substances remain excluded from that treatment, making disease resistance and Pod Shatter Reduction more directly relevant European opportunities. CBUS expects Pod Shatter Reduction in winter oilseed rape to be its first planned submission under the new framework, complementing England’s existing Precision Bred Organisms regime. Ecuador has confirmed HT1 and HT3 rice traits are equivalent to conventional breeding, while Peru has established a case-by-case technical framework under which gene-edited products lacking foreign DNA may be excluded from its MVO classification and GMO moratorium. USDA-APHIS has determined CBUS traits are not regulated articles subject to its biotechnology regulations, and the FDA completed review of the altered-lignin alfalfa trait with no further questions. For the programs covered by these determinations, commercial execution is increasingly shifting toward partner conversion, definitive agreements and seed deployment as regulatory pathways become clearer. Customer acquisition is centered on converting technical programs into deep, multi-product relationships, increasing the economic value of seed-company partnerships while improving development efficiency. CBUS’ commercial model starts by editing a partner’s elite germplasm, returning improved material and then expanding the relationship as the customer opens more of its breeding roadmap to the platform. Interoc’s expansion from two contemplated rice traits to five provides early evidence of that strategy, while CBUS continues discussions beyond its seven existing rice customers with seed companies in Brazil, Argentina and India. Europe provides an additional business-development channel, supported by a small local team with decades of seed-industry experience and established relationships across the region. Cost discipline remains visible in the P&L, while selective investment in technology and AI is intended to increase development capacity without rebuilding the prior expense structure. R&D declined 30% y/y to $8.5 million from $12.2 million, while SG&A fell 19% to $5.4 million from $6.7 million, bringing R&D and SG&A combined down nearly $5 million, or 26%, to $13.9 million. Operating loss consequently narrowed 28% to $12.9 million from $17.9 million, while net loss improved 17% to $22.1 million from $26.6 million and loss per share narrowed to $0.29 from $0.61. The gap between operating and net loss remains largely driven by $9.5 million of non-cash related-party royalty-liability interest expense, up from $8.7 million y/y, representing the largest reconciling item. Additional non-core savings are expected as facility consolidation is completed, while management is redirecting part of those savings toward commercial priorities, personnel and technology, including company-wide AI deployment aimed at improving employee productivity at less than the cost of equivalent incremental headcount. Over time, these investments could allow the same organization to support more crop and customer programs, helping platform revenue scale against a leaner cost base. Cash burn continues to trend lower, improving operating efficiency as CBUS funds the path to commercialization. Cash and cash equivalents declined to $20.4 million at June 30 from $30.3 million at March 31, while quarterly net cash usage declined approximately 19% sequentially and 31% y/y. Net cash used in operating activities was $20.9 million in 1H26 versus $25.4 million in 1H25, a $4.5 million improvement, and management is moving toward approximately $9 million of quarterly usage while targeting an annualized net cash-usage run rate of ~$35 million or less exiting 2026. Importantly, working capital was not a source of cash support: accounts payable declined to $5.6 million from $8.1 million at year-end, accrued compensation fell to $2.6 million from $3.1 million, while accounts receivable increased to $0.8 million from $0.5 million. With PP&E declining to $4.9 million from $6.3 million and 1H26 capital purchases of only about $0.1 million, the funding requirement remains primarily operating rather than capital-intensive. Existing cash is expected to support planned operating expenses and capital requirements into early 1Q27 absent additional financing, leaving capital access central to the near-term investment case as CBUS bridges toward BioFragrance scale-up and first rice royalties in 2028. Balance sheet reflects substantial equity funding during 1H26, providing near-term liquidity, while the new ATM adds additional financing flexibility. CBUS generated $31.4 million of net financing cash flow in 1H26, including approximately $19.8 million of net proceeds from the January offering and $13.6 million from the March offering. In May, the company also established a $50 million ATM facility with Jefferies, with only minimal utilization through June 30, preserving additional capacity should market conditions support further issuance. The ATM therefore provides an important bridge option, while the timing and economics of future issuance will remain relevant to per-share value creation as CBUS works toward BioFragrance scale-up and initial rice royalties in 2028. The near-term outlook points to a stronger revenue trajectory and continued narrowing of losses, supported by Sustainable Ingredients activity and a structurally lower cost base ahead of rice commercialization in 2028. As a near-term reference point, 3Q26E revenue is estimated at approximately $1.3 million based on Street estimates sourced from TIKR, as BioFragrance scale-up activity and collaboration milestones become more important. Annual estimates call for revenue to increase from $3.6 million in 2025 to $5.2 million in 2026E, $12.4 million in 2027E and $47.6 million in 2028E, reflecting a larger commercialization inflection as rice royalties begin to contribute. The lower operating-cost base should also support continued improvement in earnings, as annual loss is expected to narrow from $127.1 million in 2025 to $56.8 million in 2026E, $49.9 million in 2027E and $14.7 million in 2028E. Key milestones over the balance of the year remain additional BioFragrance scale-up orders, successful Interoc testing and progress toward a definitive LATAM commercialization agreement ahead of initial rice royalties in 2028. Disclaimer: Exec Edge does not publish proprietary estimates, ratings, price targets, or investment recommendations. The valuation discussion below is illustrative only and is based on company filings, management commentary, and third-party data and estimates. It does not constitute a recommendation, price target, rating, or prediction of future pricing. CBUS’ disclosed Americas rice HT royalty opportunity remains the cleanest base valuation anchor, while the broader trait portfolio provides substantial longer-duration optionality. Management continues to frame the Americas rice herbicide-tolerance opportunity at ~5–7 million peak addressable acres and >$200 million of potential annual royalties at peak. This is not a revenue forecast and should not be treated as de-risked revenue, but remains the most relevant starting point given rice HT is CBUS’ clearest royalty-validation pathway. The opportunity is supported by seven active rice seed-company relationships, ongoing testing of material transferred into Interoc germplasm and the August expansion of the contemplated Interoc relationship from two traits to five. At a share price of approximately $1.77, CBUS’ 76.43 million shares outstanding imply an equity value of approximately $135.3 million, equivalent to ~0.68x the disclosed >$200 million peak Americas rice royalty opportunity before assigning value to Sustainable Ingredients or the broader crop portfolio. The important change this quarter is timing rather than addressable economics: initial LATAM commercialization has moved from late 2027 to 2028, increasing the importance of execution, financing and adoption in determining how much of the disclosed opportunity investors are willing to recognize. A discounted rice-only framework continues to illustrate substantial valuation sensitivity if CBUS converts its lead royalty opportunity into recurring acreage economics. Applying an illustrative 5.0x-10.0x multiple to $200 million of peak annual Americas rice HT royalties and discounting the resulting value back five years at 15% produces an equity-value-equivalent range of approximately $497 million to $994 million, or $6.51-$13.01 per share using 76.43 million shares outstanding; the 7.5x midpoint implies approximately $746 million, or $9.76 per share. The framework is intended to capture the potential economics of a mature royalty stream rather than apply a conventional agricultural revenue multiple, since successful trait royalties should carry materially higher incremental margins than a seed-manufacturing model. Importantly, this remains an illustrative sensitivity rather than a forecast: realizable value depends on definitive LATAM commercial economics, successful Interoc testing and seed production, farmer adoption, Albaugh’s U.S. herbicide-registration timeline, IP durability, capital requirements and the pace at which the 5–7 million-acre opportunity converts into royalty-bearing acreage. The move to a 2028 LATAM launch does not alter the underlying methodology, but increases the importance of commercial agreements and launch readiness in determining how much of the illustrative value investors are willing to recognize. Sustainable Ingredients adds nearer-term optionality and could become increasingly relevant to valuation if current scale-up activity converts into repeatable commercial economics. Sustainable Ingredients supported $2.7 million of 1H26 revenue, up 36% y/y, following the first BioFragrance customer payment in 4Q25, with additional scale-up orders still targeted for 2H26. Management estimates that fully commercialized BioFragrance partnerships could represent $20-$40 million of annual revenue. Applying an illustrative 5.0x-8.0x multiple and discounting the resulting value back five years at 15% implies approximately $0.65-$2.10 per share of incremental value. We would not include that value in the base rice case at this stage, however, given limited disclosure around commercial order size, pricing, margin structure, exclusivity and recurring economics. The more important near-term valuation driver is whether 2H26 scale-up orders convert into larger commercial activity and whether subsequent fragrance products can move through the same edited-yeast process with lower incremental development requirements. The broader trait portfolio adds meaningful optionality, but valuation still hinges on execution and funding discipline. Management’s productivity-trait pipeline spans ~367-369 million acres and >$1.9 billion of potential annual royalties, versus 5-7 million acres and >$200 million for Americas rice HT. Programs extend across rice, canola, soybean and longer-duration traits, with Interoc’s expansion from two to five traits signaling deeper customer engagement. However, these opportunities remain less de-risked than rice, and the shift of LATAM royalties to 2028, alongside $20.4 million of cash and runway into early 1Q27, keeps execution and financing risk central. The key rerating drivers remain a definitive LATAM commercialization agreement, successful Interoc testing and launch preparation, 2H26 BioFragrance scale-up orders and disciplined funding execution. Progress across these milestones would support greater recognition of the rice royalty base while increasing the value attributed to Sustainable Ingredients and the broader trait portfolio. Street consensus provides a useful external reference point. The current mean Street price target of $14.33, sourced from TIKR, sits above the $13.01 high end of the illustrative rice-only framework, suggesting consensus incorporates some value beyond the Americas rice HT opportunity, including Sustainable Ingredients scale-up, broader crop programs, geographic expansion and the RTDS / Trait Machine platform. Read Exec Edge’s Initiation on Cibus, Inc. Here Subscribe to our Weekly Newsletter to Receive All Research Contact: Executives-Edge.com [email protected] The post Cibus Inc: Interoc Expands Rice Trade to 5 Traits, 36% Revenue Growth – Quarterly Update Report appeared first on ExecEdge.

