Nutrien Delivers Record Results and Expects Continued Growth in 2022

Posted: Feb 16, 2022
by Bioenterprise

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All amounts are in US dollars except as otherwise noted

SASKATOON, Saskatchewan–(BUSINESS WIRE)–Nutrien Ltd. (TSX and NYSE: NTR) announced today its fourth quarter 2021 results, with net earnings of $1.2 billion ($2.11 diluted net earnings per share). Fourth-quarter adjusted net earnings1 were $2.47 per share and adjusted EBITDA1 was $2.5 billion.

The advantages of Nutrien’s integrated business were demonstrated in 2021 as we delivered record financial results3 and made significant progress on our long-term strategic targets, including our key sustainability priorities. We utilized the scale and reliability of our world-class supply chain and the strong execution of our teams to ensure customers had the products and services they needed, when they needed them,” commented Ken Seitz, Nutrien’s Interim President and CEO.

The outlook for global agriculture and crop input markets is very strong and we are well positioned to deliver significant growth in earnings and free cash flow in 2022. We will continue to advance our strategic priorities and maintain a disciplined approach to deploying capital, using our strong financial position to grow the business and return significant cash to shareholders,” added Mr. Seitz.

Highlights:

  • Nutrien generated net earnings of $1.2 billion and record adjusted EBITDA of $2.5 billion in the fourth quarter while generating $3.2 billion of net earnings ($5.52 diluted net earnings per share) and record adjusted EBITDA of $7.1 billion ($6.23 adjusted net earnings per share) for the full year of 2021. Cash flow provided by operating activities in the full year was $3.9 billion.
  • We prioritized the use of cash in 2021 to strengthen and reposition the balance sheet, reducing our long-term debt by $2.1 billion. We deployed $2.1 billion to dividends and share repurchases in 2021 repurchasing 15 million shares during the year under our normal course issuer bid (NCIB). To date, we have repurchased over 22 million shares under our NCIB program. Nutrien’s Board of Directors approved an increase in the quarterly dividend to $0.48 per share and approved the purchase of up to 10 percent of Nutrien’s outstanding common shares over a one-year period through a NCIB. The NCIB is subject to acceptance by the Toronto Stock Exchange.
  • Nutrien issued full-year 2022 adjusted EBITDA and adjusted net earnings per share guidance1 of $10.0 to $11.2 billion and $10.20 to $11.80 per share. Adjusted net earnings per share guidance includes our plans to allocate a minimum of $2 billion to share repurchases in 2022 on a balanced cadence throughout the year.
  • Nutrien Ag Solutions (“Retail”) delivered record adjusted EBITDA in the fourth quarter and surpassed $1.9 billion for the full year of 2021. We exceeded nearly all of our 2023 strategic targets including a record 10.9 percent Retail adjusted EBITDA margin2 and increased our proprietary product related gross margin to more than $1 billion in 2021, an increase of 22 percent.
  • The reliability and efficiency of our global supply chain and strategic procurement helped drive our Retail normalized comparable store sales1 to 7 percent and Retail adjusted EBITDA per US selling location2 to $1.5 million during 2021. We closed 14 acquisitions during the year and increased our Retail digital platform sales2 to $2.1 billion.
  • Potash adjusted EBITDA surpassed $1 billion in the fourth quarter and increased 130 percent in the full year of 2021 to $2.7 billion. We achieved record sales volumes of 13.6 million tonnes in 2021 due to our capability to quickly ramp up production from our flexible, low-cost network of six mines. We progressed our Potash Next Generation initiatives and produced 1 million tonnes in 2021 using tele-remote and autonomous mining techniques.
  • Nitrogen adjusted EBITDA was $921 million in the fourth quarter of 2021 and increased 114 percent to $2.3 billion in the full year of 2021. We completed our phase 1 brownfield expansion projects on time and on budget, launched a second phase of projects and progressed decarbonization initiatives.
  • Phosphate adjusted EBITDA was $196 million in the fourth quarter of 2021 and increased 133 percent to $540 million in the full year of 2021.

