FMC Q2 Earnings Beat Estimates on Favorable Costs, Revenues Miss

Regional Sales Performance

North America sales declined 22.4% year over year to $249 million from $321 million. The decrease reflected weaker demand for core legacy products as strained grower margins affected purchasing, along with lower diamide partner orders and pricing pressure.

EMEA revenues fell 17.7% to $214 million from $260 million. Latin America sales decreased 10.3% to $278 million from $310 million. The unfavorable comparisons reflected the broader impact of lower prices, reduced partner demand and weakness across core legacy products.

Asia revenues, excluding India in the reported quarter, declined 36.5% to $101 million from $159 million a year earlier. India generated an additional $26 million in second-quarter 2026 reported revenues.

Financials

As of June 30, 2026, FMC had cash and cash equivalents of $476.6 million. Long-term debt was $3.95 billion.

Outlook

FMC lowered its full-year 2026 revenue guidance, excluding India, to $3.50-$3.70 billion from $3.60-$3.80 billion.

Adjusted EBITDA is now projected at $620-$680 million. Adjusted earnings are expected between $1.19 and $1.49 per share. Free cash flow guidance was raised to $75-$225 million because it now includes the licensing payment.

For the third quarter, revenues excluding India are expected between $840 million and $900 million. Adjusted EBITDA is projected at $120-$140 million, with adjusted earnings of 5-13 cents per share.

Fourth-quarter revenues excluding India are forecast between $1.06 billion and $1.20 billion, representing 4% growth at the midpoint. Adjusted EBITDA is expected at $275-$315 million, while adjusted earnings are projected between $1.09 and $1.33 per share.

FMC’s Price Performance

Shares of FMC have lost 74.4% in the past year compared with the industry’s 17.5% rise.

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FMC’s Zacks Rank & Key Picks

FMC currently carries a Zacks Rank #5 (Strong Sell).

Some better-ranked stocks in the basic materials space are The Chemours Company CC, Kronos Worldwide, Inc. KRO and Avient Corporation AVNT.

Chemours is slated to report second-quarter 2026 results on Aug. 4. The Zacks Consensus Estimate for earnings is pegged at 43 cents per share. CC sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here. 

Kronos is scheduled to report second-quarter 2026 results on Aug. 5. The Zacks Consensus Estimate for KRO’s second-quarter loss per share is pegged at 33 cents, indicating 65.63% year-over-year growth. KRO also flaunts a Zacks Rank #1 at present.

Avient is slated to report second-quarter 2026 results on Aug. 6. The consensus estimate for AVNT’s earnings per share is pegged at $3.08. AVNT presently carries a Zacks Rank #2 (Buy).

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This article originally published on Zacks Investment Research (zacks.com).

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