Key Takeaways PPL raised its quarterly dividend 4.6% to 28.5 cents a share, or $1.14 annualized. PPL targets 4-6% dividend growth through 2029 and expects a 50-60% payout ratio.PPL plans $23B in investments, with over 60% eligible for contemporaneous recovery to support cash flows. PPL Corporation (PPL - Free Report) continues to increase its shareholders’ value by paying dividends at regular intervals and raising the dividend rate annually. The company has a long history of rewarding shareholders, courtesy of its strong operational performance and resilient cash-flow generation.
The company’s board of directors has approved a 4.6% year-over-year increase in quarterly dividend to 28.5 cents per share from 27.25 cents, resulting in an annualized dividend of $1.14. PPL has distributed dividends for 80 consecutive years, targets annual dividend growth of 4-6% through 2029 and expects a 50-60% payout ratio.
While current dividend payments do not guarantee future payouts at the same rate, a company’s financial performance and long-term plans can help assess its ability to sustain shareholder-friendly initiatives going forward.
PPL's regulated structure, along with its focus on generation, transmission and distribution projects, supports its future growth and steady cash-flow generation. The company benefits from robust economic development in its service territory and increasing clean electricity demand from data centers. This supports stable revenue growth and strengthens the company’s overall financial performance.
In Pennsylvania, advanced-stage data center demand has increased to nearly 28.3 gigawatt (GW) from 25.2 GW, while Kentucky’s economic development pipeline now indicates potential load growth of 12.9 GW through 2032, up from the earlier estimate of 8.5 GW. The company targets 6-8% annual earnings growth through 2029, supported by $23 billion in capital investments and 10.3% rate base growth. More than 60% of PPL’s capital investment plan qualifies for “contemporaneous recovery,” which mitigates the effects of regulatory lag on earnings and ensures regular cash flows.
Utilities' Long History of Dividend PaymentUtility companies benefit from stable cash flows generated by regulated operations and essential services, supporting consistent dividend payments across economic cycles. Expanding rate bases, infrastructure investments and predictable earnings growth further strengthen their ability to deliver reliable long-term returns for income-focused investors.
Duke Energy (DUK - Free Report) has rewarded its shareholders through consistent dividend payments for the past 100 years. The company’s board has approved a quarterly dividend of $1.065 per share, resulting in an annualized dividend of $4.26.
Consolidated Edison, Inc. (ED - Free Report) has consistently enhanced shareholder value through regular dividend payments and has increased its annual dividend for 52 consecutive years. The company’s board has approved a quarterly dividend of 88.75 cents, resulting in an annualized dividend of $3.55 per share.
PPL’s Earnings EstimatesThe Zacks Consensus Estimate for 2026 and 2027 EPS indicates an increase of 7.73% and 8.21%, respectively, year over year.
Image Source: Zacks Investment Research
PPL's Stock Trading at a PremiumPPL is trading at a premium relative to the industry, with a forward 12-month price-to-earnings of 18.0X compared with the industry average of 15.86X.
Image Source: Zacks Investment Research
PPL’s Stock Price PerformanceIn the past three months, the company’s shares have plunged 2.8% compared with the industry’s 4.9% decline.
Image Source: Zacks Investment Research
PPL’s Zacks RankPPL currently has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Project advancing on schedule and expected to begin commercial operation by fall of 2027.
, /PRNewswire/ -- BrightNight today announced that it reached financial close for Frontier, a 120 MW solar PV project located in Washington and Marion counties, Kentucky. Once constructed, Frontier will become a new, additional source of renewable generation for Louisville Gas and Electric Company and Kentucky Utilities Company (LG&E and KU.) BrightNight and LG&E and KU entered into a Build Transfer Agreement for the project in August 2024 as part of the utilities' long-term strategic investment plans to support Kentucky's growing energy needs with safe, reliable, affordable and sustainable energy.
Pictured is BrightNight's Box Canyon solar project in Arizona
LG&E and KU Frontier is advancing on schedule, with Commercial Operation expected by fall of 2027. Reaching financial close marks the successful conversion of years of development, engineering, commercial structuring, and pre-construction investment into a fully financed infrastructure asset moving into construction.
The project, which was approved by the Kentucky Public Service Commission in 2023 as part of LG&E and KU's Certificate of Public Convenience and Necessity (CPCN) filing, represents continued execution across BrightNight's growing U.S. portfolio, which includes more than 30 GW of power projects concentrated in the nation's fastest-growing energy markets. Frontier joins a series of recently advanced projects as proof of BrightNight's ability to originate, develop, and finance complex, multi-stakeholder energy infrastructure at scale.
Project financing was provided by a consortium of leading banks including ING Capital LLC, Natixis Corporate & Investment Banking, and HSBC. The successful close reflects strong capital market confidence in BrightNight's disciplined development approach, integrated project design, and focus on long-term asset performance.
"Frontier demonstrates the strong demand for BrightNight's cost-effective power solutions for Kentucky and across the United States," said Martin Hermann, CEO of BrightNight. "This milestone reflects not only the strength of this project, but also our ability to consistently bring complex projects from concept to fully financed reality. We are proud to partner with LG&E and KU on a project that will deliver long-term value, operational excellence, and a meaningful contribution to the region's growing energy needs."
"It's an exciting time in Kentucky where we're experiencing unprecedented economic growth opportunities, creating more jobs and tax incentives for the communities we're proud to serve, and powering that growth, we're proud to operate one of the most reliable generation fleets in the nation," said John R. Crockett III, President for LG&E and KU. "Our partnership with BrightNight on the Frontier project is an important step in advancing additional renewable energy resources in our generation portfolio while maintaining affordable rates and reliable service our customers expect."
With financing secured, BrightNight will continue to advance Frontier through its next phase of execution, including construction mobilization and coordinated delivery across engineering, procurement, and construction to Final Completion.
Frontier's design and development leveraged BrightNight's advanced optimization platform, PowerAlpha®, to deliver best-in-class power project value for LG&E and KU.
With multiple projects progressing through development, financing, construction and operations across the U.S., BrightNight continues to build momentum as a leading provider of next-generation power infrastructure, delivering scalable solutions for utilities, data centers, and commercial and industrial customers.
ABOUT BRIGHTNIGHT
BrightNight is a next-generation power and digital infrastructure company, purpose-built to serve the evolving needs of utilities, commercial and industrial (C&I) customers.
BrightNight designs, develops, and operates large-scale energy and infrastructure sites that integrate utility-scale renewables, advanced gas generation, battery energy storage, and power-optimized hubs for digital infrastructure. BrightNight's industry-leading 30 GW portfolio of best-in-class power projects is concentrated in the fastest-growing energy markets and data center hubs across the U.S.
BrightNight's customer focus, industry-leading team of talent, and proprietary AI platform – PowerAlpha® – enable it to deliver best-in-class economics, performance, and uptime.
