FMC Corp (NYSE:FMC) lowered its adjusted earnings per share guidance for the third quarter, sending its shares nearly 12% lower in pre-open Monday.
The slashed third-quarter forecast is primarily attributed to lower volumes in Latin America. Moreover, an immediate restructuring process has been initiated in Brazil, and there is an ongoing review of the total company cost structure.
The company does not expect destocking conditions to improve in the near term. Furthermore, the revised third-quarter outlook is influenced by drought conditions in Argentina.
FMC now expects adjusted EPS of 44 cents, down from the previous projection of 90 cents to $1.32, and way below the consensus of $1.02.
Revenue is anticipated to reach $982 million, compared to the initial expectation of $1.19 billion to $1.27 billion. The Street was expecting $1.2 billion.
Adjusted Ebitda for the quarter is forecasted to be $175 million, down from the initial range of $240 million to $290 million, with an estimate of $256.9 million.
For the full year, the company expects revenue between $4.48 billion and $4.72 billion, compared to the initial projection of $5.20 billion to $5.40 billion, and the consensus of $5.22 billion.
The adjusted Ebitda for the year is now anticipated to fall within a range of $970 million to $1.03 billion, down from the initial expectation of $1.30 billion to $1.40 billion. Analysts were looking for $1.31 billion.