FMC Q2 Revenue Falls 17% to US$867 Million as Company Lowers FY2026 Outlook
30 July 2026, Philadelphia: FMC Corporation reported second-quarter 2026 revenue of US$867 million, representing a 17% year-on-year decline, as lower demand for legacy crop protection products, reduced diamide partner orders, and continued pressure on grower profitability weighed on sales. While operational cash generation improved significantly during the quarter, the company lowered its full-year guidance, citing a more challenging macroeconomic environment and softer customer purchasing patterns.
The company posted Adjusted EBITDA of US$153 million, down 26% from the corresponding period last year, while reporting a GAAP net loss of US$187 million, compared with a substantially smaller loss in the second quarter of 2025. Adjusted earnings per diluted share declined 62% to US$0.26.
Revenue Declines Across Major Markets
Excluding its India commercial business, which is being divested, FMC generated US$841 million in second-quarter revenue, a decline of 20% compared with the same period last year. According to the company, the India business accounted for a five-percentage-point headwind, while underlying like-for-like revenue declined 15%.
FMC Revenue Performance
| Metric | Q2 2026 |
|---|---|
| Total Revenue Change (GAAP) | -17% |
| Revenue Change (Excluding India) | -20% |
| Impact of India Divestiture | -5% |
| Like-for-Like Revenue Change | -15% |
The decline reflected:
- Lower diamide partner orders.
- Reduced demand for legacy crop protection products, particularly in North America.
- Pricing pressure across several established product lines.
- Planned pricing adjustments for the company’s flagship insecticide active ingredient, Rynaxypyr®.
Volumes declined approximately 10%, while average selling prices decreased 7%. Foreign exchange movements provided a modest 2% positive contribution. Meanwhile, FMC’s growth portfolio expanded at a mid-single-digit rate, supported by new active ingredients and continued demand for Cyazypyr®-based products.
Regional Revenue Performance
Revenue declined across all major operating regions compared with the second quarter of 2025.
Regional Revenue
| Region | Q2 2026 (US$ Million) | Q2 2025 (US$ Million) |
|---|---|---|
| North America | 249 | 321 |
| Latin America | 278 | 310 |
| Europe, Middle East & Africa (EMEA) | 214 | 260 |
| Asia (excluding India) | 101 | 159 |
| India | 26 | — |
| Total Revenue | 867 | 1,051 |
North America recorded the largest year-on-year decline in absolute revenue, reflecting weaker grower spending and reduced demand for legacy chemistry. Asia also experienced a significant decline following the exclusion of the India business and softer regional demand.
Earnings Impacted by Lower Sales
Lower sales volumes and pricing pressure weighed on profitability during the quarter.
Financial highlights included:
- Revenue: US$867 million
- Adjusted EBITDA: US$153 million
- GAAP Net Loss: US$187 million
- Adjusted EPS: US$0.26
- GAAP Cash from Operations: US$363 million
- Free Cash Flow: US$357 million
Although earnings declined, cash generation improved substantially, supported by stronger operating cash flow and a US$200 million upfront payment received under the licensing agreement for the herbicide active ingredient rimisoxafen.
Company Advances Debt Reduction Strategy
During the quarter, FMC announced several transactions designed to strengthen its balance sheet and reduce debt.
The initiatives include:
- Sale of the India commercial business for US$252 million.
- Licensing agreement with Corteva for rimisoxafen, generating an upfront payment of US$200 million.
- Sale-and-leaseback transaction for the Newark, Delaware property valued at US$114 million.
- Planned US$400 million equity investment by Tessenderlo Group.
Collectively, these transactions are expected to generate approximately US$1 billion for debt reduction, subject to customary closing conditions and regulatory approvals. Following these actions, FMC concluded the strategic review process announced earlier in 2026 and indicated that its focus would now shift to executing operational priorities and strengthening its technology portfolio.
FMC Cuts FY2026 Revenue Outlook as Pricing Pressure Persists
FMC has revised its full-year 2026 financial outlook downward, citing a more challenging operating environment than previously anticipated. The company expects continued pressure on pricing, changing customer purchasing patterns and subdued demand for certain crop protection products during the remainder of the year. While volume is expected to stabilize across much of the portfolio, pricing remains the primary headwind.