To learn more, visit www.brightnightpower.com
ABOUT LG&E AND KU
Louisville Gas and Electric Company and Kentucky Utilities Company, part of the PPL Corporation (NYSE: PPL) and its companies, are regulated utilities that serve nearly 1.4 million customers and have consistently ranked among the best companies for customer service in the United States. LG&E serves 336,000 natural gas and 443,000 electric customers in Louisville and 16 surrounding counties. KU serves 581,000 customers in 77 Kentucky counties and 28,000 in five counties in Virginia. More information is available at www.lge-ku.com and www.pplweb.com.
Forward Looking Statements & Information
Certain information contained in this news release constitutes forward looking information or forward looking statements (collectively, forward looking statements). All statements other than statements of historical fact are forward looking statements. Forward looking statements typically contain words such as anticipate, believe, confirms, continuous, estimate, expect, may, plan, project, should, will, offers, or similar words suggesting future outcomes, and include, without limitation, all financial projections, estimates of future costs, and projected performance or results. Forward looking statements by their nature are subject to risks, assumptions and uncertainties which may cause the actual outcomes of such events to differ from BrightNight's expectation as of the date hereof. Whether forward looking statements ultimately prove to be accurate will depend on factors outside of the control of BrightNight. Readers are encouraged to undertake their own analysis and investigation as to the reasonableness of any such forward looking statements. Forward looking statements contained in this news release are made as at the date of this news release and BrightNight disclaims any intent or obligation to update or to revise any of the included forward looking statements.
Key Takeaways PPL is tapping AI data-center expansion to lift clean electricity demand in Pennsylvania and Kentucky. PPL's Pennsylvania pipeline hit 28.3 GW; about 10 GW is under ESAs and 5 GW is already being built. PPL plans $23B in regulated capex (2026-2029) to connect new loads and boost reliability, cutting outages. PPL Corporation (PPL - Free Report) is benefiting from a rise in clean electricity demand from the expansion of AI-based data centers across its Pennsylvania and Kentucky service territories. AI-driven data centers require substantially higher power consumption than conventional facilities because of their computing demands, advanced chips and greater cooling needs for AI workloads and training processes. According to an Arizton Advisory & Intelligence report, the U.S. data center market size is expected to reach $308.83 billion by 2030.
PPL’s Pennsylvania segment registered nearly 28.3 gigawatts (GW) of potential data center demand, up from 25.2 GW, with nearly 10 GW under signed electricity service agreements (ESAs) and 5
GW already under construction.
In the Kentucky segment, the economic development pipeline now indicates potential load growth of 12.9 GW through 2032, up from the earlier estimate of 8.5 GW. The company received interest from 13 new data center projects, representing nearly 12 GW of active electricity demand.
PPL is undertaking substantial capital investments to upgrade its infrastructure and connect these data centers to the grid. It expects a regulated capital investment plan of $23 billion during 2026-2029. The company’s focus on generation, transmission and distribution projects, along with these investments, has helped improve service reliability and reduce customer outages.
Through these initiatives, PPL is strategically positioning itself to capitalize on the anticipated boom in the data center market. These efforts support new revenue streams and strengthen its long-term growth prospects.
Data Center Boom: A Growing Opportunity for UtilitiesThe rapid expansion of artificial intelligence and cloud computing is driving unprecedented data center electricity demand. This supports overall financial performance and creates a long-term growth opportunity for utilities. Other utilities that stand to benefit from the growing demand from data centers are as follows:
American Electric (AEP - Free Report) recognizes commercial load, driven particularly by energy-intensive sectors like AI-driven data centers. The company projects 63 GW of incremental contracted load by 2030, up from 56 GW previously, with hyperscale data centers contributing nearly 90% of demand.
Dominion Energy, Inc. (D - Free Report) is experiencing commercial load growth, driven by the demand from data centers. The company’s contracted data center capacity in Virginia rose to about 51 GW, increasing nearly 2.5 GW since December 2025.
PPL’s Earnings EstimatesThe Zacks Consensus Estimate for 2026 and 2027 EPS indicates a year-over-year increase of 7.73% and 8.21%, respectively.
Image Source: Zacks Investment Research
PPL Stock Trading at a PremiumPPL is trading at a premium relative to the industry, with a forward 12-month price-to-earnings of 17.55X compared with the industry average of 15.68X.
Image Source: Zacks Investment Research
PPL’s Stock Price PerformanceIn the past months, the company’s shares have plunged 6% compared with the industry’s 4.7% decline.
Image Source: Zacks Investment Research
PPL’s Zacks RankPPL currently has a Zacks Rank #4 (Sell). You can See the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
, /PRNewswire/ -- PPL Electric Utilities today announced that the Pennsylvania Public Utility Commission (PUC) has approved a settlement resolving the company's distribution rate review, supporting continued investment in a more reliable, resilient electric system while strengthening customer protections and affordability programs.
The approved settlement authorizes an increase of $275 million in annual base distribution revenues and reflects broad, collaborative agreement among customer advocates, environmental and business interests and other stakeholders. The PUC found the settlement to be in the public interest following a comprehensive review with a minor modification related to net metering eligibility.
"This decision reflects a thorough and rigorous review of the company's request and past performance," said Christine Martin, President of PPL Electric Utilities. "This strong outcome supports our commitment to deliver safe and reliable electric service to our customers. It enables us to continue making critical investments to strengthen reliability — helping reduce outages and operate more efficiently — while expanding protections and support for the customers and communities we serve."
Strengthening reliability and customer support
PPL Electric will make targeted investments to enhance system performance and resilience, including replacing aging infrastructure, expanding vegetation management, advancing smart grid technology and improving customer service systems. These investments are critical as the company responds to more frequent and severe weather.
The settlement also delivers meaningful support to customers — particularly those facing financial challenges — through expanded low-income assistance, enhanced screening for eligibility and no reconnection fees for income-eligible customers. PPL Electric will also continue offering flexible payment arrangements, energy-saving tools and programs to help customers better manage their bills.
Protecting customers as demand grows
As part of the decision, the company has established a new large-load customer rate class designed to support system growth while protecting existing customers. The new rate class includes binding long-term financial and usage commitments, including a minimum 10-year requirement for large users such as data centers, helping ensure infrastructure costs are paid by the large load customers and not inappropriately shifted to other customers.
Beginning in 2027, $11 million annually in low-income program assistance will be assigned to these large-load customers through a non-bypassable charge, providing important assistance to residential customers who need support while reducing these costs for other residential customers.
"As electricity demand grows, our priority is to maintain reliability, transparency and fairness," Martin said. "These provisions ensure customers driving new infrastructure needs pay their share and existing customers are protected while supporting continued investment and economic growth."
