NYSE$CMP
Compass Minerals International Inc. · Q4 2023 earnings
Q4 2023 earnings · · Investor relations
Briefing
Reported fiscal fourth-quarter and full-year 2023 results, with a focus on Salt profitability restoration and Fortress achievements, while addressing challenges in the lithium project.
Compass Minerals reported a 6% year-over-year decline in consolidated revenue for Q4 2023, totaling $233.6 million. Operating earnings decreased to $3.9 million, and adjusted EBITDA fell by 9% to $33.0 million. The Salt business showed improved profitability, offsetting weaker Plant Nutrition sales. For the full fiscal year, consolidated revenue was down 3% to $1.2 billion, but operating earnings increased to $79.1 million, and adjusted EBITDA rose to $200.8 million due to improved Salt business profitability.
- Net income reached $15.5 million for fiscal 2023, a significant improvement from the previous year's net loss of $37.3 million.
- Total company adjusted EBITDA increased by 7% year-over-year, despite reduced sales volumes in both the Salt and Plant Nutrition segments.
- The Salt business restored full-year fiscal 2023 profitability, achieving an adjusted EBITDA per ton exceeding $20.
- Compass Minerals acquired the remaining 55% ownership of Fortress North America and commenced initial commercial sales during the 2023 fire season.
Headline financials
Revenue & EPS history
Compass Minerals · Revenue · Quarterly
$234M
Revenue by segment
Compass Minerals · $156M total across 1 segment · Q3 2022
- Salt Segment$156M—100.0%
Forward guidance
Compass Minerals provided its financial outlook for fiscal year 2024, anticipating increased Salt sales volumes, normalized Plant Nutrition demand, and ongoing development in the Fire Retardant business.
Tailwinds
- Salt sales volumes are expected to increase 3% to 5% in fiscal 2024, assuming average winter weather conditions.
- The company completed a better-than-expected 2023-2024 bid season, with North American highway deicing prices up 3% despite a 5% decrease in committed volumes.
- Meaningful increase in Plant Nutrition sales volumes expected for the full year as demand in California reverts to normal levels.
- Fortress is expected to contribute approximately $12 million of adjusted EBITDA related to its initial Compass Minerals
- Lithium-related period expenses are projected to be in the range of $5 million and $10 million for fiscal 2024.
Headwinds
- Lower Plant Nutrition profitability is expected year-over-year, driven by lower sulfate of potash (SOP) pricing despite strong sales volume rebound.
- Pricing is projected to decline year-over-year as global potassium prices have normalized below the elevated levels in calendar 2022 and early 2023.
- Cash unit costs are projected to decline year-over-year but remain above historical levels due to fewer low-cost, pond-based tons.
- The final agreement with the USFS is not expected to be finalized until late December 2023 or early January 2024.
- Total capital expenditures for the company in fiscal 2024 are expected to be within a range of $125 million to $140 million.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2023
-1.1%
Avg return
Earnings day
-0.5%
Avg return
5 days after
+0.5%
Avg return
30 days after
40%
27 / 67 earnings
Positive
+26.5%
Q2 2025
Best reaction
-20.5%
Q2 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q2 2026 | +6.8% | +10.8% | +11.7% | |
| Q1 2026 | -14.8% | -13.0% | -7.8% | |
| Q4 2025 | -14.4% | -15.9% | +8.9% | |
| Q2 2025 | +26.5% | +38.7% | +39.8% | |
| Q1 2025 | -5.8% | -7.3% | -17.5% | |
| Q4 2024 | -2.1% | -18.4% | +2.9% | |
| Q3 2024 | +17.9% | +23.1% | +48.1% | |
| Q2 2024 | +2.0% | -6.1% | +3.0% | |
| Q1 2024 | -5.3% | +1.6% | -6.9% | |
| Q4 2023 | -8.4% | -1.7% | +1.2% | |
| Q3 2023 | -5.2% | -12.0% | -25.1% | |
| Q2 2023 | +0.3% | +8.2% | +14.5% | |
| Q1 2023 | -14.3% | -15.1% | -20.0% | |
| Q4 2022 | +9.6% | +13.4% | +1.6% | |
| Q3 2022 | +1.5% | +7.7% | +5.2% | |
| Q2 2022 | -20.5% | -28.6% | -26.6% | |
| Q1 2022 | -4.3% | -4.7% | +9.6% | |
| Q4 2021 | -4.3% | -4.7% | +9.6% | |
| Q2 2021 | -1.6% | -5.3% | -3.4% | |
| Q1 2021 | -0.3% | +0.5% | -2.3% | |
| Q4 2020 | -3.1% | +2.3% | +4.3% | |
| Q3 2020 | -7.0% | -0.1% | +5.8% | |
| Q2 2020 | +9.1% | +11.6% | +9.8% | |
| Q1 2020 | +1.1% | +2.7% | +12.1% | |
| Q4 2019 | +10.2% | +7.3% | -26.7% | |
| Q3 2019 | -7.4% | -4.2% | -6.8% | |
| Q2 2019 | -5.2% | -1.0% | -3.0% | |
| Q1 2019 | -4.1% | -2.5% | -9.9% | |
| Q4 2018 | +1.8% | +4.5% | -0.8% | |
| Q3 2018 | +8.6% | +8.6% | +5.8% | |
| Q2 2018 | -4.6% | -7.5% | -9.9% | |
| Q1 2018 | +3.1% | +3.2% | -2.8% | |
| Q4 2017 | -2.6% | -9.7% | -10.5% | |
| Q3 2017 | -1.0% | -0.8% | +4.2% | |
| Q2 2017 | -2.3% | -5.8% | +0.0% | |
| Q1 2017 | +1.4% | +6.2% | +1.2% | |
| Q4 2016 | -1.8% | -1.4% | -9.9% | |
| Q3 2016 | -1.5% | -0.3% | +10.1% | |
| Q2 2016 | -0.1% | -3.3% | +2.1% | |
| Q1 2016 | +2.4% | — | — | |
| Q4 2015 | -1.1% | — | — | |
| Q3 2015 | -3.2% | — | — | |
| Q2 2015 | +1.2% | — | — | |
| Q1 2015 | +3.6% | — | — | |
| Q4 2014 | +1.0% | — | — | |
| Q3 2014 | +0.6% | — | — | |
| Q2 2014 | -5.7% | — | — | |
| Q1 2014 | +5.2% | — | — | |
| Q4 2013 | -2.6% | — | — | |
| Q3 2013 | -2.2% | — | — | |
| Q2 2013 | -18.1% | — | — | |
| Q1 2013 | +6.4% | — | — | |
| Q4 2012 | +1.6% | — | — | |
| Q3 2012 | +2.4% | — | — | |
| Q2 2012 | -2.4% | — | — | |
| Q1 2012 | +1.7% | — | — | |
| Q4 2011 | +1.2% | — | — | |
| Q3 2011 | -5.5% | — | — | |
| Q2 2011 | -7.2% | — | — | |
| Q4 2010 | -7.2% | — | — | |
| Q1 2010 | +4.0% | — | — | |
| Q1 2011 | +2.3% | — | — | |
| Q2 2010 | -4.2% | — | — | |
| Q4 2008 | -4.2% | — | — | |
| Q3 2010 | -0.7% | — | — | |
| Q4 2009 | -0.7% | — | — | |
| Q3 2009 | -0.7% | — | — |
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