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Jun 30, 2025
Compass Minerals Q3 2025 Earnings Report
Compass Minerals reported improved third-quarter fiscal 2025 results, driven by strong performance in its Salt and Plant Nutrition segments, reduced net loss, and enhanced financial flexibility through refinancing activities and asset sales.
Key Takeaways
Compass Minerals delivered a strong third quarter in fiscal 2025, with significant year-over-year improvements across key performance measures. The company reduced its net loss, increased total adjusted EBITDA by 25%, and saw strong volume and earnings growth in both its Salt and Plant Nutrition businesses. Strategic financial actions, including debt reduction and asset sales, further strengthened the balance sheet.
Net loss significantly improved to $17.0 million in Q3 2025 from $43.6 million in the prior year, inclusive of a loss on extinguishment of debt.
Total company adjusted EBITDA increased by 25% year-over-year, reaching $41.0 million for the third quarter.
Salt business operating earnings and adjusted EBITDA grew by 9% and 10% respectively, supported by a 4% increase in sales volumes and declining costs.
Plant Nutrition sales volumes surged by 21% year-over-year, leading to a return to operating earnings of $5.2 million compared to a loss in the prior year, and a 58% increase in adjusted EBITDA to $11.4 million.
Revenue by Segment
Forward Guidance
Compass Minerals has updated its fiscal 2025 outlook, reflecting the completion of three quarters. The company anticipates strong performance in its Salt and Plant Nutrition segments, with expected increases in sales volumes and adjusted EBITDA. Capital expenditures remain unchanged, and the North American bid season for highway deicing is progressing positively with expected price and volume increases for the upcoming winter.
Positive Outlook
- Total Salt sales volumes are projected to be between 10.7 million and 11.0 million tons for fiscal 2025.
- Salt segment revenue is expected to range from $1.00 billion to $1.04 billion.
- Salt segment adjusted EBITDA is guided between $220 million and $229 million.
- Plant Nutrition sales volumes are anticipated to be 320,000 to 325,000 tons, with revenue between $200 million and $205 million.
- Plant Nutrition adjusted EBITDA is expected to be $24 million to $27 million, benefiting from positive production trends.
Challenges Ahead
- Corporate adjusted EBITDA is projected to be a loss between $59 million and $55 million, including $3 million to $5 million in cash expenses related to Fortress.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
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Avg. Return Before/After Earnings
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