MOSAIC CO

Previous wording

The following table shows the results of operations for the three and six months ended June 30, 2024 and June 30, 2023:

Current wording

The following table shows the results of operations for the three and nine months ended September 30, 2024 and September 30, 2023:

Previous wording

For the three months ended June 30, 2024, Mosaic had a net loss of $(161.5) million, or $(0.50) per diluted share, compared to net income of $369.0 million, or $1.11 per diluted share, for the prior year period. Net sales for the three months ended June 30, 2024 decreased 17% compared to the same period of the prior year, driven primarily by lower average selling prices, as discussed further below. Net income for the three months ended June 30, 2024 was also negatively impacted by a foreign currency transaction loss of $267.9 million, compared to a foreign currency transaction gain of $148.5 million in the prior year period. In addition, Mosaic had income tax expense of $98.7 million, compared to $108.4 million in the prior year period, primarily related to the accrual of withholding tax on expected foreign distributions.

Current wording

For the three months ended September 30, 2024, Mosaic had net income of $122.2 million, or $0.38 per diluted share, compared to a net loss of $(4.2) million, or $(0.01) per diluted share, for the prior year period. Net sales for the three months ended September 30, 2024 decreased 21% compared to the same period of the prior year, driven by lower finished good sales pricing in our Potash and Mosaic Fertilizantes segments and lower sales volumes across our segments, as discussed further below. Net income for the three months ended September 30, 2024 was favorably impacted by a foreign currency transaction gain of $100.9 million, compared to a foreign currency transaction loss of $96.9 million in the prior year period.

Previous wording

In our Phosphate segment, operating results for the three months ended June 30, 2024 were lower than the prior year. They were driven primarily by lower sales volumes, partially offset by higher average selling prices and lower raw material costs, primarily sulfur and ammonia. Sales volumes in the current year period were unfavorably impacted by low inventory levels going into the quarter, resulting from planned maintenance and turnaround activity at our sites earlier in the year. Higher average selling prices were driven by strong demand in North America.

Current wording

In our Phosphate segment, operating results for the three months ended September 30, 2024 were favorable compared to the prior year. They were driven primarily by higher average selling prices and a favorable product mix, partially offset by lower sales volumes. Sales volumes in the current year period were unfavorably impacted by low inventory levels going into the quarter, and by delayed shipments of approximately 80,000 tonnes caused by Hurricanes Francine and Helene. Higher average selling prices were driven by strong demand for the fall season in North America.

Previous wording

In our Potash segment, operating results for the three months ended June 30, 2024 were lower than the prior year. They were driven primarily by lower average selling prices as a result of a rebound in global supply. This impact was partially offset by higher sales volumes. Sales volumes increased due to a strong “summer fill” sales program in North America and, internationally, strong demand and product affordability, which drove higher sales volumes in Southeast Asia.

Current wording

In our Potash segment, operating results for the three months ended September 30, 2024 were lower than the prior year, primarily due to lower average selling prices as a result of improved global supply, and lower sales volumes in the current year period, due to operational issues and the timing of our “summer fill” sales program in North America.

Previous wording

In our Mosaic Fertilizantes segment, operating results for the three months ended June 30, 2024 were favorable compared to the same period in the prior year, benefiting from lower material costs. This was partially offset by lower average selling prices and sales volumes in the current year period compared to the prior year. Sales prices in Brazil have been decreasing as global supply and demand continues to recover from the tightness that began in 2022. Sales volumes were down compared to the prior year period as a result of deferred customer demand in the Brazil agricultural market.

Current wording

In our Mosaic Fertilizantes segment, operating results for the three months ended September 30, 2024 were unfavorable compared to the same period in the prior year due to a reserve for bad debt related to a customer that entered bankruptcy proceedings during the quarter. Excluding this impact, results benefited from lower material costs, partially offset by lower average selling prices and sales volumes in the current year period compared to the prior year. Sales prices in Brazil have been decreasing as global supply continues to improve. Sales volumes were down compared to the prior year period as a result of lower customer demand in the Brazil agricultural market.

