FMC Warns Of Staggering Losses, Slashes Revenue Outlook

FMC Corporation (NYSE:FMC) stock plunged Thursday after the agricultural chemicals company sharply lowered its third-quarter expectations and announced sweeping pricing changes to address weak demand and excess distributor inventory.The company warned that aggressive price cuts and restructuring of its U.S. sales model would result in significant charges.FMC Slashes Revenue Outlook, Warns Of Massive LossOn Thursday, FMC revised its third-quarter outlook, forecasting revenue of just $65 million to $125 million.Adjusted EBITDA is expected to range from a loss of $565 million to $510 million.The revised estimates include $625 million to $675 million in charges related to pricing and commercial changes.CEO Pierre Brondeau said demand fell short of expectations as difficult market conditions and high-priced inventory discouraged distributors from placing new orders. See More: Top Value Stocks Generic Competition Forces Pricing OverhaulFMC faces growing pressure from cheaper generic agricultural chemicals, which have driven market prices below the value of certain products held by distributors.As a result, distributors have struggled to sell existing inventory to farmers, reducing demand for new shipments.To address the problem, FMC plans to lower prices on select products held by distributors in Brazil, Argentina, the United States and Canada.The company will also overhaul its U.S. pricing structure by narrowing the gap between listed prices and rebates.These measures aim to clear existing inventory, improve product competitiveness and revive distributor orders.Brondeau expects the changes to strengthen FMC’s competitive position and support growth in 2027 and beyond.FMC Faces Debt Covenant TalksFMC expects to comply with its debt covenants as of Sept. 30. However, it plans to discuss potential modifications with lenders to gain financial flexibility during its restructuring.The company will release its third-quarter results and updated 2026 outlook on Oct. 29. Management will discuss preliminary expectations for 2027 and 2028 during its Oct. 30 earnings call.FMC Price Action: FMC shares were down 36.09% at $5.165 at the time of publication on Thursday, according to Benzinga Pro data. Trading volume surged to 9.46 million shares, nearly 2.5 times the 100-day average of 3.8 million, reflecting heightened selling pressure. Photo via Shutterstock Read Also: U.S. Bancorp Lifts Full-Year Outlook After Record Quarter