MOS · 10-Q · 2026Q2 · Full report

Working Capital Changes

MOSAIC CO · 2026-08-05 · Importance 38 · Surprise 24 · From source text

Inventory changes reduced operating cash flow by $245.6 million during the six months ended June 30, 2026, primarily because finished-goods volumes increased in Brazil due to seasonality and higher raw-material costs. Accounts payable and accrued liabilities declined by $90.4 million because of lower inventory purchases and payment timing. Accounts receivable decreased by $222.3 million, providing a cash benefit as second-quarter 2026 sales volumes were lower than in the fourth quarter of 2025, while asset-retirement-obligation payments reduced cash by $98.1 million.

Key facts

• During the six months ended June 30, 2026 we had an unfavorable change in assets and liabilities of $287.7 million, compared to an unfavorable change of $167.9 million during the six months ended June 30, 2025. source
• The change in assets and liabilities for the six months ended June 30, 2026 was primarily driven by an unfavorable change in inventories of $245.6 million. source
• Accounts receivable decreased by $222.3 million for the six months ended June 30, 2026. source
• Accounts payable and accrued liabilities decreased by $90.4 million for the six months ended June 30, 2026. source
• There was a change in asset retirement obligations (AROs) of $98.1 million for the six months ended June 30, 2026. source
• The increase in inventories was primarily due to higher finished goods inventory volumes, primarily in Brazil, due to seasonality and higher raw material costs. source
• Accounts receivable decreased primarily due to lower sales volumes at the end of the second quarter of 2026 compared to the fourth quarter of 2025. source
• Seasonality in our business results in the need to carry significant amounts of inventory and seasonal peaks in working capital requirements. source

Impact estimates