Previous wording

•During the quarter ended June 30, 2024, we repurchased 1,835,788 shares of Common Stock in the open market for approximately $52.0 million at an average purchase price of $28.33.

Current wording

•During the quarter ended September 30, 2024, we repurchased 1,772,144 shares of Common Stock in the open market for approximately $50.0 million at an average purchase price of $28.21.

Previous wording

Overview of Consolidated Results for the six months ended June 30, 2024 and 2023

Current wording

Overview of Consolidated Results for the nine months ended September 30, 2024 and 2023

Previous wording

Net loss attributable to Mosaic for the six months ended June 30, 2024 was $(116.3) million, or $(0.36) per diluted share, compared to net earnings of $0.8 billion, or $2.39 per diluted share, for the same period a year ago. Net loss for the six months ended June 30, 2024 was unfavorably impacted by a foreign currency transaction loss of $368.2 million, compared to a gain of $199.9 million in the prior year period.

Current wording

Net income attributable to Mosaic for the nine months ended September 30, 2024 was $5.9 million, or $0.02 per diluted share, compared to net earnings of $799.6 million, or $2.39 per diluted share, for the same period a year ago. Net income for the nine months ended September 30, 2024 were unfavorably impacted by a foreign currency transaction loss of $267.3 million, compared to a gain of $103.0 million in the prior year period.

Previous wording

Results for the six months ended June 30, 2024 reflected the factors discussed above in the discussion for the three months ended June 30, 2024, in addition to those noted below. Certain of these factors are discussed in more detail in the following sections of this Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Current wording

Results for the nine months ended September 30, 2024 reflected the factors discussed above in the discussion for the three months ended September 30, 2024, in addition to those noted below. Certain of these factors are discussed in more detail in the following sections of this Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Previous wording

Operating results in our Phosphate segment for the six months ended June 30, 2024 were lower than the prior year due to lower sales volumes. Lower sales volumes were driven by planned maintenance and turnaround activity at our sites, as mentioned above in the three month discussion. Operating results for the six month period of the current year were also unfavorably impacted by lower average selling prices. Although selling prices were lower than the prior year period, they have been trending upwards since the third quarter of 2023, driven by strong demand in North America. Additionally, average selling prices in the current year period were influenced by lower raw material costs, primarily sulfur and ammonia. Phosphate operating results were also impacted by an unfavorable product mix, as our sales volumes included a larger proportion of purchased tonnes than the prior year period.

Current wording

Operating results in our Phosphate segment for the nine months ended September 30, 2024 were lower than the prior year due to unfavorable sales volumes. Lower sales volumes were driven by planned maintenance and turnaround activity at our sites, and delayed shipments due to Hurricanes Francine and Helene as mentioned above in our three month discussion. Phosphate operating results were also impacted by an unfavorable product mix, as our sales volumes included a larger proportion of purchased tonnes than the prior year period. Average selling prices for the nine month period of the current year were favorable as prices have continued trending upwards since the third quarter of 2023, driven by strong demand in North America. Operating results also benefited from lower raw material costs, primarily sulfur and ammonia compared to the prior year period.

Previous wording

Operating results in our Potash segment for the six months ended June 30, 2024 were lower than the prior year. They were driven by lower average selling prices, resulting from a rebound in global supply. This impact was partially offset by higher sales volumes compared to the prior year period, as demand in North America was driven by a strong spring application season and summer fill program in the current year period.

Current wording

Operating results in our Potash segment for the nine months ended September 30, 2024 were lower than the prior year. They were driven by lower average selling prices, resulting from improved global supply. This impact was partially offset by higher sales volumes compared to the prior year period, as demand in North America was driven by a strong spring application season and "summer fill" sales program in the current year period.

Previous wording

For the six months ended June 30, 2024, operating results in our Mosaic Fertilizantes segment were favorable compared to the same period in the prior year. While average selling prices and sales volumes declined in the current year period, due to the factors mentioned above in the three-month discussion, operating results benefited from lower raw material cost and de-stocking of high-priced inventory, which negatively impacted the prior year period.

