THE MOSAIC COMPANY REPORTS FIRST QUARTER 2024 RESULTS

TAMPA - The Mosaic Company (NYSE: MOS), reported net earnings of $45 million, or $0.14 per diluted share, for the first quarter of 2024.

Adjusted EPS(1) was $0.65 and Adjusted EBITDA(1) was $576 million. 'Mosaic delivered a solid first quarter,' said President and CEO Bruce Bodine. 'For the remainder of the year, we will focus on execution and the completion of previously announced low capital intensity initiatives that build on our strengths.'

First Quarter Results Highlights: First quarter revenues totaled $2.7 billion, down 26 percent from the year ago period, reflecting the impact of lower selling prices. The gross margin rate in the first quarter was 14.9 percent, down from 18.6 percent in the year ago period.

Net earnings in the first quarter totaled $45 million, compared with $435 million in the year ago period. Current period results reflected the after-tax impact of notable items totaling $165 million, mainly from a foreign currency transaction loss, an unrealized loss on derivatives, and an adjustment to environmental reserves. Adjusted EBITDA(1) totaled $576 million, compared with $777 million in the first quarter of 2023. Cash from operating activities totaled $(80) million and free cash flow(1) totaled $203 million. This compares to $149 million and $191 million, respectively, in the year ago period.

Potash operating earnings were $198 million in the first quarter, compared to $402 million last year. Adjusted EBITDA(1) totaled $281 million, compared to $474 million in the same period last year, reflecting the impact of lower prices, partially offset by higher volume and lower Canadian resource taxes.

Phosphate operating earnings were $40 million in the first quarter, compared to $266 million in the prior year period. Adjusted EBITDA(1) totaled $277 million, compared to $382 million in the first quarter of 2023. Segment results reflect the impact of lower prices, lower sales volume, a higher mix of third party produced fertilizers, and higher planned turnaround costs, partially offset by lower raw material costs.

Mosaic Fertilizantes reported operating earnings of $42 million in the first quarter, compared to $(32) million in the prior year period. Adjusted EBITDA(1) totaled $83 million during the quarter, increasing from $3 million in the first quarter of 2023, reflecting higher distribution margins, partially offset by lower sales volume.

Portfolio Highlights: In April, Mosaic announced a transaction with Ma'aden to receive approximately $1.5 billion in Ma'aden common shares in exchange of Mosaic's 25% share of the Wa'ad Al Shamal Phosphate Company. When completed, this transaction will provide a defined value for Mosaic's investment and improve Mosaic's capital flexibility over time.

The Colonsay potash mine was curtailed in March and will remain idle until market conditions improve.

Mosaic completed repairs caused by a fire at its Riverview facility in late April.

Market Outlook

Agricultural fundamentals remain constructive, with grains and oilseeds stock-to-use ratios expected to remain pressured for the foreseeable future. While corn and soybean fundamentals and prices have softened recently, growers around the world remain profitable.

Constructive long-term agriculture fundamentals and favorable economics incentivize growers to maximize yields. In 2024, the El Nino weather pattern is expected to shift to La Nina, creating a favorable backdrop in Southeast Asia, India and Brazil. Certain parts of the world have gone through two years of under-application of fertilizers, and growers are seeking to replenish soil nutrients. For fertilizer demand, as North America is transitioning out of a robust spring planting season, the rest of the world is set to pick up in the coming months. In Brazil, despite the credit and liquidity challenges in the region, low inventory and a favorable demand outlook sets the stage for peak or near peak fertilizer shipments in 2024. Global potash supply constraints are likely to continue to abate this year as we see higher exports from Belarus and Russia.

However, we also expect strong palm oil fundamentals to drive demand recovery in South East Asia. Despite the temporary resumption of China phosphate exports, the favorable overall picture has not changed as domestic agriculture and industrial demand will continue to be prioritized over fertilizer exports in the long term. These factors suggest the global potash market is balanced and the phosphate market will remain tight in 2024.

About The Mosaic Company

The Mosaic Company is one of the world's leading producers and marketers of concentrated phosphate and potash crop nutrients. Mosaic is a single source provider of phosphate and potash fertilizers and feed ingredients for the global agriculture industry. More information on the company is available at www.mosaicco.com.

Mosaic has posted prepared comments and related slides on its website, www.mosaicco.com/investors, concurrently with the posting of this release and performance data. In addition, the company will provide access to a fireside chat addressing questions on the quarter, current market conditions, and other topics on Thursday, May 2, 2024, at 11 am Eastern. The fireside chat will be available both on the website and via telephone at the following number: 412-902-6506, Conference ID: 1683304. All earnings-related material, including audio, will be available up to one year from the time of the earnings call.

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