Image source: The Motley Fool. Thu, Aug. 6, 2026 at 10:00 a.m. ET Senior Vice President of Investor Relations and FP&A - Jeff Holzman President and CEO - Kenneth Seitz CFO - Mark Thompson Operator: Greetings, and welcome to Nutrien's 2026 Second Quarter Earnings Call. [Operator Instructions] As a reminder, this conference call is being recorded. And I would now like to turn the conference call over to Jeff Holzman, Senior Vice President of Investor Relations and FP&A. Please go ahead. Jeff Holzman: Thank you, operator. Good morning, and welcome to Nutrien's Second Quarter 2026 Earnings Call. As we conduct this call, various statements that we make about future expectations, plans and prospects contain forward-looking information. Certain assumptions were applied in making these conclusions and forecasts. Therefore, actual results could differ materially from those contained in our forward-looking information. Additional information about these factors and assumptions is contained in our quarterly report to shareholders as well as our most recent annual report, MD&A and annual information form. I will now turn the call over to Kenneth Seitz, Nutrien's President and CEO; and Mark Thompson, our CFO, for opening comments. Kenneth Seitz: Good morning, and thank you for joining us today to review our first half performance, progress on our strategic priorities and the outlook for our business. In the first half of 2026, Nutrien delivered record potash sales volumes, strong growth in proprietary products margins and further enhanced the reliability and cost position of our nitrogen assets in a dynamic global operating environment. We raised the bottom end of our 2026 potash sales volumes guidance, lowered our capital expenditures guidance range and increased the pace of share repurchases. Our results demonstrated strong performance against our strategic priorities that are strengthening our business, driving structural growth in free cash flow and increasing cash returns to shareholders. In potash, we increased production from our low-cost 6-mine network and utilize the capabilities of our extensive global supply chain to meet strong customer demand. In the first half, we mined 53% of ore tonnes using automation, exceeding the top end of our 2024 Investor Day target. This result reflects the strong execution of our automation strategy while also highlighting additional opportunities to further enhance deployment and performance across the network. These investments are delivering wide-ranging benefits beyond improvements in safety and productivity. Increased automation enables us to mine more ore with the assets already in place, helping to optimize capital expenditures and maximize returns on existing investments. In nitrogen, our low-cost North American assets remain well positioned with advantaged natural gas costs and a continued focus on initiatives that increase upgraded product volumes and margins. Our first half production was consistent with our previous expectations, including a planned turnaround at our Carseland facility that demonstrated operational excellence in action. The turnaround was the largest in the facility's history and included a debottlenecking project that increased the site's annual production capacity. Despite a much larger scope than the last year turnaround 4 years ago, we achieved higher productivity and contractor efficiency through improved planning and execution. The work was completed safely with 0 lost-time injuries ahead of schedule and under budget. Turning to our downstream retail business. Adjusted EBITDA increased by 4% in the first half of 2026, underpinned by execution of key growth initiatives that enhance our ability to serve growers with a broader set of products and services integrated through our network. Our Proprietary Products business delivered strong growth in the first half, including a 10% increase in proprietary crop nutrients gross margin despite softer fertilizer demand as growers continue to prioritize solutions that enhance productivity. Our performance reflects targeted investments we made to expand capacity and meet increasing customer demand with sales volumes for certain nutritional products increasing nearly tenfold compared to the prior year. Together, these results demonstrate how customer insights, targeted investments and disciplined execution are driving earnings growth. Over the last 2 years, we have taken purposeful steps to optimize our portfolio following a comprehensive review of each asset's free cash flow contribution and returns on invested capital. Since June 2026, we completed agreements to sell non-core assets for gross proceeds of approximately $90 million. Including these agreements and prior divestments, we have generated approximately $1 billion in gross proceeds since the fourth quarter of 2024. These actions are strengthening our portfolio quality while creating additional flexibility to reduce debt, increase shareholder returns and allocate capital to businesses with superior long-term growth opportunities. As previously announced, we are reviewing strategic alternatives for our phosphate business and are encouraged to have received numerous nonbinding bids as part of the process. We also continue to review strategic options for our Trinidad nitrogen operations and each component of the Brazilian retail business. We remain on track to solidify the optimal path for these businesses in 2026. Overall, our first half results demonstrate progress on our strategic priorities and disciplined execution to enhance earnings quality and free cash flow per share. Across each of our businesses, we continue to focus on areas within our control, namely operational excellence, cost management and capital efficiency. While the external environment remains dynamic, we believe Nutrien is well positioned to create long-term value for our shareholders. Now turning to the market outlook. Global agricultural markets are supported by robust grain and oilseed demand. Risks to crop production and trade have increased due to geopolitical uncertainty and forecasts indicating El Niño conditions, which are expected to place upside pressure on crop prices. Potash margins remain constructive due to favorable affordability, healthy demand in all major global markets and stable supply relative to other commodities. We've maintained our forecast for global potash shipments of 74 million to 77 million tonnes in 2026 as projected shipment levels are expected to be consistent with consumption. Global urea prices declined in the latter half of the second quarter during a seasonal low for demand that was exacerbated this year due to evolving geopolitical developments. Global urea fundamentals affirmed in the third quarter, driven by ongoing trade flow disruptions, production outages, elevated energy prices and increased demand. We expect these factors will continue to shape the outlook for nitrogen markets over the remainder of 2026. In this environment, Nutrien's North American nitrogen assets are well positioned to benefit from secure low-cost feedstock supply and dependable market access. With that overview, I'll now turn it over to Mark to provide more detail on our second quarter financial performance, guidance assumptions and capital allocation priorities. Mark Thompson: Thanks, Ken. Nutrien delivered adjusted EBITDA of $2.4 billion in the second quarter of 2026, and first half adjusted EBITDA was $3.5 billion, up 6% from the prior year. Cash provided by operating activities rose by 12% in the first half, providing opportunity to further advance our capital allocation priorities. In potash, we generated adjusted EBITDA of $658 million in the second quarter, reflecting higher global benchmarks and strong operational and supply chain execution. Our second quarter and first half potash controllable cash cost of product manufactured was flat compared to the prior year due to cost control measures and the benefits of our automation program that Ken articulated. We continue to target our controllable cash cost below $60 per tonne on a full year basis for 2026. We raised the bottom end of our 2026 potash sales volumes guidance to 14.2 million to 14.8 million tonnes due to the strength of first half sales and increased visibility on the second half order book. Canpotex is fully committed for third quarter sales volumes, and we had a favorable response to our domestic summer fill program. We anticipate a similar split between offshore and domestic sales volumes in the third quarter compared to the prior year. Our nitrogen operating segment generated adjusted EBITDA of $635 million in the second quarter. Net selling prices were in line with higher global benchmarks and the timing of order book sales with approximately 35% of total segment volumes sold prior to the onset of the Middle East conflict. Nitrogen sales volumes were down from the prior year, reflecting no production from Trinidad and New Madrid, planned maintenance at Carseland and some deferred customer purchases late in the quarter during a period of increased market volatility. Looking ahead, the majority of our Q3 nitrogen fertilizer sales volumes are now committed and aligned with summer fill values set in late June and early July. We maintained our 2026 nitrogen sales volume guidance of 9.2 million to 9.7 million tonnes, with planned turnarounds scheduled at our Lima and Redwater nitrogen facilities in the third quarter and higher ammonia operating rates expected in the fourth quarter. In phosphate, adjusted EBITDA declined in the second quarter due to elevated sulfur costs, which have placed unsustainable pressure on global phosphate