Nutrien Shares Climb as Company Considers Selling Phosphates Business

By Robb M. Stewart

Nutrien's shares advanced after the fertilizer giant logged a surge in third-quarter earnings thanks to increased sales volumes and higher selling prices and it flagged the possible sale of its phosphate business.

In morning trading, the shares were 2.8% higher at C$78.44. That widened the advance in 2025 to 22%.

After the market closed Wednesday, the Saskatchewan-based company said it continued work to simplify its portfolio and grow cash flows. It said a review of strategic alternatives for its phosphates business was being launched, which would consider reconfiguring the operation, strategic partnerships and a possible sale. Nutrien aims to find a path for the business in 2026.

The company is one of the largest phosphate producers in North America, with two integrated facilities and four regional product sites that work on upgrading the mined product. Phosphate is used in fertilizer, animal feed and by industry in soft drinks and food additives.

The review comes after Nutrien last month began a controlled shut down of its Trinidad nitrogen operations in response to port access restrictions imposed by the government and what the company said was a lack of reliable and economic natural gas supply.

Nutrien recorded a rise in earnings attributable to shareholders for the quarter to $464 million, or 96 cents a share, from $18 million, or 4 cents, a year earlier.

Stripping out certain items, earnings before interest, taxes, depreciation and amortization increased to $1.43 billion from $1.01 billion. That was modestly ahead of the $1.4 billion penciled in by analysts polled by FactSet.

Sales were 12% higher for the three months at $6.01 billion.

The company anticipates global potash shipments will hit 73 million to 75 million metric tons this year, rising to 74 million to 77 million next year thanks to increasing demand and low projected inventories in major markets. Demand for nitrogen is expected to rise 2% next year as supplies remain tight, and it also expects phosphate markets to remain tight thanks to limited supply, including from Chinese export restrictions.

Nutrien is aiming for adjusted Ebitda of $1.68 billion to $1.82 billion for the year, assuming high crop nutrient and crop protection sales in the second half of the year and a continued recovery in Brazil. That narrows the $1.65 billion to $1.85 billion target set in August.

It forecast 2025 potash sales volumes of 14 million to 14.5 million tons, in line with its historical share of global shipments, while nitrogen sales are expected to be between 10.7 million and 11 million tons, with no additional sales from Trinidad anticipated for the remainder of the year. It continued to project phosphate sales volumes of 2.35 million to 2.55 million tons.

In September, Nutrien reached a deal to sell its 50% stake in Profertil, the largest producer of granular urea in South America, to Adecoagro for about $600 million. The outstanding 50% is owned by Argentina's YPF SA.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

November 06, 2025 11:26 ET (16:26 GMT)