1 This financial measure including related guidance, if applicable, is a non-IFRS financial measure. See the “Non-IFRS Financial Measures” section for further information.

2 This is a supplementary financial measure. See the “Other Financial Measures” section for further information.

3 Net earnings from continuing operations.

Market Outlook

Agriculture and Retail

  • Global inventory for key grains and oilseeds remains historically low due to a combination of weather-related events and strong demand fueled by a greater focus on global food security and recovering feed and bio-energy related markets.
  • Corn and soybean prices in the US and Brazil remain very strong and prospective crop margins are well above the 10-year average. We expect this will incentivize growers to invest in their crops.
  • US growers experienced favorable fall weather conditions that combined with strong crop economics, supported a second consecutive year of strong fall fertilizer application. We expect overall planted area of major crops to be similar to 2021 levels, with corn and soybean acreage in the range of 91 to 93 million and 87 to 89 million, respectively.
  • Growers in Brazil planted an additional 4 million acres of soybeans which was a second consecutive year of record planting. However, yields have been impacted by drought conditions in major growing regions. We expect strong crop economics will support total Brazilian planted acreage and crop input demand in 2022. Australian growers continue to experience favorable weather conditions and harvested record wheat production.
  • Nutrien is well-positioned on fertilizer and crop protection product inventory to begin the North American planting season. Our Retail adjusted EBITDA guidance assumes there was some pull forward of fertilizer sales volumes due to the strong fall season in North America and that Retail fertilizer margins return to historical average levels after increasing in 2021 due to strategic procurement in a rising price environment.

Crop Nutrient Markets

  • Global potash prices increased in response to record global demand of 70 million in 2021 and tightness of supply due to competitor mine flooding, new project delays and uncertainty around sanctions imposed on Belarus by the US and Europe. We believe that many of these supply issues will continue into 2022, including additional restrictions imposed on Belarus potash transported through Lithuania. We estimate 2022 global shipments in a range of 68 to 71 million tonnes.
  • Nutrien expects record potash sales volumes between 13.7 to 14.3 million tonnes in 2022. This forecast assumes sanctions on Belarus have a temporary impact on global supply. If there was a more significant long-term impact on global supply, Nutrien has the capability to further ramp up production by hiring additional employees and incurring some small incremental capital expenditures.
  • Nitrogen prices have been supported by strong demand, soaring energy prices in Europe, and government restrictions and geopolitical risks in key export markets. Global urea prices softened in early 2022 during a seasonally slow period, however, ammonia and nitrates prices continue to strengthen due to supply side constraints. North American natural gas prices increased in early 2022 but we expect Henry Hub prices to average between $3.75 and $4.25 per MMBtu in 2022, well below import pricing levels in Europe and Asia.
  • We expect to increase Nitrogen sales volumes to 10.8 to 11.3 million tonnes in 2022 with the completion of Phase 1 brownfield expansion projects in 2021 and higher anticipated operating rates.
  • Phosphate prices have been supported by the expected reduction in supply from China due to export restrictions and elevated raw material input cost. This is compounded by tight inventories in key import markets such as India.

Financial Outlook and Guidance

Based on market factors detailed above, we are issuing full-year 2022 adjusted EBITDA guidance of $10.0 to $11.2 billion and full-year 2022 adjusted net earnings guidance of $10.20 to $11.80 per share. Adjusted net earnings per share guidance includes our plans to allocate a minimum of $2 billion to share repurchases in 2022 on a balanced cadence throughout the year.

All guidance numbers, including those noted above and related sensitives are outlined in the tales below.