producer margins. We maintained our 2026 phosphate sales volume guidance, supported by reliability improvements achieved in the first half, while we continue to closely monitor customer demand and sulfur input costs in the second half of the year. Our downstream retail business delivered adjusted EBITDA of $1.24 billion in the first half, up 4% compared to the prior year. Following a strong start to the application season in the first quarter, North American retail crop nutrient volumes declined in the second quarter, in particular for phosphate and nitrogen. The reduction in commodity fertilizer volumes was offset by strong proprietary products performance. We maintained our full year retail adjusted EBITDA guidance of $1.75 billion to $1.95 billion, with the midpoint of the range underpinned by 3 key items. First, we continue to project high single-digit growth in our proprietary products gross margin in 2026, supported by organic growth in our core retail geographies. Second, we expect higher crop nutrient margins per tonne to offset a reduction in sales volumes compared to the prior year. We anticipate firming crop prices and an earlier start to the North American fall application season will support nitrogen and potash applications similar to historical average levels with phosphate demand expected to remain below historical levels. Third, we anticipate recent favorable weather to improve winter planting prospects in Australia and continued strength in livestock markets through the second half. As we look toward the remainder of 2026, we expect free cash flow to be supported by constructive fertilizer market fundamentals, strong operational execution, capital discipline as well as ongoing portfolio optimization efforts. Reflecting this focus on capital efficiency and returns, we have reduced our capital expenditures guidance by $50 million to a range of $1.95 billion to $2.05 billion. We increased share repurchases in the first half of 2026 by 26% compared to the prior year and have stepped up our repurchase pace in the third quarter to approximately $75 million per month. This is consistent with our capital allocation approach of increasing cash returns to shareholders and maintaining a strong balance sheet as we structurally grow free cash flow. I'll now turn it back to Ken for final comments. Kenneth Seitz: Thanks, Mark. The results we shared today demonstrate the progress towards strengthening the business and positioning Nutrien for long-term growth and resilience. Across Nutrien, our teams continue to identify initiatives to further improve performance, unlock value from existing platforms, efficiently serve our customers and advance future growth. Together, these efforts are expected to structurally increase free cash flow per share and enhance long-term shareholder returns. To that end, we intend on hosting an Investor Day on November 30 in Toronto, where we will outline the next phase of opportunities to create additional value across the business. To close, I'm encouraged by the team's execution in the first half of 2026 and the momentum we continue to build across Nutrien. With that, we'd be happy to take your questions. Operator: [Operator Instructions] The first question comes from the line of Chris Parkinson from Wolfe Research. Christopher Parkinson: Just want to circle around the second half outlook for potash. It seems like demand has been pretty stable across Asia, Southeast Asia, some of your core markets. So I'd love to hear your perspectives there versus your initial January 1 expectations, run through the Americas. And then in terms of your order books, do you feel pretty comfortable where you are now heading into December, especially that Uralkali's taking some maintenance downtime and some other stuff. Would just love to hear the puts -- both the puts and takes, how you're thinking about that. Kenneth Seitz: Great. Thank you, Chris. Yes, we are certainly constructive on potash for the second half and for the year. We continue to say 74 million to 77 million tonnes of shipments this year. And you will have seen that we raised the bottom end of our own guidance now at 14.2 million to 14.8 million tonnes. And this is, I think, largely owing to favorable affordability, of course, and to your question, healthy demand in all major global markets. We started the year with low inventories that are being replenished. And here we are in the second half, we've had a favorable response to our summer fill program. We're now heavily committed through Q3. And of course, Canpotex fully committed to Q3 and expecting year-over-year growth in offshore markets. So yes, constructive on the setup, but maybe I'll have -- to your question, Chris, I'll hand it over to Chris Reynolds to just talk about region by region. Christopher Reynolds: Chris, thanks for the question. And as Ken said, we are feeling good about demand for potash for the balance of the year. As you know, still globally the most affordable nutrient out there, and we're seeing that in our major markets. And so as you suggest, as we go around the world here, North America, we had a good response to our summer fill program. And then subsequent to that, a price increase we took where we've taken some orders against that already and also a fairly slim import lineup as we look out over the next couple of months. Brazil, Q3 is always a little seasonally quiet in Brazil. But despite that, prices have been holding pretty steady around that $400 mark. And the uptick in ag commodity prices we've witnessed has also helped sentiment down there. We estimate there's still a lot of buying to be done yet in Brazil for the balance of the year, somewhere around 4 million tonnes. And so feeling good about things there. We actually just got back from a trip to China talking to customers there. And although port inventories have grown a little bit year-over-year in China, what we heard from our customers is that in-country channels are reasonably slim. So when you think about 20 million tonnes of consumption is the expectation there for China and port inventory is around 3 million to 3.3 million tonnes, certainly not overbearing in terms of supply/demand. And the other message we got loud and clear while we were there is that the government and the buyers there are prioritizing security of supply. And they also like the outcome of an early settlement for this 2026 contract. Southeast Asia demand continues to be underpinned by really good palm oil prices, but also a little bit of concern in terms of the potential El Niño impact in that region. So overall, Chris, feeling good about demand for potash for the balance of the year and the continuing stable market. Operator: Your next question comes from the line of Ben Isaacson from Scotiabank. Ben Isaacson: Ken, my question is, can you please talk about Nutrien's road map to expanding potash capability towards 18 million tonnes from somewhere around 15 million today. It seems like you're getting close to your limit of capability. And given that supply is coming to market and given where demand growth is, what is the timing? What is the CapEx? And do you still want to be in a 19% to 20% market share range in 4 or 5 years from now? Kenneth Seitz: Great. Thank you, Ben, for the question. And the short answer, just to start on the demand side and market share is, yes, 19% to 20% historically has been sort of the market share that we've had globally. And then that's owing to the fact that we've had customers in each of these regions for many decades, and those customers are growing in each of their regions as demand for potash continues to grow, and we grow along with them. We've become a reliable supplier of high-quality volumes around the world for those decades now. And like I say, our customers want to grow with us. So then when we look to our own network and to your question, we asked the question, well, how we're going to continue to meet demand and 19% to 20% market share. We do have our 6-mine network, low cost. It's very well on the cost curve. Mark just mentioned, we've been successful at keeping cash cost per tonne below $60. Part of that is the mine automation work that we've been doing. But that mining automation work means that the next tonne that we mine is also more efficient than the last. And so as we continue to deploy those automation efforts, we look to where we're going to unlock that next tonne. And it sort of happens in a way that we move from mine to mine depending on sort of the all-in lowest cost, CapEx, capital charge included, where we get that next tonne from. Today, that has meant Lanigan expansion, but we have options at 5 of those 6 mines to continue to expand production. And again, with mine automation, those options are growing for us. This year, we would say that we have about 15 million tonnes of production capacity. To your question, Ben, we like to think about sort of a year lead time to unlock additional volumes and maintain that 19% to 20% market share. So lead times are actually relatively short, and it's really getting mining machines in place and belting to the shaft given that our milling capacity and tailings management areas are built. It may require some loadout investment in some of our mines. But again, these are relatively -- and I do say relatively shorter-term investments than something like a greenfield development. In terms of cost, we say that next increment of production, 15 million to 18 million tonnes, is sort of $200 to $300 a tonne. And that would be, as you know, as we're witnessing an order of magnitude lower than a greenfield development. As we go from 18 million tonnes and beyond, we do experience a bit of a step change in capital. But again, we're talking about $700 or $800 a tonne, again, maybe 1/3 or less of what a greenfield development would be. So suffice it to say, Ben, we have these plans. We have this mapped out. We've done the math. We've talked to our customers. And every year, we just continue to demonstrate that we grow our volumes. Operator: Your next question comes from the line of Andrew Wong from RBC Capital Markets. Andrew Wong: I just wanted to ask about the pace on buybacks. The Q2 dollar amount was up pretty meaningfully versus Q1. And then when we look at Q3 to date, the repurchases and we, kind of, average out through the quarter, that puts you on another similar pace in terms of sequential increase. So is this your new regular buyback rate? Or was there something that was driving this increase more temporarily like because of cash flows or how you see the value in your shares? Kenneth Seitz: Yes. Thanks, Andrew. And we do have, I would say, a pretty disciplined capital allocation structure and framework that we are at as we make these decisions. We talk about it quite a bit with our Board, but I will hand it over to Mark to just provide the color around that framework. Mark Thompson: Yes. Thanks, Ken. And just before touching on the specific buyback pace, I think it's