Current wording

For the nine months ended September 30, 2024, operating results in our Mosaic Fertilizantes segment were significantly more favorable compared to the same period in the prior year. While average selling prices and sales volumes declined in the current year period, due to the factors mentioned above in the three-month discussion, operating results benefited from lower raw material cost and de-stocking of high-priced inventory, which negatively impacted the prior year period.

Previous wording

•During the six months ended June 30, 2024, we repurchased 5,234,488 shares of Common Stock in the open market for approximately $160.4 million at an average purchase price of $30.64.

Current wording

•During the nine months ended September 30, 2024, we repurchased 7,006,632 shares of Common Stock in the open market for approximately $210.4 million at an average purchase price of $30.03.

Previous wording

The Phosphate segment’s net sales were $1.2 billion for the three months ended June 30, 2024, compared to $1.3 billion for the three months ended June 30, 2023. The decrease in net sales in the current year period was primarily due to lower finished goods sales volumes, which had an unfavorable impact on net sales of approximately $130 million. This was partially offset by higher average finished goods sales prices, which had a favorable impact of approximately $20 million compared to the prior year period.

Current wording

The Phosphate segment’s net sales were $1.0 billion for the three months ended September 30, 2024, compared to $986.4 million for the three months ended September 30, 2023. The increase in net sales in the current year period was primarily due to higher average finished goods sales prices, which had a favorable impact of approximately $130 million compared to the prior year period. This was partially offset by lower finished goods sales volumes, which had an unfavorable impact on net sales of approximately $100 million, and lower sales of raw materials of approximately $15 million.

Previous wording

Our average finished product selling price increased 5% to $667 per tonne for the three months ended June 30, 2024, compared to $634 per tonne in the prior year period, due to the factor discussed in the Overview.

Current wording

Our average finished product selling price increased 14% to $651 per tonne for the three months ended September 30, 2024, compared to $569 per tonne in the prior year period, due to the factor discussed in the Overview.

Previous wording

The Phosphate segment’s sales volumes of finished products decreased to 1.7 million for the three months ended June 30, 2024, compared to 1.9 million in the prior year period, due to supply constraints caused by the impact of planned maintenance and turnaround activity in the first quarter of 2024.

Current wording

The Phosphate segment’s sales volumes of finished products decreased to 1.5 million for the three months ended September 30, 2024, compared to 1.7 million in the prior year period, due to factors discussed in the Overview.

Previous wording

The average consumed price for ammonia for our North America operations decreased 4%, to $424 per tonne, for the three months ended June 30, 2024, from $441 in the same period a year ago. The average consumed sulfur price for our North America operations decreased 29%, to $138 per long ton, for the three months ended June 30, 2024, from $195 in the same period a year ago. The purchase prices of these raw materials are driven by global supply and demand. The consumed ammonia and sulfur prices also include transportation, transformation and storage costs.

Current wording

The average consumed price for ammonia for our North America operations increased 37%, to $482 per tonne, for the three months ended September 30, 2024, from $353 in the same period a year ago. The average consumed sulfur price for our North America operations decreased 19%, to $126 per long ton, for the three months ended September 30, 2024, from $156 in the same period a year ago. The purchase prices of these raw materials are driven by global supply and demand. The consumed ammonia and sulfur prices also include transportation, transformation and storage costs.

Previous wording

The average consumed cost of purchased and produced phosphate rock increased to $86 per tonne for the three months ended June 30, 2024, from $79 per tonne for the three months ended June 30, 2023. For the three months ended June 30, 2024, our North America phosphate rock production increased to 2.4 million tonnes from 2.2 million tonnes during the same period of the prior year.

Current wording

The average consumed cost of purchased and produced phosphate rock increased to $87 per tonne for the three months ended September 30, 2024, from $81 per tonne for the three months ended September 30, 2023. For the three months ended September 30, 2024, our North America phosphate rock production decreased to 2.2 million tonnes from 2.4 million tonnes during the same period of the prior year.