Implementation and customer impact
The decision will result in a 3.23% increase to residential customer bills. Bill changes based on estimated total bills as of July 1, 2026, are as follows:
Residential (1,000 kWh/month): $6.48 increase/month Commercial (1,000 kWh / 3 kW): $4.08 increase/month Industrial (150,000 kWh / 500 kW): $332.54 increase/month As part of the decision, PPL Electric will not increase distribution base rates for at least two years following implementation. This marks the company's first base rate increase since 2016 and continues a longstanding focus on managing costs and providing the reliable electric service our customers depend on.
"We thank the Shapiro Administration for constructive engagement in our rate case and we share the Governor's focus on affordability as outlined in his recent statement of principles," said Martin. "While this rate case was settled prior to the Governor's letter, PPL Electric looks forward to engaging with the Governor's Special Counsel to fulfill the expectations of those principles in future rate case filings."
Customers can learn more about assistance programs, payment options and energy-saving resources at pplelectric.com.
To learn more about the filings visit pplelectric.com/rateinfo.
About PPL Electric Utilities
PPL Electric Utilities delivers safe, reliable and affordable electricity to 1.5 million homes and businesses in eastern and central Pennsylvania. It regularly ranks among the country's best utility companies for reliability and customer satisfaction. PPL Electric Utilities is a major employer and an active supporter of the communities it serves. It is a part of the PPL Corporation (NYSE: PPL) family of companies. Visit pplelectric.com or connect on social media via Facebook, X and Instagram for energy efficiency tips, bill help information, guidance on shopping for an electricity supplier, storm updates and more.
Note to Editors: Visit our media website at https://news.pplweb.com/ for additional news and background about PPL Corporation.
Contact: For news media: Dana Burns, [email protected], 610-774-5997
PPL Electric Utilities
, /PRNewswire/ -- PPL Electric Utilities is pleased to report that, following the Pennsylvania Public Utility Commission's approval of its distribution rate case settlement with a minor modification, all parties to the joint settlement have reaffirmed their support and do not intend to withdraw.
The Company has submitted a letter to the rate case docket (R-2025-3057164) reflecting this continued support among stakeholders.
"We appreciate the parties' ongoing commitment to working constructively throughout this extensive review and for representing their constituents so effectively," said Christine Martin, President of PPL Electric Utilities. "As reflected in the Commission's decision, this settlement strikes an important balance by supporting affordability for customers while enabling the critical investments needed to serve our communities safely and reliably."
About PPL Electric Utilities
PPL Electric Utilities delivers safe, reliable and affordable electricity to 1.5 million homes and businesses in eastern and central Pennsylvania. It regularly ranks among the country's best utility companies for reliability and customer satisfaction. PPL Electric Utilities is a major employer and an active supporter of the communities it serves. It is a part of the PPL Corporation (NYSE: PPL) family of companies. Visit pplelectric.com or connect on social media via Facebook, Twitter and Instagram for energy efficiency tips, bill help information, guidance on shopping for an electricity supplier, storm updates and more.
Note to Editors: Visit our media website at https://news.pplweb.com/ for additional news and background about PPL Corporation.
Contact: For news media: Dana Burns, [email protected], 610-774-5997
PPL Electric Utilities
In the latest trading session, PPL (PPL - Free Report) closed at $35.74, marking a +1.65% move from the previous day. The stock outperformed the S&P 500, which registered a daily loss of 2.65%. Elsewhere, the Dow saw a downswing of 1.35%, while the tech-heavy Nasdaq depreciated by 4.18%.
Prior to today's trading, shares of the energy and utility holding company had lost 4.38% was narrower than the Utilities sector's loss of 4.57% and lagged the S&P 500's gain of 5.47%.
The investment community will be closely monitoring the performance of PPL in its forthcoming earnings report. The company is predicted to post an EPS of $0.35, indicating a 9.38% growth compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $2.15 billion, up 6.19% from the prior-year quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.95 per share and revenue of $9.57 billion. These totals would mark changes of +7.73% and +5.81%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for PPL. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Right now, PPL possesses a Zacks Rank of #4 (Sell).
With respect to valuation, PPL is currently being traded at a Forward P/E ratio of 18.05. This indicates a premium in contrast to its industry's Forward P/E of 17.88.
We can also see that PPL currently has a PEG ratio of 2.4. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the Utility - Electric Power industry held an average PEG ratio of 2.59.
The Utility - Electric Power industry is part of the Utilities sector. With its current Zacks Industry Rank of 152, this industry ranks in the bottom 38% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Key Takeaways PPL's new PA distribution rates start July 1, 2026, and are expected to add $275M a year. PPL says the added revenues support grid modernization and infrastructure tied to rising data-center demand.PPL plans $23B in regulated capex for 2026-2029 and targets 6-8% annual earnings growth through 2029. PPL Corporation (PPL - Free Report) is benefiting from the implementation of new rates across its regulated utility operations. This helps recover investments made in grid modernization and infrastructure upgrades while providing funding for ongoing capital investment programs. Higher rates boost revenues, strengthen cash flow and support earnings stability.
Recently, PPL Electric Utilities, the regulated electric distribution subsidiary of PPL, received approval from the Pennsylvania Public Utility Commission for new distribution rates effective July 1, 2026. Per the approval, new rates are expected to increase the company’s total revenues by $275 million annually.
This will help fund investments in transmission and distribution infrastructure, smart-grid technologies and vegetation management. The settlement also includes provisions to support low-income customers and establishes a new rate structure for large-load customers, such as data centers.
As part of the approved rate plan, PPL Electric Utilities will continue to offer flexible payment arrangements and energy-efficiency programs to help customers manage their electricity expenses. These measures include payment plans that allow customers to spread their bills over time, as well as tools and programs designed to reduce energy consumption through greater efficiency. This reflects the company's commitment to balancing infrastructure investments with customer affordability.
PPL projects a regulated capital investment of $23 billion during 2026-2029 and targets 6-8% annual earnings growth through 2029. The company’s systematic investments have helped to improve service reliability and reduce outages. The new rates will support these infrastructure investments by generating a stable revenue stream and helping achieve targeted earnings growth.
Utilities Benefit From Rate RevisionNo doubt, rate increases raise customers' utility bills, adding to their financial burden and pressure on household budgets. However, rate revisions are essential for maintaining and upgrading infrastructure and enabling utilities to efficiently serve growing customer demand.
In March 2026, American Water Works' (AWK - Free Report) unit, West Virginia American Water, received approval for new rates effective March 1, 2026. It is expected to generate nearly $20.5 million in additional annual revenues.
In January 2026, American States Water's (AWR - Free Report) unit, Golden State Water, received approval for second-year rate increases effective Jan. 1, 2026. It is expected to increase annual revenues by nearly $32 million.
PPL’s Earnings EstimatesThe Zacks Consensus Estimate for 2026 and 2027 earnings per share indicates an increase of 7.73% and 8.21%, respectively, year over year.
Image Source: Zacks Investment Research
Debt to CapitalPPL's debt-to-capital ratio currently stands at 57.40%, lower than the electric power industry’s 59.94%.