important to provide some context on the overall capital allocation philosophy because the buybacks are but one component of a broader set of objectives that we have to add value for shareholders. So -- as Ken has said and I've said numerous times, you look back at our 2024 Investor Day. And since that time, we've provided numerous avenues to grow structural free cash flow from the business. We've had the upstream fertilizer sales volume growth we've demonstrated the retail earnings growth and the continued optimization of cost structure and capital expenditure structure, all of which have grown that structural base. As you heard Ken say this morning, we've now generated since the fourth quarter of 2024, about $1 billion in divestiture proceeds, which has put our balance sheet in a great spot. And as we've mentioned numerous times, the return of capital philosophy is anchored in the idea that at mid-cycle prices, we want to be around 1.5x net debt to EBITDA. And we're getting quite close to those levels today, and we're very comfortable with the balance sheet and feel like we're in a great spot on that front. So when it comes to being disciplined on capital allocation, -- we now have a very streamlined and targeted set of growth investments in the business where our core strengths exist. We really believe that we can demonstrate strong returns to shareholders by reinvesting in the company in those areas. But that also has allowed us to grow that stable cash base. And as demonstrated, and as you noted, this has allowed us to increase the pace of ratable share repurchase activity. That ratable share repurchase activity is also linked to the ability to grow dividends per share over time without growing dividend expense. So when you zoom in on math framework and you look at this year specifically, we've gone from starting the year at a pace of around $50 million per month to around $55 million per month and now in the third quarter, $75 million per month. And what I'd say is with the second quarter behind us and the strong execution that we've outlined this morning and demonstrated in our results, there's confidence in cash generation for the year. I think as we zoom out even further and think about that buyback over time, there's certainly going to be the structural component to the buyback that as we grow free cash flow, the opportunity to increase that ratable buyback grows over time. Inevitably, with our business, there's also a cyclical component to that buyback as we move through cycles where we'll be looking at the balance sheet and looking at where we are in the cycle. But for the remainder of the year, we anticipate that we will remain in and around these levels. And as we get into 2027, we'll be looking at all the factors that I just talked about and that Ken has outlined as we continue to level set that ratable buyback. But the most important component of this is that shareholders can expect that Nutrien will continue to be a strong returner of capital and the share repurchase mechanism is our preferred avenue to do that. Operator: Your next question comes from the line of Joel Jackson from BMO Capital Markets. Joel Jackson: A little preamble to my question, but I've noticed in Q2 for retail, obviously, a quarter for retail, it was the lowest domestic fertilizer volumes like forever since 2013. We all know that Agrium and Nutrien been acquitted in retail since then, volumes are down a lot year-over-year. We all know what happened with commodity prices across Q2. But I was wondering if you could talk about -- and this also led to Nutrien EBITDA -- excuse me, retail EBITDA being down in Q2. Can you talk about exactly what was happening in the domestic retail fertilizer market where -- was there a buyer's holiday because of commodity prices, fertilizer prices? And what does that set up for the rest of the year in terms of inventories in the market? Kenneth Seitz: Yes. Thanks, Joel. As the sort of spring unfolded, we were at the start of the year, we're expecting lower fertilizer volumes in our downstream business, albeit maybe not as to the extent that you described. And so what was going on there is we did see phosphate volumes down about 10%. And we can use the words demand destruction. And the reasons for that, we've talked about, obviously, what's going on in the sulfur market and the phosphate business in general as phosphate producers have struggled and shutting in facilities. So -- and we -- heading into the second half of the year, we expect we'll continue to see demand destruction as it relates to phosphate. Nitrogen volumes were down. You're correct and down about 7% in our downstream business, owing to a few things. Obviously, year-over-year corn acres are down, and that certainly plays a role in nitrogen applications. We did have a larger fall application season in 2025. So we did see some significant volumes go down last fall, and we had a delayed start to the Western Canadian planting season, which also had an impact. And yes, we did see some demand deferral into the second half. And that's -- you know what happened to urea prices, the run-up and then the sort of seasonal lull as we came out of the season and growers stepping back and watching prices come down and delaying purchases. So yes, that contributed as well, albeit to a lesser extent. And potash was pretty much as expected. We saw 1% growth in potash and that's to probably being the most affordable of 3 crop nutrients once again. Heading into the second half year, I mean, the crop is advancing well, which could lead to an open application season so that we continue to expect good volumes this fall on the year. Could we be down a little bit on volumes? Yes, but we expect a higher gross margin per ton on crop nutrients again in the second half that will offset those lower volumes. More broadly, for our downstream business for our retail business, if you're talking about a tale of 2 halves, proprietary performed very well in the first half. Crop chemistry as expected, Australia is performing well. We had some higher costs as it relates to fuel. But coming out of the second half, we've maintained our guidance at 1.75 million to 1.95 million tonnes (sic) [ $1.75 billion to $1.95 billion ]. And it's really just owing to the ongoing high single-digit percentage growth in our proprietary product gross margins, structural growth as it relates to proprietary products. Again, I talked about crop nutrients. Crop Protection is performing well. We saw that in Q3 as farmers seek to maintain plant health. And so again, those point to the midpoint of our guidance, those assumptions and again, maintaining that 1.75 to 1.95 (sic) [ $1.75 billion to $1.95 billion ]. Operator: Your next question comes from the line of Vincent Andrews from Morgan Stanley. Vincent Andrews: Just sticking with retail, there was a call out in the retail section on the coverage about the strong Australian livestock season. I see that shows up in services and other, and it certainly helped the second quarter. Could you just give us a little more detail on that? It's not an area I particularly have a lot of expertise on. And will that carry forward into the balance of the year? And how will it play out? Kenneth Seitz: Yes. Thanks, Vincent. Yes, livestock markets are very strong, not just in Australia, but yes, certainly in our Australian business, we have got a combination of good weather in Australia and a strong livestock market. Yes, I'll hand it over to Chris Reynolds just to provide some more color. Christopher Reynolds: Yes. Thanks, Ken. Vincent, thanks for the question. Yes, we were expecting actually livestock prices to come off a little bit in Australia after a pretty good run-up there in 2025. But on the continued strength of export demand for both lamb and beef, we've seen those prices continue. And so where that comes from us is those stock agent commissions. That's the revenue stream we have in Australia in terms of, obviously, a percentage of the price of sheep and cattle mainly that we are instrumental in helping our growers sell in the Australian market. We also saw the Chinese government put some import restrictions on particularly Australian material but -- and product, but we haven't seen that impact prices yet. So we're on the watch out for that a little bit, but we've been very pleased with the performance of that business year-to-date. Operator: And your next question comes from the line of Kristen Owen from Oppenheimer. Kristen Owen: While we're here in retail, let's stick with that. I wanted to ask about your proprietary products growth, up about 3% year-over-year here in the second quarter, but 16% gross margin growth, larger than that if we look on the first half. So 2 questions. First, can you help us unpack the drivers of that gross margin strength there? And then second, we've heard from some others in the space, maybe a bit of timing shift from here in North America from 2Q to 3Q. Any color that you can provide on, like, any timing shifts that you may have seen and again, the drivers of that gross profit growth? Kenneth Seitz: Yes. Thanks, Kristen. Yes, I know proprietary products, as you say, performing very well. We believe has continued to demonstrate structural growth. in gross margin contribution from proprietary products. We've launched 26 new products this year. And again, seeing strong demand in our core geographies. In the first half, that was, once again, a story of our crop nutritionals in light of volatile fertilizer markets and constructive on the second half as well. I'll hand it over to Chris to give more color on some of the drivers of that growth. But as it relates to timing shifts, really just pointing to nitrogen. And again, we saw some bit of deferral, I'll say, a bit out of H1 into H2 in our downstream business and with the way the fall is setting up here, we're expecting good applications of N and K in the fall. So that would be sort of the timing shift that I'd point to. But again, Chris, back to you to -- for proprietary products structural yield. Christopher Reynolds: Yes. Thanks, Ken. And Kristen, thanks for the question. We've been really pleased, obviously, with the performance of our proprietary products range so far this year. And as Ken said, underpinned by the introduction of a number of new products and a terrific response from the market to those new products. Growers are obviously very focused on yield right now, although commodity prices have moved up a little bit, which is helping sentiment. As we walk the fields with our growers, all of that conversation is around how do I increase yield? How do I preserve the yield that I have in this crop. And so really, that comes back to increasing the efficacy of commodity fertilizers and particularly when a product like fertilizer -- sorry, phosphate -- gets high, it's okay, how can I enhance the efficacy of this phosphate product with some proprietary products. And that's what we're seeing in the