Previous wording

The Phosphate segment’s production of crop nutrient dry concentrates and animal feed ingredients increased 1% for the three months ended June 30, 2024 from the prior year period. Our operating rate for processed phosphate production increased to 68% for the three months ended June 30, 2024, from 67% for the same period in 2023.

Current wording

The Phosphate segment’s production of crop nutrient dry concentrates and animal feed ingredients increased 2% for the three months ended September 30, 2024 from the prior year period. Our operating rate for processed phosphate production increased to 66% for the three months ended September 30, 2024, from 64% for the same period in 2023.

Previous wording

The Phosphate segment’s net sales were $2.3 billion for the six months ended June 30, 2024, compared to $2.7 billion for the six months ended June 30, 2023. The decrease in net sales was primarily due to lower sales volumes, which unfavorably impacted net sales by approximately $250 million. Net sales were also unfavorably impacted by approximately $65 million due to lower finished product selling prices in the current period.

Current wording

The Phosphate segment’s net sales were $3.4 billion for the nine months ended September 30, 2024, compared to $3.7 billion for the nine months ended September 30, 2023. The decrease in net sales was primarily due to lower sales volumes, which unfavorably impacted net sales by approximately $340 million. In addition, Miski Mayo operations had an unfavorable impact of approximately $50 million compared to the prior year period due to lower sales prices and volumes. These impacts were partially offset by approximately $65 million due to higher finished product selling prices in the current period, and favorable raw material sales of approximately $15 million in the current period.

Previous wording

Our average finished product selling price was $672 per tonne for the six months ended June 30, 2024, a decrease of $2 per tonne from the same period a year ago, due to the factors discussed in the Overview.

Current wording

Our average finished product selling price was $665 per tonne for the nine months ended September 30, 2024, an increase of $23 per tonne from the same period a year ago, due to the factors discussed in the Overview.

Previous wording

The Phosphate segment’s sales volumes of finished products decreased by 11% for the six months ended June 30, 2024, compared to the same period in the prior year due to the impact of planned maintenance and turnaround activity discussed in the Overview.

Current wording

The Phosphate segment’s sales volumes of finished products decreased by 11% for the nine months ended September 30, 2024, compared to the same period in the prior year due to the impact of planned maintenance and turnaround activity, and delayed shipments caused by Hurricanes Francine and Helene as discussed in the Overview.

Previous wording

Gross margin for the Phosphate segment decreased to $313.1 million for the six months ended June 30, 2024, from $475.5 million for the six months ended June 30, 2023. The decrease in gross margin in the current year period was primarily due to lower sales volumes and prices, which unfavorably impacted gross margin by approximately $80 million and $60 million, respectively. Gross margin was also unfavorably impacted by approximately $70 million due to increased conversion and other plant costs and approximately $35 million related to unfavorable product mix of a higher proportion of purchased tonnes compared to the prior year period. Additionally, current period gross margin was also unfavorably impacted by approximately $40 million, due to lower rock sales volumes and selling prices at Miski Mayo. The timing of idle plant and turnaround costs, which unfavorably impacted gross margin by approximately $15 million versus the prior year period. These impacts were partially offset by lower raw material costs, primarily sulfur and ammonia as discussed below, which favorably impacted gross margin by approximately $140 million.

Current wording

Gross margin for the Phosphate segment decreased to $455.4 million for the nine months ended September 30, 2024, from $563.0 million for the nine months ended September 30, 2023. Gross margin was unfavorably impacted by lower sales volumes, which unfavorably impacted gross margin by approximately $80 million, and higher conversion of approximately $80 million. Gross margin was also unfavorably impacted by higher blended rock costs of approximately $50 million. Additionally, current period gross margin was also unfavorably impacted by approximately $40 million related to unfavorable product mix of a higher proportion of purchased tonnes compared to the prior year period and higher freight costs of approximately $20 million. These impacts were partially offset by favorable impacts from lower raw material costs, primarily sulfur and ammonia as discussed below, of approximately $100 million, and higher finished goods selling prices of approximately $65 million.