Image Source: Zacks Investment Research
PPL’s Stock Price PerformanceIn the past six months, the company’s shares have gained 5.9% compared with the industry’s 5.2% growth.
Image Source: Zacks Investment Research
PPL’s Zacks RankPPL currently has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Mammoth Energy Services (NASDAQ: TUSK - Get Free Report) and Kinetik (NYSE: KNTK - Get Free Report) are both energy companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, earnings, valuation, institutional ownership, dividends, analyst recommendations and profitability. Analyst Recommendations This is a breakdown of current
Kinetik Holdings(KNTK +1.07%)delivers midstream infrastructure and services to oil and gas producers in the Texas Delaware Basin.
Zimmer Partners, LP disclosed a new stake in Kinetik Holdings in a February 17, 2026, SEC filing, acquiring 2,735,400 shares in the fourth quarter. The estimated transaction value is $98.61 million, based on quarterly average pricing.
What happenedAccording to a recent SEC filing dated February 17, 2026, Zimmer Partners, LP reported acquiring 2,735,400 shares of Kinetik Holdings during the fourth quarter. The estimated transaction value was $98.61 million, based on the quarter's average share price. The quarter-end position value also increased by $98.61 million, reflecting both share purchases and any price movement during the reporting period.
What else to knowThis was a new position for Zimmer Partners, LP, representing 2.6% of its $3.80 billion in 13F reportable AUM as of Dec. 31, 2025.
Top holdings after the filing:
NYSE:ES: $258.82 million (6.8% of AUM)NYSE:WELL: $207.28 million (5.5% of AUM)NASDAQ:XEL: $202.33 million (5.3% of AUM)NYSE:NI: $161.62 million (4.3% of AUM)NYSE:KGS: $159.76 million (4.2% of AUM)Company OverviewMetricValuePrice (as of market close 3/20/26)$45.93Market Capitalization$2.97 billionRevenue (TTM)$1.74 billionDividend Yield7.07%Company SnapshotProvides midstream services including gathering, transportation, compression, processing, and treating of natural gas, natural gas liquids, crude oil, and water.Operates midstream infrastructure in the Texas Delaware Basin, providing services to companies that produce natural gas, natural gas liquids, crude oil, and water.Provides services to companies that produce natural gas, natural gas liquids, crude oil, and water in the Texas Delaware Basin.Kinetik Holdings is a leading midstream energy company with a significant presence in the Texas Delaware Basin, serving as a critical infrastructure provider for the region's oil and gas producers. The company leverages its integrated asset base and long-term customer contracts to maintain stable cash flows and a competitive dividend yield. Its strategic focus on essential midstream services positions it as a key partner for upstream operators seeking reliable transportation and processing solutions.
What this transaction means for investorsZimmer Partners, a New York-based investment firm, recently disclosed a fourth-quarter (the three months ending on Dec. 31, 2025) purchase of nearly $99 million worth of Kinetik Holdings, an energy stock. Here are some key takeaways for investors.
Kinetik is a midstream energy company. It provides the intermediary processes that help turn raw natural gas and crude oil into the fuels that end consumers use to power vehicles, factories, and homes.
Recent reports suggest Kinetik could be a takeover target. According to reports, Kinetik is considering a sale to Western Midstream. Shares of Kinetik are up 27% year to date.
The recent spike in energy prices may have many retail investors pondering energy stocks. One way to gain exposure to the sector is through a diversified exchange-traded fund (ETF). The State Street Energy Select Sector SPDR ETF(XLE +0.99%), for example, offers broad-based exposure and charges only 0.08% in fees.
Chickasaw Capital Management LLC grew its position in Kinetik Holdings Inc. (NYSE: KNTK) by 3.6% during the undefined quarter, according to the company in its most recent disclosure with the SEC. The firm owned 1,137,460 shares of the company's stock after purchasing an additional 39,013 shares during the period. Kinetik comprises about 1.7%
Goldman Sachs is the acknowledged leader in the investment landscape on Wall Street and worldwide. The firm’s top-notch research department continues to provide institutional and high-net-worth clients with the best ideas across the investment spectrum and is likely to do so for years to come. Founded in 1869, Goldman Sachs is the world’s second-largest investment bank by revenue and ranks 32nd on the Fortune 500 list of the largest U.S. corporations by total revenue. The Wall Street white-glove giant offers financing, advisory services, risk distribution, and hedging for the firm’s institutional and corporate clients. In addition, it provides advice, investing, and execution for institutions and individuals across public and private markets. At 24/7 Wall St., we have followed the company’s research for 15 years to bring our readers top stock ideas.
With war raging in the Middle East and oil prices soaring, we were eager to see Goldman Sachs’ top picks across a wide range of energy subsectors. Five top companies are strong buys, and all make sense for investors looking to add energy now and also willing to add solid companies for long-term sector strength. The top energy picks at Goldman Sachs range from a large-cap exploration and production giant to midstream leaders with rich dividends to energy services leaders that offer incredible value now. Obviously, all are rated Buy and have solid upside to their individual price targets.
The Goldman Sachs research team noted this:
Amid heightened geopolitical volatility, investors are looking for stocks with compelling valuations based on mid-cycle prices, recognizing that further upside could emerge if commodity prices remain strong. This week in the Pulse, we ask our senior analyst team what they estimate stocks in their coverage are currently discounting in terms of either a mid-cycle commodity price or a normalized return. Teams discuss what they see the market currently pricing in and highlight stocks they view as undervalued in the current market environment.
Why we recommend Goldman Sachs stocks
Goldman Sachs Research ranks among the best for its unmatched breadth—covering over 3,000 securities, 45+ economies, and all major markets—and rigorous, data-driven analysis. The team delivers thousands of proprietary forecasts, models, and unique indicators, backed by top-tier global analysts and innovative thought leadership on macro, industries, and trends, earning consistent recognition as a trusted resource for institutional investors and high-net-worth investors.
ConocoPhillips The big always gets bigger, and ConocoPhillips (NYSE: COP | COP Price Prediction) completed a $22.5 billion purchase of Marathon Oil this time last year. This deal added high-quality assets, particularly in the Eagle Ford and Bakken shales, to the company’s portfolio. This exploration and production company offers a solid dividend yield of 2.39%.
Goldman Sachs said this in the research report:
We estimate that ConocoPhillips, on the US Conviction List, is currently discounting a mid-cycle Brent price of around $73/b in 2027-2028. On this basis, it stands out as an undervalued name in our Integrated Oils coverage. We find the company poised to achieve a 20-25% free cash flow per share CAGR through 2030, with growth underpinned by four major projects.
Its Alaska segment primarily explores for, produces, transports, and markets crude oil, natural gas, and natural gas liquids (NGLs). The Lower 48 segment comprises operations in the 48 contiguous states of the United States and the Gulf of America. In contrast, Canadian operations consist of the Surmont oil sands development in Alberta, the liquids-rich Montney unconventional play in British Columbia, and commercial operations.