marketplace. I think some of that spill from Q2 to Q3. We're seeing that particularly in fungicide demand growth. We've had wet weather through many parts of the Midwest and so growers keen to protect their crop against potential fungal disease, and we're helping them do that. So lots of conversation about yield preservation and how our proprietary products can help them to do that. Operator: Your next question comes from the line of Edlain Rodriguez from Mizuho. Edlain Rodriguez: In the global potash shipments outlook of 74 million, 77 million that you have, given the affordability of potash and strong demand, like, what gets us to the low end and what gets us to the high end of that range? Kenneth Seitz: Great, Edlain. Thank you. Yes, we've got a set of assumptions, as you might expect, on both ends, and I'll hand it over to Mark, just to walk through them. Mark Thompson: Thanks, Edlain. And I think your question was about both the global supply construct, but I'll also make maybe a few comments about our own range in the context of that. And so as Ken set up in his prepared remarks, and I think Chris has alluded to this morning already, very robust demand for potash really across the world, and that's continued to be underpinned by the availability of supply that we believe does exist at the midpoint of our global shipment guidance range, affordability and stability of prices. And then again, that fact that inventories have not been building disproportionately in any part of the world. And so it's all the factors that lead to the construct that if these are the factors we see going forward, the potash demand is healthy and it can continue to grow over time. If we look at the upper end of that range, truth be told, we already believe that we're testing global supply chain capability. And at the very top end of that range, we would need to see the effective capacity be available to serve all markets across the world for the remainder of the year. That would be the primary constraint as we get into the top end of the range. At the bottom end of the range, I think we're looking at some of the factors we've talked about today in terms of how the onset of potential risks related to El Niño and Southeast Asia, looking at how inventories evolve for the rest of the year in global markets and then, of course, supportive weather, allowing potash to reach global markets and go to ground. If we look to our own range, again, our potash production has continued to be very stable and consistent. as we've alluded to this morning. And at the high end of that range, we would really expect that for us to be there, consistent with our targeted market share that global markets would have to be trending to the top end of that range for us to be reaching the top end of our range. And at the lower end, it's the typical factors that you would look at in terms of any disruptions to supply chain, the availability of good weather in North America for the fall application season and all of those typical factors. So as of today, we feel quite comfortable with the midpoint of our guidance, and that's been evidenced by the bump in the lower end of the range. Operator: Your next question comes from the line of Jeff Zekauskas from JPMorgan. Jeffrey Zekauskas: I think in your retail segment for the quarter and for the first half, your SG&A costs are up about 6%. And I realized that last year, they were down. What's causing that level of inflation? And secondly, your seed gross profits were down about $20 million in the quarter. Was that a particular line of seeds or type of seeds that caused that shortfall? Or can you explain what's going on there as well? Kenneth Seitz: Yes. Thanks for the question, Jeff. And yes, a number of moving parts there on the SG&A front. I'll hand it over to Mark. And Mark, I'll hand over -- yes, it was also on seed, just a particular crop, but I'll hand it over to Mark just talk through what we're seeing on cost in a little more detail. Mark Thompson: Yes. Thanks, Ken. Jeff, Obviously, as always, there's a number of moving parts. I'd say when we step back and we think about the structural changes that we've made to the cost profile in our retail business, but also more broadly across Nutrien that we believe that we're maintaining those structural cost savings that we've delivered. And so the single biggest factor that's driving the higher retail expense in the first half is something that we talked about post the war on our May call in terms of our guidance assumptions, which was higher expenses coming primarily from retail fuel and fleet costs, the fuel being the biggest of those factors. And so with the significant increase we've seen in global energy prices and the significant fleet that we have and the importance of fuel execution of the business, put a number of safeguards in place, but of course, we're not immune to those costs. And so as we speak and we look to the second half of the year, we continue to look at the factors that we can control in terms of cost discipline in the retail business, but that's the largest of those factors that I would point to. And then maybe I'll just hand it over to Chris to talk about the seed portion of your question. Christopher Reynolds: Yes. Thanks, Mark. Jeff, I think what you're referring to would be mainly the impact of lower rice acres. And so fairly significant decrease there that we weren't expecting, but I think that was the main reason for the decrease in seed sales. Operator: Your next question comes from the line of Matthew DeYoe from Bank of America. Matthew DeYoe: Not to beat up more on retail, but Nutrient margins saw a nice tick up sequentially, but still running down year-over-year. Just, kind of, wondering if that's mix. I would have just assumed a better margin pull-through given what we saw on the price increases in the market in 2Q. And then on CP, similarly or I guess, pretty strong performance. I'm just wondering where volumetrically that comes in because I would have assumed, given just farmer profits, we might have seen weaker overall sales. I'm assuming that growth is not price. Kenneth Seitz: Yes. With respect to -- thanks, Matt. With respect to the first part of the question, just on margins, I'll hand it over to Mark. I'll just say on CP, again, the first half played out pretty much exactly as we expected. And as Chris mentioned earlier, for the second half, farmers are out protecting their crop. And so we've seen strong crop protection movement of volumes in the third quarter. And part of the story about maintaining guidance for the year is crop protection playing out as expected. But Mark, do you want to talk about margins? Mark Thompson: Sure. Thanks, Matt. Not a lot to add to the portions of the comments we've had this morning on guidance. I think when you look at the downstream crop nutrient segment as a whole and you take the comprehensive look at that. I mean, one, as we indicated in our May commentary, we expected that fertilizer sales volumes would be down. Obviously, with the quarter now being behind us and as Ken described, we saw that being a little bit more significant than we expected, particularly on phosphate and nitrogen. As we also said on the May call, we expected crop nutrient margins to be stronger. That dynamic is something that we continue to expect to occur into the remainder of the year that we expect that year-over-year, we're going to have crop nutrient margins be stronger than what we saw last year, and that will partially offset some of the weakness we saw in volumes in the first half. And then, of course, in the second half, as we've laid out today, expecting phosphate to be down, but nitrogen and potash crop nutrient sales volumes closer to historical average levels. Operator: Your next question comes from the line of Ariana Milin from CIBC Capital Markets. Ariana Milin: On nitrogen, do you still see some level of cautiousness among buyers just given continued volatility in the market and related to, like, both the Middle East conflict and Russia and Ukraine? Or was lower prices all that was needed to sort of return to normal? And then on that note, do you expect to see to some degree, a geopolitical risk premium in the nitrogen market over the medium term? Kenneth Seitz: Yes. Thank you for the question, Ariana. So with respect to the first part of the question, the answer is no. And it's much of what we've been discussing is progressing well. There were some deferrals of the nitrogen deferrals of the first half going to have to be made up for in the second half. Notably, we ran our summer fill programs and had very strong response on nitrogen. And so that certainly gives us confidence. We're 85% committed into the third quarter here. And again, with an open fall application season with nitrogen urea prices having come off, we're constructive on N and K for the fall, as Mark just explained as well. With respect to the risk premium for ongoing risk premium geopolitics, it's a difficult one to answer. I mean we talk about what's obviously going on in the Middle East with respect to disruption of trade flows and volumes that continue to be sequestered upstream of the Strait of Hormuz, that 1.5 million tonnes a month that's not coming into the market as long as the Strait is closed. And it's really no conclusion, obviously, no conclusion there in terms of volumes being able to flow freely. So let's see how that plays out into the fall. And then beyond that, we look to potentially longer-term disruption as we consider damage to infrastructure fertilizer production facilities, certainly to natural gas facilities in the region that export LNG to other places that produce nitrogen. So there's a lot going on there. And it plays out today, probably you're seeing $20 natural gas in Europe. And thankfully, our assets continue to sit in geographies that are structurally advantaged as it relates to feedstock. And so it's that combination of things, constructive on the fall and where our asset sits that make us constructive overall on nitrogen. Operator: Your next question comes from the line of Benjamin Theurer from Barclays. Rahi Parikh: This is Rahi on for Ben. Sorry to bring it up again, but for potash. I mean you mentioned the strong demand globally. But I guess just more color on what gives you confidence that farmers will not cut potash spend in order to save up for nitrogen. Maybe if you can point to other periods in the past had a similar scenario like higher nitrogen pricing, lower potash, relatively low grain pricing, maybe higher inputs. I know there's been some debate in the industry and whether there will be growth or decline in potash -- global potash shipments this year. So just looking for, kind of, your perspective on that. Kenneth Seitz: Yes. Thank you, Rahi. What we're seeing in the farmer with our grower customers and with really our wholesale regions around the world is that with demand destruction in phosphate, for example, you look at the share of