FMC Corp. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>FMC Corp. has filed its Q1 2024 10-Q report detailing financial performance and operational updates.</b>

AI Summary

FMC CORP (FMC) filed a Quarterly Report (10-Q) with the SEC on May 7, 2024. FMC Corp. filed its quarterly report (10-Q) on May 7, 2024, for the period ending March 31, 2024. The filing covers the first quarter of fiscal year 2024. The company's principal executive offices are located at 2929 Walnut Street, Philadelphia, PA. FMC Corp. was formerly known as Food Machinery & Chemical Corp and Bean Spray Pump Co. The report includes financial data and disclosures for the period.

Why It Matters

For investors and stakeholders tracking FMC CORP, this filing contains several important signals. This 10-Q filing provides investors with the latest financial snapshot of FMC Corp., including revenue, expenses, and balance sheet information for the first quarter of 2024. Understanding the details within this report is crucial for assessing the company's current financial health, strategic direction, and potential risks or opportunities.

Risk Assessment

Risk Level: medium — FMC CORP shows moderate risk based on this filing. The company's financial performance is subject to market fluctuations and competitive pressures within the agricultural sciences industry, as indicated by the need for detailed financial reporting.

Analyst Insight

Review the detailed financial statements and risk factors in the 10-Q to understand FMC Corp.'s performance drivers and potential challenges in the current market.

Key Numbers

• 2024-03-31 — Report Period End Date (Conformed period of report)
• 2024-05-07 — Filing Date (Filed as of date)
• 2024-01-01 — Quarter Start Date (Reporting period start date)
• 2023-03-31 — Prior Year Quarter End Date (Prior year period end date)

Key Players & Entities

• FMC CORP (company) — Filer name
• 2929 WALNUT STREET (company) — Business address street
• PHILADELPHIA (company) — Business address city
• PA (company) — Business address state
• 19104 (company) — Business address zip
• 215-299-6668 (company) — Business phone
• FOOD MACHINERY & CHEMICAL CORP (company) — Former company name
• BEAN SPRAY PUMP CO (company) — Former company name

FAQ

Industry Context

FMC Corp. operates in the agricultural sciences industry, providing crop protection, crop enhancement, and pest and weed control solutions.

Regulatory Implications

As a publicly traded company, FMC Corp. is subject to the reporting requirements of the Securities and Exchange Commission (SEC), including the filing of Form 10-Q for quarterly financial information.

What Investors Should Do

1. Analyze the detailed financial statements within the 10-Q to understand revenue trends, cost of goods sold, and operating expenses.
2. Review any disclosed risk factors or management's discussion and analysis (MD&A) for insights into challenges and strategic responses.
3. Compare the Q1 2024 results to prior periods to identify performance changes and assess the company's trajectory.

Key Dates

• 2024-03-31: Quarter End — End of the reporting period for the 10-Q filing.
• 2024-05-07: Filing Date — Date the 10-Q was officially filed with the SEC.

Year-Over-Year Comparison

This filing represents the first quarterly report for FMC Corp. in fiscal year 2024, providing updated financial information compared to the previous fiscal year's filings.

Key Financial Figures

• $0.10 — ich registered Common Stock, par value $0.10 per share FMC New York Stock Exchange

Filing Documents

• fmc-20240331.htm (10-Q) — 1579KB
• fmcex15033124.htm (EX-15) — 3KB
• fmcex311033124.htm (EX-31.1) — 9KB
• fmcex312033124.htm (EX-31.2) — 10KB
• fmcex321033124.htm (EX-32.1) — 4KB
• fmcex322033124.htm (EX-32.2) — 4KB
• 0000037785-24-000066.txt (&nbsp;) — 9806KB
• fmc-20240331.xsd (EX-101.SCH) — 65KB
• fmc-20240331_cal.xml (EX-101.CAL) — 126KB
• fmc-20240331_def.xml (EX-101.DEF) — 227KB
• fmc-20240331_lab.xml (EX-101.LAB) — 792KB
• fmc-20240331_pre.xml (EX-101.PRE) — 530KB
• fmc-20240331_htm.xml (XML) — 1756KB