Previous wording

The average consumed price for ammonia for our North America operations was $415 per tonne for the six months ended June 30, 2024, compared to $506 per tonne in the same period a year ago. The average consumed price for sulfur for our North America operations decreased to $136 per long ton for the six months ended June 30, 2024, from $210 per long ton in the same period a year ago. The purchase prices of these raw materials are driven by global supply and demand.

Current wording

The average consumed price for ammonia for our North America operations was $436 per tonne for the nine months ended September 30, 2024, compared to $449 per tonne in the same period a year ago. The average consumed price for sulfur for our North America operations decreased to $135 per long ton for the nine months ended September 30, 2024, from $191 per long ton in the same period a year ago. The purchase prices of these raw materials are driven by global supply and demand.

Previous wording

The average consumed cost of purchased and produced phosphate rock increased to $84 per tonne for the six months ended June 30, 2024, compared to $76 per tonne for the prior year period. Our North America phosphate rock production increased to 4.8 million tonnes for the six months ended June 30, 2024, compared to 4.4 million for the six months ended June 30, 2023.

Current wording

The average consumed cost of purchased and produced phosphate rock increased to $85 per tonne for the nine months ended September 30, 2024, compared to $75 per tonne for the prior year period. Our North America phosphate rock production increased to 7.0 million tonnes for the nine months ended September 30, 2024, compared to 6.7 million for the nine months ended September 30, 2023.

Previous wording

The Phosphate segment’s production of crop nutrient dry concentrates and animal feed ingredients decreased by 7%, to 3.3 million tonnes for the six months ended June 30, 2024, compared to 3.5 million tonnes in the prior year period. Our operating rate for processed phosphate production increased to 79% for the three months ended June 30, 2024, from 70% for the same period in 2023.

Current wording

The Phosphate segment’s production of crop nutrient dry concentrates and animal feed ingredients decreased by 4%, to 4.9 million tonnes for the nine months ended September 30, 2024, compared to 5.1 million tonnes in the prior year period. Our operating rate for processed phosphate production decreased to 66% for the three months ended September 30, 2024, from 68% for the same period in 2023.

Previous wording

The Potash segment’s net sales decreased to $663.1 million for the three months ended June 30, 2024, compared to $848.7 million in the same period a year ago. The decrease was primarily due to lower selling prices, which had an unfavorable impact on net sales of approximately $250 million compared to the same period in the prior year. This was partially offset by higher sales volumes in North America, which favorably impacted net sales by approximately $65 million.

Current wording

The Potash segment’s net sales decreased to $525.7 million for the three months ended September 30, 2024, compared to $719.9 million in the same period a year ago. The decrease was primarily due to lower sales volumes and selling prices, which had an unfavorable impact on net sales of approximately $105 million and $90 million, respectively, compared to the same period in the prior year.

Previous wording

Our average finished product selling price was $283 per tonne for the three months ended June 30, 2024, compared to $392 per tonne for the same period a year ago, as a result of the factor described in the Overview.

Current wording

Our average finished product selling price was $263 per tonne for the three months ended September 30, 2024, compared to $324 per tonne for the same period a year ago, as a result of the factor described in the Overview.

Previous wording

The Potash segment’s sales volumes of finished products increased to 2.3 million tonnes for the three months ended June 30, 2024, compared to 2.2 million tonnes in the same period a year ago, due to the factors discussed in the Overview.

Current wording

The Potash segment’s sales volumes of finished products decreased to 2.0 million tonnes for the three months ended September 30, 2024, compared to 2.2 million tonnes in the same period a year ago, due to the factors discussed in the Overview.

Previous wording

Gross margin for the Potash segment decreased to $186.4 million for the three months ended June 30, 2024, from $336.0 million in the same period of the prior year. Lower selling prices decreased gross margin by approximately $250 million versus the prior year period. This decrease was partially offset by higher sales volumes, which favorably impacted gross margin by approximately $60 million compared to the prior year, and lower Canadian resource taxes and royalties of $30 million. In addition, lower idle and turnaround costs favorably impacted gross margin by approximately $15 million compared to the prior year, largely due to the timing of turnarounds.