wallet that farmers deploy toward fertilizer purchases and with the affordability, relative affordability of potash, we're actually seeing strong potash demand as farmers adjust the mix of what they're putting on the ground. And so we are seeing potash on the ground. And what I can tell you is just the signpost, what we're seeing in the market, and that goes to our successful summer fill program in North America, again, heavily committed here into Q3 and talking about this open application season in the fall and the maintenance of that global shipments range of 74 million to 77 million tonnes and certainly domestic being a part of that. Again, potash volumes were up a little bit in the first half. And then talking about commitment levels at Canpotex and Canpotex is fully committed through Q3 and expecting overall volumes to be up this year compared to last. And again, that's just on the back of strong demand in just about every region that we supply, and Chris walked through that earlier. So you put it all together, and we see 74 million to 77 million tonnes Mark walk through our assumptions on each end of that range and then the role that we're playing in that 19% to 20% market share and the confidence that we have increasing the bottom end of our guidance range from last quarter. Operator: Your next question comes from the line of Lucas Beaumont from UBS. Lucas Beaumont: I just wanted to ask one on phosphate. So, I mean you haven't had to reduce your sort of segment volume outlook there at all. It seems you guys haven't had to curtail production from the cost pressures that are coming on the input cost side. So I just wanted to understand how are you, kind of, managing that compared with the others in the industry? And then just in terms of the strategic alternatives there, given the sort of current market disruption we're seeing this year, do you think you'd sort of be able to get the value you want for that asset this year if you're looking at a sale? Or would it be better to maybe come back to that in sort of 12 to 24 months once things settle out there? Kenneth Seitz: Great. Thank you for the question, Lucas. Yes. So with respect to our current operations in our phosphate business, we've spent an extraordinary amount of time and effort over the recent years to diversify our product mix. developing premium products and also focusing on cost reduction. And those efforts have been successful. Today, the operations are running well. They're running safely. It's true that we continue to watch sulfur prices and contribution margins. But today, contribution margins are in the black, and we can, like I say, continue to run those operations. That could change given the volatility in the sulfur market. But again, today, given the product mix, low cost or focus on cost and of course, the quality of the Aurora asset, we continue to run our operations. With respect to the process, it's a good question with respect to what the volatility uncertainty in the market. As we enter the process, being, of course, conscious of what's going on in the market, -- we assume that strategic -- any prospective strategic buyer would look through the current volatility, knowing that the phosphate market today is completely unsustainable. Something has to change and will change. And again, that any strategic buyer would look through the current market and understand the quality asset that Aurora is and sort of assessing White Springs and our feed plants. That's exactly what's happened, Lucas, as we've invited interest in those assets. We're encouraged by what we see. We've had a number of responses. We're in the process now of shortlisting and -- and I can tell you, we've had interest in all of the assets, some of the assets, everything in between. We're going to be working through that over the coming months. And again, as we've shared, have some conclusions we expect on our strategic review by the end of this year. So it's a good question, but we are encouraged by what we're seeing. Operator: Your next question comes from the line of Steven Hansen from Raymond James. Steven Hansen: I just wanted to circle back on some of the earlier comments on long-range potash outlook planning. I'm just curious if you're looking at your existing logistical network, how you feel about that in a couple of context, I guess, we've got the major projects planning here in Canada and nation building efforts pushing for additional infrastructure spending on the West Coast. But then you've also got your plans to perhaps move into the Pacific Northwest as well for terminals. So just thinking about -- I would just like to get some commentary on how you feel about the current status of the network and ultimately, how you feel that network is set up to handle some of this longer-term planning that you're thinking about. Kenneth Seitz: Yes. Thank you, Steve. And we're very thoughtful about that. If you look at global demand and what's happening to 2.5% average annual growth rates per year, and there's significant runway there given that the world habitually underutilizes potash and what we can do globally with respect to yield, plant health, disease resistance, drug resistance with more potash, like I say, there's a long runway. So we plan for long-term growth. We have the customers and end markets to achieve that. And of course, we have the volumes underground here in Saskatchewan to provide to them. As you say, it's everything in between that we need to be thoughtful about, and we are. So with respect to the end markets, North America, we say that set of infrastructure is built out more than probably anyone has done in our business right through to our wholesale customers in North America and on to farms. It is true. We continue to scrutinize cost and efficiency among that network, and we do see opportunity to get better there. But we expect the majority of our potash volume growth to take place offshore overseas. And to your question, Steve, how are we thinking about preparing for that today via Canpotex. We have sufficient port capacity to meet near- and medium-term volume growth. We have the rail contracts in place to get to those terminals. And of course, our load-out facilities, as I mentioned earlier, are sized to meet growth. And over time, when we talk about an incremental step change in capital beyond 18 million tonnes, part of that is the load-out facility to have to build some more load up, but we'll be planful and thoughtful about that with lead times that accommodate the volumes to flow. With respect to terminal infrastructure for the long term, yes, we -- one, we like to have some options. We don't like all volumes going through one location. So we'd like to diversify that. Two, we know that we need more terminal capacity over the long term. And so yes, that led to our announcement of exploring Longview as an option for us to construct a terminal for that long-term growth. Put that whole picture together, and we don't see impediments to our continued growth in potash production as we serve our customers globally. Operator: Your next question comes from the line of David Symonds from BNP Paribas. David Symonds: A couple for me, please. The first one is a bit of a conceptual one. How are you thinking about increasing biofuel mandates around the world in relation to the amount of fertilizer will need in the next sort of 5 years? I saw a UN piece on food security risk yesterday, but it strikes me that with a lot of tension around the oil market, there seems to be a big increase in biofuel mandate. And secondly, your retail business has a lot of agronomists across the U.S. There's a lot of debate about weather conditions in the corn belt, particularly around having had quite a dry July. Do you have any view on the yield for U.S. corn this year? Kenneth Seitz: Yes, David, thank you. It's a great question. So I will hand it over to Jason Newton, our Chief Economist, who studies both of the questions quite closely. So Jason. Jason Newton: Thanks, Ken. David, yes, there's a number of different biofuel mandates that are expanding globally that have been providing support to grain demand and prices already. So if we look at Southeast Asia, and we've mentioned already the strength in palm oil prices and part of that's driven by strong vegetable oil demand, expanding biofuel mandate in Indonesia, which is moving to a B50 mandate there that's expanding domestic demand. And so that's been supportive of palm oil prices and grower economics in that region. In North America, we also see support for biofuels and potential expansion into year-round E15 expansion of renewable diesel production in the U.S. We've seen recent expansion announcements for crushing capacity for soybeans. And so that's really supportive of demand, and we've seen strong demand for grains and oilseeds tighten those supply-demand balances versus what was expected earlier this year. And as we look over the medium term, with that increased certainty, we expect increased domestic demand in the U.S. to be supportive of grower economics. and acreage. To your second question on weather in the U.S., yes, we've seen across numerous geographies globally, challenges with weather conditions, really hot and dry weather in Europe and dry weather, especially in the Western Corn Belt of the U.S. and consecutive weeks of reduced condition ratings in the U.S., providing potential downside on yields, and we'll watch how that develops going forward. Of course, we know that nutrient application rates were down as well, and that could provide additional uncertainty with respect to yields given the importance of adequate nutrition in terms of drought resistance and so on. And so as we look toward the fall, the tightening supply-demand balances from that strong demand and reduced yield potential is supporting a more optimistic view of ag economics and supply and demand fundamentals. Operator: There are no further questions at this time. I will now turn the call back to Jeff Holzman. Please go ahead. Jeff Holzman: Thank you for joining us today. The Investor Relations team is available if you have follow-up questions. Have a great day. Operator: Thank you. Ladies and gentlemen, this concludes today's conference call. Thank you for your participation. You may now disconnect. Before you buy stock in Nutrien, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nutrien wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $403,337!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,334,946!