biobert schreef op 1 augustus 2022 22:33:
CF Industries Holdings, Inc. Reports First Half 2022 Net Earnings of $2.05 Billion, Adjusted EBITDA of $3.60 Billion
Company Release - 8/1/2022
Strong Operational Performance and Wide Energy Spreads Drive Record Results
DEERFIELD, Ill.--(BUSINESS WIRE)-- CF Industries Holdings, Inc. (NYSE: CF), a leading global manufacturer of hydrogen and nitrogen products, today announced results for the first half and second quarter ended June 30, 2022.
Highlights
First half net earnings of $2.05 billion(1), or $9.78 per diluted share and EBITDA(2) of $3.47 billion, which include the impact of pre-tax restructuring charges of $162 million related to the Company’s UK operations; adjusted EBITDA(2) of $3.60 billion
Second quarter net earnings of $1.17 billion(1), or $5.58 per diluted share, and EBITDA(2) of $1.80 billion, which include the impact of pre-tax restructuring charges of $162 million related to the Company’s UK operations; adjusted EBITDA(2) of $1.95 billion
Trailing twelve months net cash from operating activities of $4.45 billion, free cash flow(3) of $3.61 billion
Repurchased approximately 6.6 million shares for $590 million during the first half of 2022
CF Industries and Mitsui & Co., Ltd. have signed a joint development agreement for the companies’ proposed export-oriented greenfield ammonia production facility in the United States to produce blue ammonia
“The CF Industries team delivered a strong operational performance and leveraged our manufacturing and logistics flexibility to drive outstanding results in the first half of 2022, despite weather-related challenges during the North American planting and fertilizer application season,” said Tony Will, president and chief executive officer, CF Industries Holdings, Inc. “We continue to believe it will take several years to replenish global grains stocks, underscoring the critical role CF Industries plays supplying nutrients to farmers around the world during a period when marginal producers in Europe and Asia face production curtailments due to historically high natural gas prices.”
Nitrogen Market Outlook
Management expects the global nitrogen supply-demand balance to remain tight for the foreseeable future, underpinned by resilient agricultural-led demand and uncertainty about global production and export supply availability. Additionally, energy spreads between low-cost producers and marginal production in Europe and Asia are projected to remain historically wide.
The need to replenish global grains stocks is expected to support continued positive demand for nitrogen products. Based on U.S. Department of Agriculture data, global grains stocks-to-use ratios for 2022/2023 are forecast to be similar to those of 2021/2022, which should sustain continued strength for global grains prices, incentivizing nitrogen fertilizer application.
The outlook for global nitrogen supply availability remains challenged due to high natural gas costs in Europe and Asia, which have been exacerbated by uncertainty about the future of natural gas flows from Russia and the knock-on effect of greater competition for liquefied natural gas cargoes. The resulting high production costs are likely to result in lower ammonia production in these regions, though management believes that production facilities in Europe and Asia that can import ammonia may be able to continue to manufacture upgraded products profitably.
Energy differentials for Europe and Asia compared to low-cost regions remain significant. This has steepened the global nitrogen cost curve and increased margin opportunities for low-cost North American producers. Forward curves suggest that these favorable energy spreads will persist through 2023.