- FINANCIAL INFORMATION

Part I - FINANCIAL INFORMATION 3

Financial Statements

Item 1. Financial Statements 3 Consolidated Statements of Income (Loss) - Three months ended March 31, 2024 and 2023 (unaudited) 3 Consolidated Statements of Comprehensive Income (Loss) - Three months ended March 31, 2024 and 2023 (unaudited) 4 Consolidated Balance Sheets - March 31, 2024 (unaudited) and December 31, 2023 5 Consolidated Statements of Cash Flows - Three months ended March 31, 2024 and 2023 (unaudited) 6 Consolidated Statements of Changes in Equity - Three months ended March 31, 2024 and 2023 (unaudited) 8

Notes to Consolidated Financial Statements (unaudited)

Notes to Consolidated Financial Statements (unaudited) 9

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 31

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 47

Controls and Procedures

Item 4. Controls and Procedures 47

- OTHER INFORMATION

Part II - OTHER INFORMATION 49

Legal Proceedings

Item 1. Legal Proceedings 49

Risk Factors

Item 1A. Risk Factors 49

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 50

Other Information

Item 5. Other Information 50

Exhibits

Item 6. Exhibits 51

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS FMC CORPORATION CONSOLIDATED STATEMENTS OF INCOME (LOSS) Three Months Ended March 31, 2024 2023 (in Millions, Except Per Share Data) (unaudited) Revenue $ 918.0 $ 1,344.3 Costs and Expenses Costs of sales and services 578.3 763.0 Gross margin $ 339.7 $ 581.3 Selling, general and administrative expenses 163.9 185.9 Research and development expenses 60.9 78.4 Restructuring and other charges (income) 40.9 12.5 Total costs and expenses $ 844.0 $ 1,039.8 Income from continuing operations before non-operating pension and postretirement charges (income), interest expense, net and income taxes $ 74.0 $ 304.5 Non-operating pension and postretirement charges (income) 4.3 4.6 Interest expense, net 61.7 51.4 Income (loss) from continuing operations before income taxes $ 8.0 $ 248.5 Provision (benefit) for income taxes ( 1.4 ) 41.1 Income (loss) from continuing operations $ 9.4 $ 207.4 Discontinued operations, net of income taxes ( 12.5 ) ( 11.5 ) Net income (loss) $ ( 3.1 ) $ 195.9 Less: Net income (loss) attributable to noncontrolling interests ( 0.4 ) ( 0.1 ) Net income (loss) attributable to FMC stockholders $ ( 2.7 ) $ 196.0 Amounts attributable to FMC stockholders: Continuing operations, net of income taxes $ 9.8 $ 207.5 Discontinued operations, net of income taxes ( 12.5 ) ( 11.5 ) Net income (loss) attributable to FMC stockholders $ ( 2.7 ) $ 196.0 Basic earnings (loss) per common share attributable to FMC stockholders: Continuing operations $ 0.08 $ 1.65 Discontinued operations ( 0.10 ) ( 0.09 ) Net income (loss) attributable to FMC stockholders $ ( 0.02 ) $ 1.56 Diluted earnings (loss) per common share attributable to FMC stockholders: Continuing operations $ 0.08 $ 1.64 Discontinued operations ( 0.10 ) ( 0.09 ) Net income (loss) attributable to FMC stockholders $ ( 0.02 ) $ 1.55 The accompanying Notes are an integral part of these consolidated financial statements. 3 FMC CORPORATION CONSOLIDAT

Notes to Consolidated Financial Statements (unaudited)

Notes to Consolidated Financial Statements (unaudited) Note 1: Financial Information and Accounting Policies In our opinion, the consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles ("U.S. GAAP") applicable to interim period financial statements and reflect all adjustments necessary for a fair statement of results of operations for the three months ended March 31, 2024 and 2023, cash flows for the three months ended March 31, 2024 and 2023, changes in equity for the three months ended March 31, 2024 and 2023, and our financial positions as of March 31, 2024 and December 31, 2023. All such adjustments included herein are of a normal, recurring nature unless otherwise disclosed in the Notes. The results of operations for the three months ended March 31, 2024 and 2023 are not necessarily indicative of the results of operations for the full year. The consolidated balance sheets as of March 31, 2024 and December 31, 2023, and the related consolidated statements of income (loss) and consolidated statements of comprehensive income (loss) for the three months ended March 31, 2024 and 2023, consolidated statements of cash flows for the three months ended March 31, 2024 and 2023, and consolidated statements of changes in equity for the three months ended March 31, 2024 and 2023 have been reviewed by our independent registered public accountants. The review is described more fully in their report included herein. Our accounting policies are set forth in detail in Note 1 to the consolidated financial statements included with our Annual Report on Form 10-K filed with the Securities and Exchange Commission (the "SEC") for the year ended December 31, 2023 (the "2023 Form 10-K"). Note 2: Recently Issued and Adopted Accounting Pronouncements and Regulatory Items New accounting guidance and regulatory items On March 6, 2024, the SEC adopted the final rule under SEC Release No. 33-11275, The Enhancement and Standa