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 13, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool recommends Nutrien. The Motley Fool has a disclosure policy. Nutrien (NTR) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Find winning stocks in any market cycle. Join 7 million investors using Simply Wall St's investing ideas for FREE. Nutrien (TSX:NTR) reported second quarter sales that were higher than expected, supported by stronger potash prices even as volumes declined and some input costs increased, while adjusted earnings per share came in below analyst expectations. See our latest analysis for Nutrien. The share price of Nutrien has moved to CA$93.60, with a 1-day share price return of 1.32% and a year to date share price return of 7.85%. The 1-year total shareholder return of 25.39% suggests recent momentum has been building as investors weigh the higher than expected sales, updated potash volume guidance, dividend declaration, and progress on the buyback. If you are comparing Nutrien with other opportunities in materials and related sectors, this could be a handy moment to see what else is on your radar through 9 top copper producer stocks Nutrien looks like a solid, diversified agricultural supplier and the recent share price move reflects that story. The real test for investors now is whether the stock price already captures that strength or still offers value. The most followed narrative on Nutrien compares a fair value of CA$110.93 with the last close at CA$93.60, framing the stock as modestly undervalued while assuming fairly muted fundamentals. Read the complete narrative. Want to see what really sits behind that fair value for Nutrien? The narrative leans on specific margin targets, cash flow expectations, and a higher future earnings multiple. Curious which assumptions have to hold together for that to work. Result: Fair Value of CA$110.93 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, there are clear weak spots, including potential regulatory cost pressure and slower fertilizer demand if alternative crop nutrition gains ground, that could challenge this Nutrien narrative. Find out about the key risks to this Nutrien narrative. With mixed signals on Nutrien’s value and outlook, it helps to move quickly, consider the full picture, and weigh both sides for yourself. To see how the risks and upsides compare in one place, take a closer look at the 2 key rewards and 2 important warning signs If Nutrien has your attention, do not stop there. Broader ideas can help you build a stronger watchlist, and skipping that step could mean missing useful opportunities. Target potential future bargains by scanning companies that look attractively priced on fundamentals through the 10 high quality undervalued stocks. Strengthen your income focus by reviewing stocks that offer higher yields and consistent payments via the 4 dividend fortresses. Dial back risk by checking companies with sturdier finances and cleaner balance sheets using the solid balance sheet and fundamentals stocks screener (12 results). This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NTR.TO. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Nutrien Ltd. NTR reported net earnings of $1.22 billion or $2.53 per share for the second quarter of 2026. This compares with net earnings of $1.23 billion or $2.50 per share in the year-ago quarter. Barring one-time items, adjusted earnings were $2.61 per share, which missed the Zacks Consensus Estimate of $2.70. Adjusted earnings were down about 2% from $2.65 per share in the prior-year quarter. The company reported second-quarter sales of $10,812 million, up 4% from $10,438 million in the previous-year quarter. The figure surpassed the Zacks Consensus Estimate of $10,672.6 million. Adjusted EBITDA declined 2% year over year to $2.43 billion for the quarter. Higher global fertilizer benchmark prices were more than offset by lower fertilizer volumes and higher sulfur costs. Nutrien Ltd. price-consensus-eps-surprise-chart | Nutrien Ltd. Quote The Nutrien Ag Solutions (Retail) segment recorded sales of $8,270 million in the second quarter, up 4% from $7,959 million a year ago. The figure beat our estimate of $7,864.4 million. Retail adjusted EBITDA declined 2% to $1,131 million, mainly due to lower crop nutrient sales volumes and higher fuel costs. The Potash segment generated net sales of $1,053 million, up 6% year over year from $991 million. The figure missed our estimate of $1,236.7 million. Potash adjusted EBITDA increased 4% to $658 million, aided by higher global benchmark prices and strong operational and supply chain execution, partly offset by higher provincial mining taxes. Nitrogen net sales were $1,154 million, down 3% from $1,187 million in the year-ago quarter. The figure topped our estimate of $1,138.2 million. Adjusted EBITDA fell 5% to $635 million as lower sales volumes more than offset the benefit of higher global benchmark prices. Phosphate net sales rose 18% year over year to $468 million from $396 million. The figure surpassed our estimate of $437.6 million. Adjusted EBITDA decreased 75% to $23 million, primarily due to higher sulfur input costs, partly offset by stronger global benchmark prices and higher sales volumes. Cash provided by operating activities was $2.48 billion in the second quarter compared with $2.54 billion in the prior-year quarter. Cash used for dividends and share repurchases increased 18% year over year to $439 million from $373 million. As of June 30, 2026, Nutrien had cash and cash equivalents of $921 million compared with $701 million at the end of 2025. Long-term debt, including the current portion, was $10.86 billion, up from $9.86 billion at year-end 2025, reflecting the issuance of $1 billion of senior notes in the second quarter. For 2026, Nutrien maintained Retail adjusted EBITDA guidance of $1.75-$1.95 billion. The midpoint assumes high-single-digit growth in proprietary products gross margins, strong crop input and services demand in Australia, increased crop nutrient margins per ton and lower crop nutrient sales volumes compared with 2025. The company raised its 2026 Potash sales volume guidance to 14.2-14.8 million tons from 14.1-14.8 million tons, supported by strong demand in key offshore markets. Global potash shipments are still projected at 74-77 million tons for 2026. Nitrogen sales volume guidance was maintained at 9.2-9.7 million tons, while Phosphate sales volume guidance remains 2.4-2.6 million tons. The Nitrogen outlook reflects planned reliability improvements and debottlenecking initiatives, while the Phosphate guidance reflects benefits from reliability improvements completed in 2025. Nutrien lowered its 2026 capital expenditure guidance to $1.95-$2.05 billion from $2-$2.1 billion, reflecting a continued focus on capital efficiency and structural free cash flow growth. NTR’s Price Performance Nutrien’s shares have gained 18.3% in the past year against the 46.1% decline of the industry. Image Source: Zacks Investment Research NTR currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks are Almonty Industries Inc. ALM, ClearSign Technologies Corporation CLIR and Applied Industrial Technologies, Inc. AIT. Almonty is expected to report second-quarter results on Aug. 13. The Zacks Consensus Estimate for ALM’s second-quarter earnings is pegged at 10 cents per share. It carries a Zacks Rank #2 (Buy) at present. ClearSign is scheduled to report second-quarter 2026 results on Aug. 19. The consensus estimate for CLIR’s loss per share is pegged at 25 cents. CLIR presently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Applied Industrial is scheduled to report fourth-quarter fiscal 2026 results on Aug. 13. The Zacks Consensus Estimate for AIT’s fourth-quarter earnings per share is pegged at $2.92. AIT carries a Zacks Rank #2 at present. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Nutrien Ltd. (NTR) : Free Stock Analysis Report Applied Industrial Technologies, Inc. (AIT) : Free Stock Analysis Report ClearSign Technologies Corporation (CLIR) : Free Stock Analysis Report Almonty Industries Inc. (ALM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in Nutrien Ltd.? Here are five stocks we like better. Nutrien delivered solid first-half results: Adjusted EBITDA rose 6% to $3.5 billion, supported by record potash volumes, proprietary-product margins and operational execution. The company raised its 2026 potash sales-volume outlook and maintained its global potash shipment forecast. Retail and nitrogen performance was mixed: Lower commodity fertilizer volumes weighed on retail, but proprietary-product gross margin grew 10% in the first half. Nitrogen EBITDA reached $635 million, while production disruptions and maintenance reduced sales volumes. Nutrien increased capital returns and is reviewing assets: It cut 2026 capital-expenditure guidance to $1.95 billion–$2.05 billion and raised its share-repurchase pace to about $75 million per month. Management is evaluating strategic alternatives for its phosphate, Trinidad nitrogen and parts of its Brazilian retail businesses. 3 Agriculture Stocks to Buy as Food Inflation Stays Elevated in 2026 Nutrien (NYSE:NTR) reported second-quarter adjusted EBITDA of $2.4 billion and first-half adjusted EBITDA of $3.5 billion, up 6% from a year earlier, as record potash sales volumes, proprietary-product margin growth and operating execution supported results. Cash provided by operating activities increased 12% in the first half, Chief Financial Officer Mark Thompson said. The company raised the lower end of its 2026 potash sales-volume guidance, reduced its capital-expenditure outlook and increased the pace of share repurchases. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling Not Just Oil: 3 Fertilizer Stocks Boosted by Hormuz Closure Nutrien raised its 2026 potash sales-volume forecast to 14.2 million to 14.8 million tons, from its prior range beginning below 14.2 million tons. Thompson attributed the revision to strong first-half sales and improved visibility into second-half orders. Canpotex is fully committed for third-quarter sales volumes, while Nutrien received a favorable response to its domestic summer-fill program, he said. Second-quarter potash adjusted EBITDA was $658 million, supported by higher global benchmark prices as well as supply-chain and operational execution. The company’s second-quarter and first-half controllable cash cost of product manufactured was flat from the prior year, and Nutrien continues to target full-year controllable cash costs below $60 per ton. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Is the AI Boom a Bubble? These 2 Dividend Stocks Say No President and CEO Ken Seitz said the company mined 53% of ore tons using automation in the first half, surpassing the upper end of its 2024 Investor Day target. Automation is helping the company improve safety and productivity while producing more ore from existing assets, he said. Seitz said Nutrien currently has roughly 15 million tons of potash production capacity and can add capacity from its six-mine network with relatively short lead times. The company estimates the capital cost to expand capacity from 15 million to 18 million tons at about $200 to $300 per ton, compared with a higher cost for greenfield development. Nutrien aims to maintain a global potash market share of approximately 19% to 20%. → No Hangover: Revisiting Microsoft One Week After Earnings The company maintained its forecast for global potash shipments of 74 million to 77 million tons in 2026. Management said demand remains healthy across major markets, supported by potash affordability, low starting inventories and stable prices. The upper end of the global range would require sufficient effective supply-chain capacity globally, while weather, inventories and potential El Niño-related risks could influence the lower end. Nutrien’s nitrogen segment generated $635 million in second-quarter adjusted EBITDA. Nitrogen sales volumes declined from the prior year because of no production from Trinidad and New Madrid, planned maintenance at Carseland and deferred customer purchases amid late-quarter volatility, Thompson said. The company maintained its 2026 nitrogen sales-volume guidance of 9.2 million to 9.7 million tons. Most third-quarter fertilizer sales volumes have been committed, and Nutrien expects planned turnarounds at its Lima and Redwater facilities during the quarter, followed by higher ammonia operating rates in the fourth quarter. Seitz said the Carseland turnaround, the largest in the facility’s history, included a debottlenecking project that increased annual production capacity. The project was completed with zero lost-time injuries, ahead of schedule and under budget, despite having a larger scope than the previous major turnaround. Management said global urea prices fell in the latter half of the second quarter during a seasonal demand lull, compounded by geopolitical developments. Fundamentals strengthened in the third quarter amid trade-flow disruptions, outages, higher energy prices and increased demand. Seitz also cited volumes being held upstream of the Strait of Hormuz and said Nutrien’s North American assets benefit from secure, low-cost feedstock and market access. First-half adjusted EBITDA in Nutrien’s downstream retail business rose 4% to $1.24 billion. The company maintained its full-year retail adjusted EBITDA guidance of $1.75 billion to $1.95 billion. Retail crop-nutrient volumes declined in the second quarter, particularly for phosphate and nitrogen, following a strong start to the application season. Seitz said phosphate volumes fell about 10%, reflecting what he described as demand destruction amid pressure on phosphate economics. Nitrogen volumes declined about 7%, affected by lower corn acres, a larger 2025 fall application season, a delayed Western Canadian planting season and some purchase deferrals. Those lower commodity fertilizer volumes were offset by proprietary-product performance. Proprietary crop-nutrient gross margin increased 10% in the first half despite softer fertilizer demand, while sales volumes for certain nutritional products rose nearly tenfold from the prior year. Nutrien launched 26 new proprietary products during the year, Seitz said. Management expects high-single-digit proprietary-products gross-margin growth for the full year. It also expects higher crop-nutrient margins per ton to partly offset lower volumes, with nitrogen and potash applications anticipated to be near historical average levels in the fall, while phosphate demand remains below historical levels. In Australia, strong livestock prices and favorable weather supported the retail business. Chris Reynolds, executive vice president of global sales, said continued export demand for lamb and beef has supported livestock prices and stock-agent commissions. Nutrien lowered its 2026 capital-expenditure guidance by $50 million to $1.95 billion to $2.05 billion. The company increased first-half share repurchases by 26% from the prior year and has raised its third-quarter repurchase pace to approximately $75 million per month, compared with about $50 million per month at the beginning of the year. Thompson said the company’s capital-return strategy is supported by cash generation, divestiture proceeds and a balance-sheet objective of maintaining net debt to EBITDA near 1.5 times at mid-cycle prices. Nutrien has generated about $1 billion in gross proceeds from divestments since the fourth quarter of 2024, including agreements announced since June 2026 for approximately $90 million of non-core asset sales. The company is reviewing strategic alternatives for its phosphate business and said it has received numerous non-binding bids. It is also evaluating options for its Trinidad nitrogen operations and components of its Brazilian retail business, with management expecting to determine the optimal paths for those businesses in 2026. Seitz said Nutrien plans to host an Investor Day in Toronto on Nov. 30 to outline additional value-creation opportunities across the business. Nutrien Ltd. is a global fertilizer and agricultural-services company headquartered in Saskatoon, Saskatchewan, Canada. The company is publicly traded and operates across the farm input value chain, combining upstream fertilizer production with a broad retail and services platform aimed at supporting crop production worldwide. Nutrien's business model integrates the manufacture and distribution of crop nutrients with on-the-ground agronomic support for growers and agricultural businesses. Nutrien produces and supplies the three primary fertilizer nutrients—potash, nitrogen and phosphate—through its wholesale operations, and markets a wide range of crop inputs including seeds and crop protection products. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Nutrien Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Record potash sales volumes were achieved by utilizing a low-cost 6-mine network and an extensive global supply chain to meet robust demand. Mine automation reached 53% of ore tonnes, exceeding targets and delivering safety and productivity gains while optimizing capital expenditures on existing assets. Retail adjusted EBITDA grew 4% despite softer fertilizer demand, driven by a 10% increase in proprietary crop nutrient margins as growers prioritized yield-enhancing solutions. Nitrogen performance was supported by North American feedstock advantages and operational excellence, exemplified by a major facility turnaround completed ahead of schedule and under budget. Portfolio optimization efforts have generated approximately $1 billion in gross proceeds since late 2024, creating flexibility to reduce debt and increase shareholder returns. Strategic reviews for the phosphate business, Trinidad nitrogen operations, and Brazilian retail are on track for solidification by the end of 2026. Global potash shipments are projected at 74 million to 77 million tonnes for 2026, supported by favorable affordability and healthy demand across all major markets. Nitrogen markets are expected to be shaped by ongoing trade flow disruptions, production outages, and elevated energy prices through the remainder of 2026. Retail guidance assumes high single-digit growth in proprietary products and a return to historical average application levels for nitrogen and potash during the fall season. Capital expenditure guidance was reduced by $50 million to a range of $1.95 billion to $2.05 billion, reflecting a heightened focus on capital efficiency. The company intends to maintain a disciplined capital allocation framework, targeting a mid-cycle net debt to EBITDA ratio of approximately 1.5x. The phosphate business is under strategic review due to unsustainable global margin pressure from elevated sulfur costs, though Nutrien's assets remain operational and in the black. Geopolitical uncertainty and El Niño forecasts are identified as potential upside drivers for crop prices but also represent risks to global production and trade flows. Divestiture of non-core assets since June 2026 has already secured approximately $90 million in gross proceeds. Retail SG&A costs increased by 6% in the first half, primarily attributed to higher fuel and fleet expenses rather than structural cost reversals. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management intends to maintain a 19% to 20% global market share, utilizing automation to unlock the next increment of production at a cost of $200 to $300 per tonne. Lead times for expanding from 15 million to 18 million tonnes are relatively short (approximately one year) as milling and tailings infrastructure are already in place. The repurchase pace was stepped up to $75 million per month in Q3, reflecting confidence in cash generation and a strong balance sheet following divestitures. Share repurchases remain the preferred avenue for returning capital, providing the flexibility to grow dividends per share without increasing total dividend expense. Lower Q2 volumes in North American retail were driven by demand destruction in phosphate and deferred nitrogen purchases during a period of price volatility. Management expects a strong fall application season for nitrogen and potash, with higher margins per tonne helping to offset the first-half volume weakness. Nutrien has received numerous non-binding bids for the phosphate assets and is currently shortlisting prospective buyers. Management believes strategic buyers will look through current market volatility, recognizing the long-term value of the high-quality Aurora asset.

Nutrien (NTR) came out with quarterly earnings of $2.61 per share, missing the Zacks Consensus Estimate of $2.7 per share. This compares to earnings of $2.65 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -3.33%. A quarter ago, it was expected that this producer of potash and other fertilizers would post earnings of $0.48 per share when it actually produced earnings of $0.51, delivering a surprise of +6.25%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Nutrien, which belongs to the Zacks Fertilizers industry, posted revenues of $10.81 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.31%. This compares to year-ago revenues of $10.44 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Nutrien shares have added about 8.4% since the beginning of the year versus the S&P 500's gain of 13%. While Nutrien has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Nutrien was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.17 on $6.11 billion in revenues for the coming quarter and $5.52 on $28.77 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Fertilizers is currently in the bottom 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the broader Zacks Basic Materials sector, Neo Performance Materials Inc. (NOPMF), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 11. This company is expected to post quarterly earnings of $0.50 per share in its upcoming report, which represents a year-over-year change of +177.8%. The consensus EPS estimate for the quarter has been revised 123.7% higher over the last 30 days to the current level. Neo Performance Materials Inc.'s revenues are expected to be $176.07 million, up 53.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Nutrien Ltd. (NTR) : Free Stock Analysis Report Neo Performance Materials Inc. (NOPMF) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research