The Europe, Middle East, and North Africa segment consists of operations principally located in:
The Norwegian sector of the North Sea The Norwegian Sea Qatar Libya Equatorial Guinea Commercial and terminalling operations in the United Kingdom The Asia Pacific segment has exploration and production operations in China, Malaysia, and Australia, as well as commercial operations in China, Singapore, and Japan. The Other International segment includes interests in Colombia as well as contingencies associated with prior operations in other countries.
The Goldman Sachs target price is $144.
Halliburton This is one of the leaders in the energy services sector, paying a 1.75% dividend and offering solid upside from current levels. Halliburton (NYSE: HAL) is a provider of products and services to the energy industry and operates through two segments: Completion and Production, and Drilling and Evaluation.
The Goldman Sachs analysts noted this:
We continue to highlight Halliburton for balanced exposure across international and North America activity markets, as well as additional value through the company’s partnership and equity stake in VoltaGrid, which offers exposure to the Behind-the-Meter theme.
The Completion and Production delivers cementing, stimulation, specialty chemicals, intervention, pressure control, artificial lift, and completion products and services. The segment consists of:
Artificial Lift Cementing Completion Tools Pipeline and Process Services Production Enhancement Production Solutions The Drilling and Evaluation segment provides field and reservoir modeling, drilling, fluids, evaluation, and precise wellbore placement solutions that enable customers to model, measure, drill, and optimize their construction activities. Its product service lines include:
Baroid Drill bits and services Halliburton project management Landmark software and services Sperry drilling Testing Subsea Wireline Perforating Goldman Sachs has a $44 target price for the shares.
Kinetik While well off the radar of many investors, this midstream leader has huge total return potential and pays a solid 6.48% dividend. Kinetik (NYSE: KNTK) is an integrated Permian-to-Gulf Coast midstream company operating in the Delaware Basin. It offers comprehensive gathering, transportation, compression, processing, and treating services for companies that produce natural gas, natural gas liquids, crude oil, and water.
Goldman Sachs said this about the company:
The balance of our coverage, which is more oil/liquids-focused, is also trading above mid-cycle: ~10.1x 2027, or ~0.5-1.0x above what we would consider typical. We believe this reflects increasing investor expectations that midstream companies can capture higher marketing gains from commodity price volatility (similar to 2022-23) in the near-term, and that elevated commodity prices could drive higher US production and thus higher midstream throughout growth over the medium- to long-term.
Its segments include Midstream Logistics and Pipeline Transportation.
The Midstream Logistics segment provides gas gathering and processing services with over 3,900 miles of low and high-pressure steel pipeline located throughout the Delaware Basin, including over 2,300 miles of gas pipeline. It operates under three streams:
Gas gathering and processing Crude oil gathering, stabilization, and storage services Produced water gathering and disposal The Pipeline Transportation segment consists of equity investment interests in three Permian Basin pipelines that access various points along the United States Gulf Coast, Kinetik NGL Pipeline, and Delaware Link Pipeline.
The Goldman Sachs target price is $49.
Ovintiv While likely off the radar for many, this is another solid value energy idea with a 1.93% dividend. Ovintiv (NYSE: OVV) is an oil and natural gas exploration and production company focused on developing its multi-basin portfolio of assets in the United States and Canada.
Goldman Sachs analysts noted this:
We reiterate our Buy rating on OVV with an increased price target and view OVV as an incrementally attractive oily E&P equity given the uplift from higher commodity prices, which should drive excess FCF generation versus prior expectations, allowing OVV to continue reducing the company’s net debt while supporting share repurchases that could further close the valuation dislocation of the stock relative to oily E&P peers.
Its operations include the marketing of oil, natural gas, and NGLs. Its USA Operations segment includes the exploration for, development of, and production and marketing of oil, NGLs, natural gas, and other related activities within the United States. The Canadian Operations segment includes the same activities within Canada.
The company has assets in:
Anadarko Basin, a liquids-rich play located in west-central Oklahoma, spanning Blaine, Canadian, Custer, Dewey, Garvin, Grady, Kingfisher, McClain, and Stephens counties. Montney Basin, a condensate and natural gas play located in northwest Alberta and northeast British Columbia. Permian Basin, the largest, most prolific oil-and-gas-producing region in the United States, is located in West Texas and southeastern New Mexico. The Goldman Sachs target price is $66.
SLB Formerly known as Schlumberger, SLB (NYSE: SLB) is another industry giant that pays a 2.18% dividend. The analysts said this about the company in the report:
We anticipate SLB to experience the highest rate of change after the end of the supply disruption, as the company is one of the most exposed to the region.
The global technology company that operates in four segments:
Digital & Integration combines its digital solutions and data products with its integrated Asset Performance Solutions (APS) offering. Reservoir Performance comprises reservoir-centric technologies and services that optimize reservoir productivity and performance. Well Construction combines the full portfolio of products and services to optimize well placement and performance, maximize drilling efficiency, and improve wellbore assurance. The segment provides services and products to operators and drilling rig manufacturers for well design and construction. Production Systems develops technologies and provides knowledge that enhances production and recovery from subsurface reservoirs to the surface, into pipelines, and to refineries. Goldman Sachs’ $60 target price is almost 12% above current levels.
HOUSTON & MIDLAND, Texas--(BUSINESS WIRE)--Kinetik Holdings Inc. (NYSE: KNTK) (“Kinetik” or the “Company”) has declared a cash dividend of $0.81 per share, or $3.24 per share on an annualized basis. The announced quarterly dividend will be paid on Friday, May 1, 2026 to shareholders of record as of market close on Friday, April 24, 2026.
Kinetik will host its first quarter 2026 results conference call on Thursday, May 7, 2026 at 8:00 am Central Time (9:00 am Eastern Time). The Company will issue its earnings release after market close on Wednesday, May 6, 2026. The text of the earnings release, the accompanying presentation and link to the live webcast will be available on the Company’s website at www.ir.kinetik.com. A replay of the conference call will be available on the website following the call.
Kinetik previously implemented a Dividend Reinvestment Plan (the “DRIP” or the “Plan”) open to all shareholders. A complete description of the Plan is included in the Company’s Form S-3 registration statement filed with the SEC on July 12, 2024 and is posted on the Company’s website at www.kinetik.com.
To participate, shareholders of record may register online by visiting the Broadridge website at shareholder.broadridge.com/KNTK or by contacting Broadridge Corporate Issuers, LLC, the Plan Administrator, by telephone toll free from inside the United States at 1-(877)-830-4936 or outside of the United States at 1-(720)-378-5591. Shareholders may also contact the Plan Administrator in writing at Broadridge Shareholder Services, Broadridge Corporate Issuer Solutions, LLC, PO Box 1342, Brentwood, NY 11717-0718. Please include a reference to Kinetik Holdings Inc. in all correspondence. Shareholders who own common stock through a broker should consult their broker regarding participation in the Plan.