2022 Guidance Ranges 1

 

Low

 

 

 

High

 

Adjusted net earnings per share 2

$

10.20

 

 

$

11.80

 

Adjusted EBITDA (billions) 2

$

10.0

 

 

$

11.2

 

Retail Adjusted EBITDA (billions)

$

1.7

 

 

$

1.8

 

Potash Adjusted EBITDA (billions)

$

5.0

 

 

$

5.5

 

Nitrogen Adjusted EBITDA (billions)

$

3.2

 

 

$

3.6

 

Phosphate Adjusted EBITDA (millions)

$

500

 

 

$

600

 

Potash sales tonnes (millions) 3

 

13.7

 

 

 

14.3

 

Nitrogen sales tonnes (millions) 3

 

10.8

 

 

 

11.3

 

Depreciation and amortization (billions)

$

2.0

 

 

$

2.1

 

Effective tax rate on adjusted earnings

 

25

%

 

 

26

%

Sustaining capital expenditures (billions) 4

$

1.2

 

 

$

1.3

 

 

Impact to

 

 

Adjusted

 

 

Adjusted

 

2022 Annual Assumptions & Sensitivities 1

 

EBITDA

 

 

EPS 5

 

$1/MMBtu change in NYMEX 6

$

180

 

$

0.25

 

$25/tonne change in realized potash selling prices

$

290

 

$

0.40

 

$25/tonne change in realized ammonia selling prices

$

50

 

$

0.07

 

$25/tonne change in realized urea selling prices

$

80

 

$

0.11

 

2022 FX Rate CAD to USD

 

1.26

 

2022 NYMEX natural gas ($US/MMBtu)

 

~$ 4.00

 

1 See the “Forward-Looking Statements” section.

2 This is a non-IFRS financial measure. See the “Non-IFRS Financial Measures” section.

3 Manufactured products only. Nitrogen excludes ESN® products.

4 This is a supplementary financial measure. See the Refer to “Other Financial Measures” section for further information.

5 Assumes 546 million shares outstanding.

6 Nitrogen related impact.

Consolidated Results

 

Three Months Ended December 31

 

Twelve Months Ended December 31

(millions of US dollars)

2021

 

2020

 

% Change

 

2021

 

2020

 

% Change

Sales

7,267

 

4,052

 

79

 

27,712

 

20,908

 

33

Freight, transportation and distribution

198

 

202

 

(2)

 

851

 

855

 

Cost of goods sold

3,863

 

2,685

 

44

 

17,452

 

14,814

 

18

Gross margin

3,206

 

1,165

 

175

 

9,409

 

5,239

 

80

Expenses

1,379

 

762

 

81

 

4,628

 

4,337

 

7

Net earnings

1,207

 

316

 

282

 

3,179

 

459

 

593

Adjusted EBITDA 1

2,463

 

768

 

221

 

7,126

 

3,667

 

94

Diluted net earnings per share

2.11

 

0.55

 

284

 

5.52

 

0.81

 

581

Adjusted net earnings per share 1

2.47

 

0.24

 

929

 

6.23

 

1.80

 

246

Cash provided by operating activities

3,637

 

2,778

 

31

 

3,886

 

3,323

 

17

Free cash flow 1

1,549

 

196

 

690

 

4,300

 

1,830

 

135

Free cash flow including changes in non-cash operating working capital 1

3,183

 

2,370

 

34

 

2,639

 

2,404

 

10

1 These are non-IFRS financial measures. See the “Non-IFRS Financial Measures” section.

Net earnings and adjusted EBITDA increased significantly in the fourth quarter and full year of 2021 compared to the same periods in 2020. This was due to higher net realized selling prices across our nutrient businesses, higher potash sales volumes, strong organic and proprietary product sales growth in Retail. In 2020, we recorded a non-cash impairment of $824 million primarily related to our Phosphate business and a gain of $250 million realized in the fourth quarter of 2020 related to the Misr Fertilizers Production Company S.A.E. (“MOPCO”) divestment with no similar transactions in 2021. Cash flow provided by operating activities increased in the fourth quarter and full year of 2021 compared to the same periods in 2020 due primarily to higher net earnings. The COVID-19 pandemic had a limited impact on our results during the fourth quarter and full year of 2021.