Notes to Consolidated Financial Statements (unaudited) — (Continued)

Notes to Consolidated Financial Statements (unaudited) — (Continued) Recently adopted accounting guidance On December 20, 2021, the Organization for Economic Co-operation and Development (the "OECD") released Pillar Two Model Rules defining the global minimum tax, which calls for the taxation of large corporations at a minimum rate of 15 percent. The OECD continues to release additional guidance on the two-pillar framework. Pillar Two legislation has been enacted in certain jurisdictions in which the Company operates, which became effective for the Company's financial year beginning January 1, 2024. We have performed an assessment of our potential exposure to Pillar Two income taxes for these jurisdictions, which was not material. We are continuing to evaluate this estimate as well as the potential impact on future periods of the Pillar Two Framework, pending legislative adoption by individual countries. In September 2022, the FASB issued ASU No. 2022-04, Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations . In accordance with the new disclosure requirements, which we have adopted beginning January 1, 2023, we have included information regarding our key program terms and the amount outstanding that remains unpaid at period end as further described below. We will adopt the roll forward disclosure requirement when it becomes effective beginning with the Form 10-K for the year ended December 31, 2024. We work with suppliers to optimize payment terms and conditions on accounts payable to improve working capital and cash flows. We offer to a select group of suppliers a voluntary Supply Chain Finance ("SCF") program with a global financial institution. The suppliers, at their sole discretion, may sell their receivables to the financial institution based on terms negotiated between them. Our obligations to our suppliers are not impacted by our suppliers' decisions to sell under these arrangements. Obligations out

Notes to Consolidated Financial Statements (unaudited) — (Continued)

Notes to Consolidated Financial Statements (unaudited) — (Continued) The following table provides information about disaggregated revenue by product category: Three Months Ended March 31, (in Millions) 2024 2023 Insecticides $ 501.3 $ 746.7 Herbicides 294.9 442.8 Fungicides 70.4 101.0 Plant Health 44.8 52.3 Other 6.6 1.5 Total Revenue $ 918.0 $ 1,344.3 We earn revenue from the sale of a wide range of products to a diversified base of customers around the world. We develop, market and sell all three major classes of crop protection chemicals (insecticides, herbicides and fungicides) as well as biologicals, crop nutrition, and seed treatment products, which we group as plant health. These products are used in agriculture to enhance crop yield and quality by controlling a broad spectrum of insects, weeds and disease, as well as in non-agricultural markets for pest control. The majority of our product lines consist of insecticides and herbicides, with a smaller portfolio of fungicides mainly used in high value crop segments. We are investing in plant health which includes our growing biological products. Our insecticides are used to control a wide spectrum of pests, while our herbicide portfolio primarily targets a large variety of difficult-to-control weeds. Products in the other category include various agricultural products such as smaller classes of pesticides, growth promoters, and other miscellaneous revenue sources. For additional detail on revenue recognition policies and procedures, see Note 3 to our consolidated financial statements included within our 2023 Form 10-K. Contract Asset and Contract Liability Balances We satisfy our obligations by transferring goods and services in exchange for consideration from customers. The timing of performance sometimes differs from the timing the associated consideration is received from the customer, thus resulting in the recognition of a contract asset or contract liability. We recognize a contract liabilit

Notes to Consolidated Financial Statements (unaudited) — (Continued)

Notes to Consolidated Financial Statements (unaudited) — (Continued) We periodically enter into prepayment arrangements with customers and receive advance payments for product to be delivered in future periods. We recognize these pre

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