About Kinetik Holdings Inc.
Kinetik is a fully integrated, pure-play, Permian-to-Gulf Coast midstream C-corporation operating in the Delaware Basin. Kinetik is headquartered in Houston and Midland, Texas. Kinetik provides comprehensive gathering, transportation, compression, processing and treating services for companies that produce natural gas, natural gas liquids, crude oil and water. Kinetik posts announcements, operational updates, investor information and press releases on its website, www.kinetik.com.
Eagle Global Advisors LLC grew its holdings in shares of Kinetik Holdings Inc. (NYSE:KNTK – Free Report) by 48.7% during the fourth quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 668,961 shares of the company’s stock after buying an additional 218,981 shares during the period. Kinetik makes up 0.9% of Eagle Global Advisors LLC’s investment portfolio, making the stock its 26th largest holding. Eagle Global Advisors LLC owned about 0.41% of Kinetik worth $24,116,000 as of its most recent SEC filing.
Other institutional investors and hedge funds have also recently modified their holdings of the company. CWM LLC boosted its holdings in shares of Kinetik by 89.8% during the 4th quarter. CWM LLC now owns 744 shares of the company’s stock worth $27,000 after buying an additional 352 shares in the last quarter. Signaturefd LLC boosted its holdings in shares of Kinetik by 101.5% during the 4th quarter. Signaturefd LLC now owns 802 shares of the company’s stock worth $29,000 after buying an additional 404 shares in the last quarter. Aster Capital Management DIFC Ltd bought a new position in shares of Kinetik during the 3rd quarter worth approximately $54,000. Advisory Services Network LLC bought a new position in shares of Kinetik during the 3rd quarter worth approximately $55,000. Finally, GAMMA Investing LLC raised its position in shares of Kinetik by 569.6% during the fourth quarter. GAMMA Investing LLC now owns 1,761 shares of the company’s stock worth $63,000 after purchasing an additional 1,498 shares during the period. 21.11% of the stock is currently owned by institutional investors.
Analyst Ratings Changes A number of brokerages have recently weighed in on KNTK. Citigroup upped their target price on Kinetik from $46.00 to $51.00 and gave the stock a “buy” rating in a research report on Monday, March 2nd. UBS Group lowered their target price on Kinetik from $49.00 to $48.00 and set a “neutral” rating on the stock in a research report on Monday, March 16th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Kinetik in a research report on Thursday, January 22nd. Wolfe Research lowered Kinetik from an “outperform” rating to a “peer perform” rating in a research report on Tuesday, January 27th. Finally, Zacks Research raised Kinetik from a “strong sell” rating to a “hold” rating in a research report on Thursday, March 26th. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and six have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $48.08.
Check Out Our Latest Stock Report on KNTK
Insider Buying and Selling In related news, insider Trevor Howard sold 1,619 shares of the stock in a transaction on Wednesday, March 4th. The stock was sold at an average price of $46.92, for a total value of $75,963.48. Following the completion of the sale, the insider directly owned 249,795 shares of the company’s stock, valued at approximately $11,720,381.40. This represents a 0.64% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider Matthew Wall sold 3,222 shares of the stock in a transaction on Wednesday, March 4th. The shares were sold at an average price of $46.92, for a total value of $151,176.24. Following the completion of the sale, the insider directly owned 585,556 shares of the company’s stock, valued at $27,474,287.52. The trade was a 0.55% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 4,007,748 shares of company stock valued at $179,763,536. 3.83% of the stock is owned by corporate insiders.
Kinetik Stock Up 0.5% Shares of NYSE:KNTK opened at $46.75 on Wednesday. The firm has a market capitalization of $7.58 billion, a price-to-earnings ratio of 18.19, a PEG ratio of 1.53 and a beta of 0.66. The stock’s 50 day moving average is $45.71 and its 200-day moving average is $39.97. Kinetik Holdings Inc. has a twelve month low of $31.33 and a twelve month high of $49.55.
Kinetik (NYSE:KNTK – Get Free Report) last released its quarterly earnings results on Thursday, February 26th. The company reported $2.16 EPS for the quarter, beating analysts’ consensus estimates of $0.15 by $2.01. The business had revenue of $430.42 million during the quarter. Kinetik had a negative return on equity of 32.70% and a net margin of 29.23%.The company’s quarterly revenue was up 11.5% compared to the same quarter last year. During the same period in the previous year, the company posted $0.01 earnings per share. Equities research analysts anticipate that Kinetik Holdings Inc. will post 0.98 earnings per share for the current fiscal year.
Kinetik Profile (Free Report)
Kinetik (NYSE: KNTK) is a publicly listed midstream energy company focused on the development, operation and management of natural gas infrastructure across the United States. The company’s core business activities include the gathering, compression, processing, storage and transportation of natural gas, serving producers, utilities and industrial consumers. By integrating a suite of midstream services under a single platform, Kinetik aims to provide efficient, cost-effective and reliable solutions across the natural gas value chain.
The company was established in 2021 when assets were acquired from Talen Energy by a subsidiary of ArcLight Capital Partners, forming a comprehensive portfolio of pipelines, compression facilities and underground storage assets.
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HOUSTON & MIDLAND, Texas--(BUSINESS WIRE)--Kinetik Holdings Inc. (NYSE: KNTK) (“Kinetik” or the “Company”) today reported financial results for the quarter ended March 31, 2026.
For the three months ended March 31, 2026, Kinetik reported net loss including noncontrolling interest of $5.1 million, Adjusted EBITDA1 of $251.2 million, Distributable Cash Flow1 of $180.8 million, and Free Cash Flow1 of $101.4 million.
Highlights
Delivered record first quarter 2026 financial results, driven by strong execution across the Company Amended multiple Durango gas gathering and processing agreements with a large existing customer, extending contract terms to 2039 and increasing the original dedicated acreage position in New Mexico Executed several new agreements with customers in Texas and New Mexico for gas, water, and crude midstream services Received approvals from the Bureau of Land Management and the New Mexico Oil Conservation Division to fully proceed with the acid gas injection and sour conversion project at Kings Landing with expected in-service by year-end 2026 Secured additional Gulf Coast pricing for 2028 through 2030 that further mitigates Waha natural gas exposure Affirming full year 2026 Financial Guidance: Adjusted EBITDA1 guidance of $950 million to $1,050 million Capital Expenditures2 guidance of $450 million to $510 million (including maintenance) CEO Commentary
“Kinetik delivered a strong start to 2026, reflecting the strategic positioning of the business, as well as successful commercial and operational execution,” said Jamie Welch, Kinetik’s President & Chief Executive Officer. “Accounting for the divestiture of our stake in EPIC Crude Holdings LP (“EPIC Crude”), first quarter 2026 Adjusted EBITDA1 of $251 million represents a new quarterly record for the Company. Our financial performance was above internal expectations and reinforces our confidence in our 2026 guidance.”