Current wording

Gross margin for the Potash segment decreased to $121.9 million for the three months ended September 30, 2024, from $210.4 million in the same period of the prior year. Lower selling prices decreased gross margin by approximately $90 million versus the prior year period. Gross margin was also unfavorably impacted by lower sales volumes, which unfavorably impacted gross margin by approximately $70 million compared to the prior year. This was partially offset by lower Canadian resource taxes and royalties of approximately $40 million. In addition, lower idle and turnaround costs favorably impacted gross margin by approximately $15 million compared to the prior year, largely due to the timing of turnarounds. Lower conversion costs in the current period favorably impacted gross margin by approximately $10 million.

Previous wording

We incurred $66.8 million in Canadian resource taxes for the three months ended June 30, 2024, compared to $95.0 million in the same period a year ago. Canadian royalty expense decreased to $10.3 million for the three months ended June 30, 2024, compared to $12.9 million for the three months ended June 30, 2023. The fluctuations in Canadian resource taxes and royalties are a result of a decrease in our sales revenue and margins.

Current wording

We incurred $44.5 million in Canadian resource taxes for the three months ended September 30, 2024, compared to $85.6 million in the same period a year ago. Canadian royalty expense increased to $9.4 million for the three months ended September 30, 2024, compared to $8.7 million for the three months ended September 30, 2023. The fluctuations in Canadian resource taxes and royalties are a result of a decrease in our sales revenue and margins.

Previous wording

The Potash segment’s net sales decreased to $1.3 billion for the six months ended June 30, 2024, compared to $1.8 billion in the same period a year ago. Lower selling had an unfavorable impact on net sales of approximately $630 million versus the prior year period. This was partially offset by higher sales volumes of approximately $170 million.

Current wording

The Potash segment’s net sales decreased to $1.8 billion for the nine months ended September 30, 2024, compared to $2.5 billion in the same period a year ago. Lower selling prices had an unfavorable impact on net sales of approximately $680 million versus the prior year period. This was partially offset by the impact of higher sales volumes of approximately $35 million.

Previous wording

Our average potash selling price was $290 per tonne for the six months ended June 30, 2024, compared to $431 per tonne for the same period a year ago, due to the factor discussed above in the Overview.

Current wording

Our average potash selling price was $282 per tonne for the nine months ended September 30, 2024, compared to $393 per tonne for the same period a year ago, due to the factors discussed above in the Overview.

Previous wording

The Potash segment’s sales volumes for the six months ended June 30, 2024 increased 11% compared to the same period a year ago, due to the factors discussed in the Overview.

Current wording

The Potash segment’s sales volumes for the nine months ended September 30, 2024 increased 3% compared to the same period a year ago, due to the factors discussed in the Overview.

Previous wording

Gross margin for the Potash segment decreased to $398.1 million for the six months ended June 30, 2024, from $749.3 million for the same period in the prior year. Gross margin was unfavorably impacted by approximately $630 million due to the decrease in average selling prices. This was partially offset by higher sales volumes, which had a favorable impact on gross margin of approximately $150 million and lower Canadian resource taxes and royalties of approximately $95 million in the current year period, as discussed below. In addition, results were favorably impacted by approximately $30 million, due to higher prior year period idle and maintenance turnaround costs primarily at our Colonsay, Saskatchewan mine.

Current wording

Gross margin for the Potash segment decreased to $520.0 million for the nine months ended September 30, 2024, from $959.7 million for the same period in the prior year. Gross margin was unfavorably impacted by approximately $680 million due to the decrease in average selling prices. This was partially offset by lower Canadian resource taxes and royalties of approximately $135 million in the current year period, as discussed below. Gross margin was also favorably impacted by approximately $45 million, due to lower idle and maintenance turnaround costs in the current year period due to the timing of turnarounds. In addition, gross margin was favorably impacted by lower conversion costs of approximately $30 million and higher sales volumes of approximately $20 million.