Segment Results

Our discussion of segment results set out on the following pages is a comparison of the results for the three and twelve months ended December 31, 2021 to the results for the three and twelve months ended December 31, 2020, unless otherwise noted.

Nutrien Ag Solutions (“Retail”)

 

Three Months Ended December 31

(millions of US dollars, except

Dollars

 

Gross Margin

 

Gross Margin (%)

as otherwise noted)

2021

 

2020

 

% Change

 

2021

 

2020

 

% Change

 

2021

 

2020

Sales

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Crop nutrients

2,035

 

1,108

 

84

 

428

 

236

 

81

 

21

 

21

Crop protection products

1,113

 

828

 

34

 

414

 

343

 

21

 

37

 

41

Seed

189

 

152

 

24

 

57

 

58

 

(2)

 

30

 

38

Merchandise

270

 

240

 

13

 

45

 

41

 

10

 

17

 

17

Nutrien Financial

51

 

37

 

38

 

51

 

37

 

38

 

100

 

100

Services and other

267

 

290

 

(8)

 

225

 

207

 

9

 

84

 

71

Nutrien Financial elimination 1

(47)

 

(37)

 

27

 

(47)

 

(37)

 

27

 

100

 

100

 

3,878

 

2,618

 

48

 

1,173

 

885

 

33

 

30

 

34

Cost of goods sold

2,705

 

1,733

 

56

 

 

 

 

 

 

 

 

 

 

Gross margin

1,173

 

885

 

33

 

 

 

 

 

 

 

 

 

 

Expenses 2

911

 

768

 

19

 

 

 

 

 

 

 

 

 

 

Earnings before finance costs and taxes (“EBIT”)

262

 

117

 

124

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

178

 

180

 

(1)

 

 

 

 

 

 

 

 

 

 

EBITDA

440

 

297

 

48

 

 

 

 

 

 

 

 

 

 

Adjustments 3

2

 

 

n/m

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

442

 

297

 

49

 

 

 

 

 

 

 

 

 

 

1 Represents elimination for the interest and service fees charged by Nutrien Financial to Retail branches.

2 Includes selling expenses of $848 million (2020 – $727 million).

3 See Note 2 to the unaudited condensed consolidated financial statements.

 

Twelve Months Ended December 31

(millions of US dollars, except

Dollars

 

Gross Margin

 

Gross Margin (%)

as otherwise noted)

2021

 

2020

 

% Change

 

2021

 

2020

 

% Change

 

2021

 

2020

Sales

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Crop nutrients

7,290

 

5,200

 

40

 

1,597

 

1,130

 

41

 

22

 

22

Crop protection products

6,333

 

5,602

 

13

 

1,551

 

1,303

 

19

 

24

 

23

Seed

2,008

 

1,790

 

12

 

419

 

363

 

15

 

21

 

20

Merchandise

1,033

 

943

 

10

 

172

 

157

 

10

 

17

 

17

Nutrien Financial

189

 

129

 

47

 

189

 

129

 

47

 

100

 

100

Services and other

1,051

 

1,241

 

(15)

 

842

 

774

 

9

 

80

 

62

Nutrien Financial elimination

(170)

 

(120)

 

42

 

(170)

 

(120)

 

42

 

100

 

100

 

17,734

 

14,785

 

20

 

4,600

 

3,736

 

23

 

26

 

25

Cost of goods sold

13,134

 

11,049

 

19

 

 

 

 

 

 

 

 

 

 

Gross margin

4,600

 

3,736

 

23

 

 

 

 

 

 

 

 

 

 

Expenses 1

3,378

 

2,974

 

14

 

 

 

 

 

 

 

 

 

 

EBIT

1,222

 

762

 

60

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

706

 

668

 

6

 

 

 

 

 

 

 

 

 

 

EBITDA

1,928

 

1,430

 

35

 

 

 

 

 

 

 

 

 

 

Adjustments 2

11

 

 

n/m

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

1,939

 

1,430

 

36

 

 

 

 

 

 

 

 

 

 

