CF Industries Q3 profit rises as higher pricing lifts earnings

CF Industries (CF) said in a regulatory filing that net earnings for the third quarter of 2026 rose to $436 million, from $353 million a year earlier. Net sales were $1.86 billion, above the $1.84 billion consensus estimate.

The company makes nitrogen products, including ammonia and urea. Its results were published in a presentation attached to the filing, ahead of a conference call on Nov. 5.

Here's how the company did:

• Net sales: $1.86 billion vs. $1.66 billion a year earlier
• Net earnings: $436 million vs. $353 million a year earlier
• Diluted EPS: $2.87 vs. $2.19 a year earlier
• Adjusted EBITDA: $833 million vs. $667 million a year earlier

Gross margin rose to $720 million from $632 million. Gross margin as a share of net sales reached 38.7%, from 38.1%.

The company said adjusted EBITDA rose on strong volume, higher pricing and a lower realized gas cost. Its cost of natural gas used for production was $2.88 per MMBtu, against $2.96 a year earlier.

Nine-month results

For the first nine months of 2026, net sales were $6.07 billion, up from $5.21 billion. Net earnings were $1.78 billion, against $1.05 billion a year earlier.

Nine-month adjusted EBITDA was $3.01 billion, up from $2.07 billion. That figure includes a $170 million gain from a litigation settlement.

Revenue has risen in each of the last three quarters, from $1.66 billion in the third quarter of 2025 to $2.22 billion in the second quarter of 2026, according to its SEC filings.

2026 outlook

The company kept its 2026 outlook. It expects CF-funded capital expenditures of about $950 million, of which about $400 million relates to Blue Point, and gross ammonia production of about 9.5 million tons. Those figures match the outlook it gave on Aug. 5.

Yazoo City is expected to resume operations in the first half of 2027. Mid-cycle EBITDA is put at $2.9 billion.

Blue Point construction has commenced, and the total project cost remains about $3.7 billion. Ammonia production there is expected to start in 2029. The company expects strategic initiatives to lift 2030 mid-cycle EBITDA to about $3.3 billion.

Cash and capital returns

Over the last twelve months, the company returned $1.3 billion to shareholders through share repurchases and dividends. About $1.1 billion remains under its current $2 billion share repurchase authorization, which runs through 2029.

Free cash flow for the last twelve months was $2.0 billion. Its conversion of adjusted EBITDA into free cash flow was 53%, or 61% excluding a $306 million deposit to Canada related to a transfer pricing matter.