Previous wording

We incurred $131.3 million in Canadian resource taxes for the six months ended June 30, 2024, compared to $215.8 million in the same period a year ago. Canadian royalty expense decreased to $20.3 million for the six months ended June 30, 2024, compared to $31.6 million for the six months ended June 30, 2023. The fluctuations in Canadian resource taxes and royalties are due to the decreases in our sales revenues and margins.

Current wording

We incurred $175.8 million in Canadian resource taxes for the nine months ended September 30, 2024, compared to $301.4 million in the same period a year ago. Canadian royalty expense decreased to $29.7 million for the nine months ended September 30, 2024, compared to $40.3 million for the nine months ended September 30, 2023. The fluctuations in Canadian resource taxes and royalties are due to the decreases in our sales revenues and margin.

Previous wording

Our operating rate was 79% for the current year period, compared to 69% in the prior year period. The increased operating rate in the current year period reflects higher production across our Canadian mines, due to higher capability at our Esterhazy mine and our Colonsay mine operating for a portion of the current year period. Prior year production was impacted by maintenance downtime during the first half of the year.

Current wording

Our operating rate was 75% for the current year period, compared to 68% in the prior year period. The increased operating rate in the current year period reflects higher production across our Canadian mines, due to higher capability at our Esterhazy mine and our Colonsay mine operating for a portion of the current year period. Prior year production was impacted by maintenance downtime during the first half of the year.

Previous wording

The Mosaic Fertilizantes segment’s net sales decreased to $1.0 billion for the three months ended June 30, 2024, from $1.4 billion in the same period a year ago. The $369.9 million decrease in net sales was due to approximately $290 million of lower finished product sales prices and approximately $100 million of lower finished goods sales volume. This was partially offset by a $15 million favorable impact from sales of other products, primarily sulfuric acid.

Current wording

The Mosaic Fertilizantes segment’s net sales decreased to $1.4 billion for the three months ended September 30, 2024, from $1.7 billion in the same period a year ago. The $331.4 million decrease in net sales was due to approximately $240 million of lower finished product sales prices and approximately $100 million of lower finished goods sales volume. This was partially offset by a $10 million favorable impact from sales of other products, primarily sulfuric acid.

Previous wording

Gross margin for the Mosaic Fertilizantes segment increased to $101.8 million for the three months ended June 30, 2024, from $12.8 million in the same period of the prior year. The increase in gross margin was primarily due to $370 million of lower costs driven by a decrease in product costs for our distribution business, and lower sulfur and ammonia costs in our production business. This was partially offset by approximately $290 million related to the decrease in average selling prices during the current year period, and by approximately $10 million due to lower sales volumes during the current year period.

Current wording

Gross margin for the Mosaic Fertilizantes segment increased to $127.9 million for the three months ended September 30, 2024, from $106.1 million in the same period of the prior year. The increase in gross margin was primarily due to $270 million of lower costs driven by a decrease in product costs for our distribution business, and lower sulfur and ammonia costs in our production business. This was substantially offset by approximately $240 million related to the decrease in average selling prices during the current year period.

Previous wording

The average consumed price for ammonia for our Brazilian operations decreased to $623 per tonne for the three months ended June 30, 2024, compared to $912 per tonne in the prior year period. The average consumed sulfur price for our Brazilian operations was $174 per long ton for the three months ended June 30, 2024, compared to $258 per long ton in the prior year period. The purchase prices of ammonia and sulfur are driven by global supply and demand, and also include transportation, transformation and storage costs.

Current wording

The average consumed price for ammonia for our Brazilian operations decreased to $572 per tonne for the three months ended September 30, 2024, compared to $667 per tonne in the prior year period. The average consumed sulfur price for our Brazilian operations was $170 per long ton for the three months ended September 30, 2024, compared to $219 per long ton in the prior year period. The purchase prices of ammonia and sulfur are driven by global supply and demand, and also include transportation, transformation and storage costs.