1 Includes selling expenses of $3,124 million (2020 – $2,795 million).

2 See Note 2 to the unaudited condensed consolidated financial statements.

  • Adjusted EBITDA increased in the fourth quarter and full year of 2021 due to increased sales and gross margin achieved through market share growth, strong agriculture fundamentals and expansion in South America. Gross margin increases were supported by strategic procurement of crop nutrients and crop protection products in a rising price environment and a 22 percent increase in proprietary product related gross margin. Retail cash operating coverage ratio1 declined to 58 percent in 2021 due to significantly higher gross margin.
  • Crop nutrients sales increased in the fourth quarter and full year of 2021 due to record sales volumes and higher selling prices. Gross margin per tonne increased by $31 per tonne in 2021 due to strategic purchasing in a rising price environment and higher proprietary product sales.
  • Crop protection products sales increased in the fourth quarter and full year of 2021 due to market share growth, higher prices and increased proprietary product sales across all geographies, especially in Australia where uptake by customers was exceptional. The reliability of our supply chain, growth in proprietary product contribution and strategic procurement supports our ability to deliver on strong grower demand throughout the year.
  • Seed sales increased in the fourth quarter primarily due to significant organic growth achieved in South America and Australia following recent expansion initiatives and acquisitions. Gross margin percentage decreased in the fourth quarter due to the timing and mix of seed sales in the US. Seed sales for the full year of 2021 increased in all key regions where we operate due to higher planted acreage, higher prices and significant organic growth in South America. Gross margin percentage for 2021 increased due to price increases, including from our proprietary product.
  • Merchandise sales increased in the fourth quarter and full year of 2021 primarily driven by strong grower and rancher purchasing in Australia.
  • Nutrien Financial sales increased in the fourth quarter and full year of 2021 due to higher utilization and adoption of our programs. At the end of the fourth quarter of 2021 net receivables in the programs were $2.2 billion, an increase of $0.8 billion compared to the same period in 2020, while credit loss was minimal in 2021 and 2020 due to strong credit evaluation and collection as well as favorable market conditions this past year.
  • Services and other sales decreased in the fourth quarter and full year of 2021 compared to the same periods in 2020 due to the divestiture of an Australian livestock export business in the fourth quarter of 2020, which more than offset increases in other Australian services and higher US custom application sales. Despite the change in revenue mix, gross margin increased and the impact to gross margin percentage was favorable for both the fourth quarter and full year of 2021.

1 This financial measure is a non-IFRS financial measure. See the “Non-IFRS Financial Measures” section for further information

Potash

 

Three Months Ended December 31

(millions of US dollars, except

Dollars

 

Tonnes (thousands)

 

Average per Tonne

as otherwise noted)

2021

 

2020

% Change

 

2021

 

2020

% Change

 

2021

 

2020

% Change

Manufactured product

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net sales

 

 

 

 

 

 

 

 

 

 

 

 

 

 

North America

497

 

199

150

 

1,002

 

1,041

(4)

 

494

 

192

157

Offshore

923

 

251

268

 

2,054

 

1,613

27

 

450

 

156

188

 

1,420

 

450

216

 

3,056

 

2,654

15

 

465

 

170

174

Cost of goods sold

305

 

305

 

 

 

 

 

 

100

 

116

(14)

Gross margin – total

1,115

 

145

669

 

 

 

 

 

 

365

 

54

576

Expenses 1

179

 

49

265

 

Depreciation and amortization

 

38

 

46

(17)

EBIT

936

 

96

875

 

Gross margin excluding depreciation

 

 

 

 

Depreciation and amortization

117

 

123

(5)

 

and amortization – manufactured 3

403

 

100

302

EBITDA

1,053

 

219

381

 

Potash cash cost of product

 

 

 

 

 

Adjustments 2

 

1

(100)

 

manufactured 3

 

70

 

71

(1)

Adjusted EBITDA

1,053

 

220

379

 

 

 

 

 

 

 

 

 

 