“While geopolitical tensions in the Middle East have introduced near-term commodity price volatility, Kinetik's fee-based, domestic midstream business model provides meaningful insulation. Elevated crude prices continue to support our oil-weighted customers’ well economics, while gas price-sensitive customers have deferred some 2026 activity in response to negative Waha pricing; so on balance, we have not observed a material impact to producer activity levels for 2026 across our footprint. However, when looking ahead, we have seen and are continuing to see customers pull forward activity to early 2027, setting up for a strong year that coincides with new Permian egress capacity coming online.”
Welch added, “Year to date through April, the Waha Hub is even more oversupplied and volatile than our original expectations with Waha gas daily averaging negative $2.37 per Mmbtu. We continue to experience price-related volume curtailments from our gas price-sensitive customers. While we are revising our 2026 processed gas volume growth assumptions to reflect these dynamics, our Gulf Coast transportation position more than offsets this impact by capitalizing on wider Permian to Gulf Coast price differentials. The scale and pace of incremental residue gas takeaway capacity from the Permian Basin continues to reshape the long‑term outlook with more than 5 Bcf/d of new capacity expected to be in service by early 2027 and an additional approximately 6 Bcf/d anticipated in 2028 and 2029.”
“Against this backdrop, Kinetik is well positioned to capture the value of this structural Permian gas growth. The Durango amendments executed over the last four months, which extend roughly 75% of legacy volumes into the mid and late 2030s, the new agreements across Texas and New Mexico, and the incremental Gulf Coast natural gas pricing exposure through 2030 demonstrate our commercial strategy translating into multi-year earnings visibility.”
Financial Highlights
Three months ended March 31, 2026
(In thousands, except ratios)
Net loss including noncontrolling interest
$
(5,125)
Adjusted EBITDA1
$
251,200
Midstream Logistics Adjusted EBITDA1
$
178,921
Pipeline Transportation Adjusted EBITDA1
$
77,977
Corporate and Other Adjusted EBITDA1
$
(5,698)
Distributable Cash Flow1
$
180,831
Dividend Coverage Ratio1,3
1.4x
Capital Expenditures2
$
91,333
Free Cash Flow1
$
101,381
Net Debt1,4
$
3,854,380
Liquidity (Cash and Revolver Availability)5
$
1,120,120
Leverage Ratio1,6
3.9x
Net Debt to Adjusted EBITDA Ratio1,7
3.9x
Common stock issued and outstanding8
162,360
Dividend per share of issued and outstanding common stock
$
0.81
Segment Insights
The Midstream Logistics segment generated Adjusted EBITDA1 of $178.9 million, a 12% increase year-over-year. For the three months ended March 31, 2026, Kinetik processed natural gas volumes of 1.81 Bcf/d, a 1% increase year-over-year despite an estimated 170 Mmcf/d of Waha price-related processed gas volume shut-ins. First quarter 2026 results benefited from stronger than expected system operating performance, higher fee and commodity margins, lower unit operating costs, and wider Waha to Houston Ship Channel basis spreads, partially offset by Waha price-related production shut-ins.
The Pipeline Transportation segment generated Adjusted EBITDA1 of $78.0 million, a nearly 17% decrease year-over-year driven by the Company’s divestiture of its equity interest in EPIC Crude. Permian Highway Pipeline and Kinetik NGL Adjusted EBITDA1 grew modestly year-over-year on lower fuel costs and higher fee gross margin.
2026 Guidance Affirmed
Kinetik affirms full year 2026 Adjusted EBITDA1 guidance to be between $950 million and $1,050 million. Year-over-year processed gas volume is now estimated to grow low- to mid-single-digit percentage points. Original processed gas volume assumptions contemplated approximately 100 Mmcf/d of Waha price-related production shut-ins on average for the full year. The Company now estimates approximately 220 Mmcf/d of curtailments and additional 2026 timing adjustments to certain producer developments.
Kinetik is also maintaining its 2026 Capital Expenditures2 guidance (including maintenance) of $450 million to $510 million for the full year.
Strategic Projects & Commercial Activity
Kinetik received all approvals from the Bureau of Land Management to proceed with acid gas compression at the surface facilities and drilling of the acid gas injection well at Kings Landing, as well as the underground injection control permit from the New Mexico Oil Conservation Division for the full 20 Mmcf/d of requested total acid gas capacity. The project will enable Kings Landing to handle elevated levels of H₂S and CO₂ and remains on schedule for in-service by year-end 2026.
The ECCC Pipeline is nearing construction completion, which will connect the western portion of Kinetik’s system North to South between Eddy and Culberson counties. The project will commence in-service during the second quarter of 2026.
Kinetik continues to advance its strategy of pursuing scalable power solutions across its Delaware South position. The 40 MW behind-the-meter power generation project at Diamond Cryo is progressing with engineering, procurement, and permitting work well underway.
The Company executed an agreement with Pecos Power to connect its owned and operated intrabasin residue gas pipeline to the new 452 MW gas-fired Pecos Power Plant in Reeves County, Texas. This interconnection will be used as one of the primary sources of residue natural gas supply for the project. Pecos Power reached FID in March with commercial operations expected to commence in 2027, and the capital for the Kinetik pipeline connection will be fully reimbursed by Pecos Power.
Kinetik recently executed a series of commercial agreements that further enhance long‑term visibility across the system in Texas and New Mexico, several of which are for multi-stream services.
The Company also amended multiple legacy Durango gas gathering and processing (“G&P”) agreements with a large existing customer in New Mexico. This amendment increases acreage under the existing agreement by 12,000 gross acres, up approximately 25% versus the original dedicated acreage in Eddy County from May 2024 and extends contract terms to 2039.
In total, agreements covering approximately 75% of legacy Durango gas processed volumes have been amended in the last four months, extending terms to the mid and late 2030s, providing downstream control of plant products, increasing margin and dedicated acreage, and adding sour gas-related services. These agreements are expected to increase annual Adjusted EBITDA1 starting in 2026, which is reflected in guidance.
Kinetik secured additional Gulf Coast natural gas pricing exposure at attractive rates for the 2028 through 2030 period, building upon its downstream residue position and the continued successful execution of its commercial G&P strategy.
Conference Call & Webcast
Kinetik will host its first quarter 2026 results conference call on Thursday, May 7, 2026, at 8:00 am Central Time (9:00 am Eastern Time). To access a live webcast of the conference call, please visit the Investors section of Kinetik’s website at www.ir.kinetik.com. A replay of the conference call will be available on the website following the call.
Investor Presentation
An updated investor presentation will be available under Events and Presentations in the Investors section of the Company’s website at www.ir.kinetik.com. Information on the Company’s website does not constitute a portion of, and is not incorporated by reference into, this press release.
About Kinetik Holdings Inc.
