I am pleased to report that Mosaic is a larger, stronger, safer and more efficient company than at any previous point in our 15-year history. Market conditions turned upward in mid-2017, and prices for our products continued to rise modestly throughout 2018. The long-awaited cyclical improvement finally arrived. But the markets accounted for only part of Mosaic’s accelerating momentum. We have made major strategic progress, including important accomplishments in 2018, and our work to win in our core businesses and grow the company led to strong results.
Our business began to demonstrate the earnings leverage we have created. For the year, Mosaic generated net earnings of $470 million and adjusted EBITDA* of $2.0 billion, a 68 percent increase over a year ago. Net earnings per share were $1.22, compared with a loss in 2017, and adjusted earnings per share increased by 92 percent, to $2.12. Mosaic is delivering meaningful value, to all our stakeholders.
We advanced significantly in 2018:
“We have made major strategic progress, including important accomplishments in 2018, and our work to win in our core businesses and grow the company led to strong results.”Joc O’Rourke – President & CEO
While the company was generating strong financial and operational results, we also delivered value to our full range of stakeholders. Our external recognition—including our first year on FTSE4Good Index and our ninth consecutive year on the Corporate Responsibility Magazine’s 100 Best Corporate Citizens list—validates our commitment to responsible operation.
We constantly push forward in our approach to corporate responsibility, whether we’re adapting to new standards of sustainability reporting, improving our operating performance, seeking new ways to contribute to the vitality of our communities, or helping to educate our customers and farmers on responsible use of fertilizers. In fact, we plan to drive further evolution in 2019 by defining our commitments, impacts and targets under a broad definition of environmental, social and governance performance. You can expect to learn more about our accomplishments in this regard a year from now.
At Mosaic, we mine, manufacture, sell and distribute fertilizer. I realize that on first glance our daily work may seem uninspiring. But we are impelled by a noble and critical social mission: We help the world grow the food it needs. Fertilizer accounts for half of all crop yields around the world, and Mosaic is a key global supplier of potash and phosphate fertilizers. We understand that the world’s farmers need Mosaic to thrive so that they can meet their responsibility of feeding an ever-hungrier world.
We have a vision to meet that promising challenge; we are demonstrating the high standard of performance required to achieve our vision; and we are delivering strong results.
Thank you, to all our stakeholders, for your ongoing partnership and support. All of us at Mosaic look forward to many abundant years ahead.
James “Joc” C. O’Rourke
President and Chief Executive Officer
*Adjusted EBITDA and adjusted earnings per share are financial measures that are not prepared in accordance with generally accepted accounting principles, or GAAP. Please see our earnings release for the fourth quarter and full-year of 2018 for additional information and a reconciliation.