1 Includes provincial mining taxes of $173 million (2020 – $40 million).

2 See Note 2 to the unaudited condensed consolidated financial statements.

3 These are non-IFRS financial measures. See the “Non-IFRS Financial Measures” section.

 

Twelve Months Ended December 31

(millions of US dollars, except

Dollars

 

Tonnes (thousands)

 

Average per Tonne

as otherwise noted)

2021

 

2020

% Change

 

2021

 

2020

% Change

 

2021

 

2020

% Change

Manufactured product

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net sales

 

 

 

 

 

 

 

 

 

 

 

 

 

 

North America

1,638

 

908

80

 

5,159

 

4,815

7

 

317

 

189

68

Offshore

2,398

 

1,238

94

 

8,466

 

8,009

6

 

283

 

155

83

 

4,036

 

2,146

88

 

13,625

 

12,824

6

 

296

 

167

77

Cost of goods sold

1,285

 

1,183

9

 

 

 

 

 

 

94

 

92

2

Gross margin – total

2,751

 

963

186

 

 

 

 

 

 

202

 

75

169

Expenses 1

512

 

248

106

 

Depreciation and amortization

 

36

 

35

2

EBIT

2,239

 

715

213

 

Gross margin excluding depreciation

 

 

 

 

Depreciation and amortization

488

 

452

8

 

and amortization – manufactured

238

 

110

116

EBITDA

2,727

 

1,167

134

 

Potash cash cost of product

 

 

 

 

 

Adjustments 2

9

 

23

(61)

 

manufactured

 

63

 

59

7

Adjusted EBITDA

2,736

 

1,190

130

 

 

 

 

 

 

 

 

 

 

1 Includes provincial mining taxes of $466 million (2020 – $201 million).

2 See Note 2 to the unaudited condensed consolidated financial statements.

  • Adjusted EBITDA increased in the fourth quarter and full year of 2021 due to higher net realized selling prices and record sales volumes attributed to our ability to increase production by nearly 1 million tonnes.
  • Sales volumes were a record for the fourth quarter as we surged production to meet strong global demand and very tight global supply. We achieved this despite weather-related issues that temporarily impacted rail deliveries. North America and Offshore sales volumes in the full year of 2021 were the highest on record underpinned by the reliable supply from our flexible, low-cost network of six mines and integrated transportation and logistics system.
  • Net realized selling price increased in the fourth quarter and full year of 2021 due to strong global demand supported by higher crop prices, impacts to global supply caused by competitor outages and project delays as well as uncertainty regarding future sanctions on Belarus.
  • Cost of goods sold per tonne decreased in the fourth quarter due to lower depreciation and amortization compared to the same period of 2020 that was caused by production mix and timing of maintenance projects. Cost of goods sold per tonne increased for the full year of 2021 primarily due to higher royalties resulting from increased selling prices, a stronger Canadian dollar and cost inflation for energy and other inputs.

Canpotex Sales by Market

(percentage of sales volumes, except as

Three Months Ended December 31

 

Twelve Months Ended December 31

otherwise noted)

2021

2020

Change

 

2021

2020

Change

Latin America

37

31

6

 

38

32

6

Other Asian markets 1

34

24

10

 

35

25

10

China

12

21

(9)

 

11

22

(11)

Other markets

11

7

4

 

10

7

3

India

6

17

(11)

 

6

14

(8)

 

100

100

 

 

100

100

 

1 All Asian markets except China and India.

 

 

 

 

 

 

 

Nitrogen

 

Three Months Ended December 31

(millions of US dollars, except

Dollars

 

Tonnes (thousands)

 

Average per Tonne

as otherwise noted)

2021

 

2020

% Change

 

2021

 

2020

% Change

 

2021

 

2020

% Change

Manufactured product

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net sales

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ammonia

519

 

157

 

231

 

790

 

730

 

8

 

656

 

216

 

204

Urea

552

 

230

 

140

 

824

 

853

 

(3)

 

670

 

270

 