The revised guidance forecasts revenue (excluding India) of US$3.50 billion to US$3.70 billion, representing a 7% decline at the midpoint compared with 2025. Excluding the India commercial business, the midpoint reflects a 5% year-on-year decline.
Adjusted EBITDA guidance has been lowered to US$620–680 million, while Adjusted EPS is now expected to be US$1.19–1.49. The company, however, increased its free cash flow guidance to US$75–225 million, reflecting the inclusion of the US$200 million upfront licensing payment received under the rimisoxafen agreement.
Updated FY2026 Outlook
| Metric | FY2026 Guidance |
|---|---|
| Revenue (Excluding India) | US$3.50–3.70 billion |
| Midpoint Growth vs. FY2025 | -7% |
| Adjusted EBITDA | US$620–680 million |
| Midpoint Growth vs. FY2025 | -23% |
| Adjusted EPS | US$1.19–1.49 |
| Midpoint Growth vs. FY2025 | -55% |
| Free Cash Flow | US$75–225 million |
Pricing Expected to Remain Under Pressure
According to FMC, pricing is projected to decline by mid-to-high single digits during the second half of the year. The company attributed this outlook to continued macroeconomic challenges affecting agricultural markets and planned pricing actions related to Rynaxypyr®.
Volume, excluding India, is expected to remain broadly in line with last year as reduced diamide partner orders are offset by growth across other product categories and newer active ingredients. Foreign exchange is expected to provide a modest benefit during the remainder of 2026.
Third Quarter Expected to Remain Weak
For the third quarter, FMC expects revenue excluding India to range between US$840 million and US$900 million, representing a 9% decline at the midpoint compared with the corresponding period of 2025.
The company expects distributor purchasing in North America to shift from the third quarter into the fourth quarter as channel partners align inventories more closely with application timing.
Adjusted EBITDA for the quarter is projected at US$120–140 million, while Adjusted EPS is expected to be US$0.05–0.13, reflecting continued pricing pressure and higher financing costs.
Return to Growth Anticipated in Fourth Quarter
FMC expects business conditions to improve during the fourth quarter.
Revenue excluding India is projected to reach US$1.06–1.20 billion, representing approximately 4% growth at the midpoint over the same period last year.
The expected improvement is driven by:
- Higher direct sales to growers in Brazil.
- Increased contribution from recently introduced active ingredients.
- North American distributor orders shifting from the third quarter into the fourth quarter.
Fourth-quarter Adjusted EBITDA is forecast between US$275 million and US$315 million, while Adjusted EPS is expected to range from US$1.09 to US$1.33.
Financial Guidance
| FY2026 Outlook | H2 2026 Outlook | Q3 2026 Outlook | Q4 2026 Outlook | |
|---|---|---|---|---|
| Revenue (Excluding India) | US$3.50–3.70 bn | US$1.90–2.10 bn | US$840–900 mn | US$1.06–1.20 bn |
| Growth vs. 2025 (Midpoint) | -7% | -2% | -9% | +4% |
| Adjusted EBITDA | US$620–680 mn | US$395–455 mn | US$120–140 mn | US$275–315 mn |
| Growth vs. 2025 (Midpoint) | -23% | -18% | -45% | +5% |
| Adjusted EPS | US$1.19–1.49 | US$1.16–1.46 | US$0.05–0.13 | US$1.09–1.33 |
| Growth vs. 2025 (Midpoint) | -55% | -37% | -90% | +1% |
Outlook
Despite reporting another quarter of declining sales and earnings, FMC strengthened its liquidity position through asset monetisation and strategic transactions aimed at reducing debt. Management expects these measures, together with continued investment in its technology portfolio and new active ingredients, to improve competitiveness over the longer term.
However, the company’s revised outlook underscores the continued challenges facing the global crop protection industry, including cautious customer purchasing, pricing pressure across mature product portfolios and weaker farm economics in key agricultural markets. FMC’s performance during the second half of 2026 will largely depend on the pace of market recovery, adoption of newer technologies and seasonal demand across major crop-producing regions.
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