148

Solutions, nitrates and sulfates

385

 

168

 

129

 

1,221

 

1,262

 

(3)

 

316

 

133

 

138

 

1,456

 

555

 

162

 

2,835

 

2,845

 

 

514

 

195

 

164

Cost of goods sold

725

 

460

 

58

 

 

 

 

 

 

 

256

 

162

 

58

Gross margin – manufactured

731

 

95

 

669

 

 

 

 

 

 

 

258

 

33

 

682

Gross margin – other 1

23

 

17

 

35

 

Depreciation and amortization

 

52

 

51

 

2

Gross margin – total

754

 

112

 

573

 

Gross margin excluding depreciation

 

 

 

 

 

Income

(2)

 

(254)

 

(99)

 

and amortization – manufactured 3

310

 

84

 

268

EBIT

756

 

366

 

107

 

Ammonia controllable cash cost of

 

 

 

 

 

 

Depreciation and amortization

148

 

146

 

1

 

product manufactured 3

 

45

 

40

 

13

EBITDA

904

 

512

 

77

 

 

 

 

 

 

 

 

 

 

 

 

Adjustments 2

17

 

(246)

 

n/m

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

921

 

266

 

246

 

 

 

 

 

 

 

 

 

 

 

 

1 Includes other nitrogen (including ESN® and Rainbow) and purchased products and comprises net sales of $193 million (2020 – $114 million) less cost of goods sold of $170 million (2020 – $97 million).

2 See Note 2 to unaudited condensed consolidated financial statements.

3 These are non-IFRS financial measures. See the “Non-IFRS Financial Measures” section.

 

Twelve Months Ended December 31

(millions of US dollars, except

Dollars

 

Tonnes (thousands)

 

Average per Tonne

as otherwise noted)

2021

 

2020

% Change

 

2021

 

2020

% Change

 

2021

 

2020

% Change

Manufactured product

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net sales

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ammonia

1,393

 

621

 

124

 

2,919

 

2,778

 

5

 

477

 

224

 

113

Urea

1,463

 

933

 

57

 

3,059

 

3,475

 

(12)

 

478

 

268

 

78

Solutions, nitrates and sulfates

1,128

 

668

 

69

 

4,747

 

4,713

 

1

 

238

 

142

 

68

 

3,984

 

2,222

 

79

 

10,725

 

10,966

 

(2)

 

371

 

203

 

83

Cost of goods sold

2,353

 

1,804

 

30

 

 

 

 

 

 

 

219

 

165

 

33

Gross margin – manufactured

1,631

 

418

 

290

 

 

 

 

 

 

 

152

 

38

 

300

Gross margin – other 1

95

 

57

 

67

 

Depreciation and amortization

 

52

 

55

 

(5)

Gross margin – total

1,726

 

475

 

263

 

Gross margin excluding depreciation

 

 

 

 

 

Income

(3)

 

(225)

 

(99)

 

and amortization – manufactured

204

 

93

 

120

EBIT

1,729

 

700

 

147

 

Ammonia controllable cash cost of

 

 

 

 

 

 

Depreciation and amortization

557

 

599

 

(7)

 

product manufactured

 

50

 

43

 

16

EBITDA

2,286

 

1,299

 

76

 

 

 

 

 

 

 

 

 

 

 

 

Adjustments 2

22

 

(219)

 

n/m

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

2,308

 

1,080

 

114

 

 

 

 

 

 

 

 

 

 

 

 

1 Includes other nitrogen (including ESN® and Rainbow) and purchased products and comprises net sales of $705 million (2020 – $518 million) less cost of goods sold of $610 million (2020 – $461 million).

2 See Note 2 to unaudited condensed consolidated financial statements.

Contacts

Investor Relations:
Jeff Holzman

Vice President, Investor Relations

(306) 933-8545

Investors@nutrien.com

Media Relations:
Megan Fielding

Vice President, Brand & Culture Communications

(403) 797-3015

Contact us at: www.nutrien.com

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