Kinetik is a fully integrated, pure-play, Permian-to-Gulf Coast midstream C-corporation operating in the Delaware Basin. Kinetik is headquartered in Houston and Midland, Texas. Kinetik provides comprehensive gathering, transportation, compression, processing and treating services for companies that produce natural gas, natural gas liquids, crude oil and water. Kinetik posts announcements, operational updates, investor information and press releases on its website, www.kinetik.com.
Forward-looking statements
This news release includes certain statements that may constitute “forward-looking statements” for purposes of the federal securities laws. Forward-looking statements include, but are not limited to, statements that refer to projections, forecasts, outlooks, guidance or other characterizations of future events or circumstances, including any underlying assumptions. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “seeks,” “possible,” “potential,” “predict,” “project,” “prospects,” “guidance,” “outlook,” “should,” “would,” “will,” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These statements include, but are not limited to, statements about the Company’s future business strategy and plans, expectations, and objectives for the Company’s operations, including statements about strategy, synergies, technology adoption, portfolio monetization opportunities, growth, expansion, cost reduction and other capital projects and the timing and cost thereof, future operations, financial guidance, growth opportunities, the amount and timing of future shareholder returns, the Company’s projected dividend amounts and the timing thereof, and the Company’s targeted leverage and financial profile. While forward-looking statements are based on assumptions and analyses made by us that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially from our expectations. See Part I, Item 1A. Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on February 26, 2026. Any forward-looking statement made by us in this news release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement whether as a result of new information, future development, or otherwise, except as may be required by law.
Additional information
Additional information follows, including a reconciliation of Adjusted EBITDA, Distributable Cash Flow, Free Cash Flow, and Net Debt (non-GAAP financial measures) to the GAAP measures.
Non-GAAP financial measures
Kinetik’s financial information includes information prepared in conformity with generally accepted accounting principles (GAAP) as well as non-GAAP financial information. It is management’s intent to provide non-GAAP financial information to enhance understanding of our consolidated financial information as prepared in accordance with GAAP. Adjusted EBITDA, Distributable Cash Flow, Free Cash Flow, Dividend Coverage Ratio, Net Debt and Leverage Ratio are non-GAAP measures. This non-GAAP information should be considered by the reader in addition to, but not instead of, the financial statements prepared in accordance with GAAP and reconciliations from these results should be carefully evaluated. See “Reconciliation of GAAP to Non-GAAP Measures” elsewhere in this news release. This news release also includes certain forward-looking non-GAAP financial information. Reconciliations of these forward-looking non-GAAP measures to their most directly comparable GAAP measure are not available without unreasonable efforts. This is due to the inherent difficulty of forecasting the timing or amount of various reconciling items that would impact the most directly comparable forward-looking GAAP financial measure, that have not yet occurred, are out of Kinetik’s control and/or cannot be reasonably predicted. Accordingly, such reconciliation is excluded from this news release. Forward-looking non-GAAP financial measures provided without the most directly comparable GAAP financial measures may vary materially from the corresponding GAAP financial measures.
(1)
A non-GAAP financial measure. See “Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Measures” for further details.
(2)
Net of contributions in aid of construction and returns of invested capital from unconsolidated affiliates.
(3)
Dividend Coverage Ratio is Distributable Cash Flow divided by total declared dividends.
(4)
Net Debt is defined as total current and long-term debt, excluding deferred financing costs, less cash and cash equivalents.
(5)
Liquidity is calculated as cash and cash equivalents of $0.7 million plus Revolving Credit Facility availability of $1,119.4 million as of March 31, 2026.
(6)
Leverage Ratio is total debt less cash and cash equivalents divided by last twelve months Adjusted EBITDA, calculated per the Company’s credit agreement. The calculation includes EBITDA Adjustments for Qualified Projects, Acquisitions and Divestitures.
(7)
Net Debt to Adjusted EBITDA Ratio is defined as Net Debt divided by last twelve months Adjusted EBITDA.
(9)
162.4 million shares, issued and outstanding shares as of March 31, 2026, is the sum of 68.8 million shares of Class A common stock and 93.6 million shares of Class C common stock.
KINETIK HOLDINGS INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended March 31,
2026
2025
(In thousands, except per share data)
Operating revenues:
Service revenue
$
93,772
$
127,926
Product revenue
312,233
312,505
Other revenue
3,971
2,832
Total operating revenues
409,976
443,263
Operating costs and expenses:
Costs of sales (exclusive of depreciation and amortization shown separately below) (1)
188,724
223,364
Operating expenses
70,301
63,603
Ad valorem taxes
8,775
6,791
General and administrative expenses
44,200
37,592
Depreciation and amortization expenses
101,833
92,673
Gain on disposal of assets, net
(19
)
(40
)
Total operating costs and expenses
413,814
423,983
Operating (loss) income
(3,838
)
19,280
Other income (expense):
Interest and other income
167
785
Interest expense
(53,420
)
(55,714
)
Equity in earnings of unconsolidated affiliates
51,188
57,478
Total other (expense) income, net
(2,065
)
2,549
(Loss) income before income taxes
(5,903
)
21,829
Income tax (benefit) expense
(778
)
2,567
Net (loss) income including noncontrolling interest
(5,125
)
19,262
Net (loss) income attributable to Common Unit limited partners
(3,458
)
13,132
Net (loss) income attributable to holders of Class A Common Stock
$
(1,667
)
$
6,130
Net (loss) income attributable to holders of Class A Common Stock, per share
Basic
$
(0.07
)
$
0.05
Diluted
$
(0.07
)
$
0.05
Weighted-average shares
Basic
65,910
60,162
Diluted
66,684
61,001
KINETIK HOLDINGS INC.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
Three Months Ended March 31,
2026
2025
(In thousands)
Net (Loss) Income Including Noncontrolling Interests to Adjusted EBITDA
Net (loss) income including noncontrolling interest (GAAP)
$
(5,125
)
$
19,262
Add back:
Interest expense
53,420
55,714
Income tax (benefit) expense
(778
)
2,567
Depreciation and amortization expenses
101,833
92,673
Amortization of contract costs
1,950
1,656
Proportionate EBITDA from unconsolidated affiliates
70,029
87,530
Share-based compensation
20,663
20,653
Commodity hedging unrealized loss
46,987
18,127
Integration costs
368
3,538
Litigation costs
11,613
3,015
Other one-time costs or amortization
1,614
3,590
Deduct:
Interest income
167
790
Gain on disposal of assets, net
19
40
Equity in earnings of unconsolidated affiliates
51,188
57,478
Adjusted EBITDA(1) (non-GAAP)
$
251,200
$
250,017
Distributable Cash Flow(2)
Adjusted EBITDA (non-GAAP)
$
251,200
$
250,017
Proportionate EBITDA from unconsolidated affiliates
(70,029
)
(87,530
)
Returns on invested capital from unconsolidated affiliates
68,309
63,337
Interest expense
(53,420
)
(55,714
)
Unrealized gain on interest rate swaps
(3,346
)
(670
)
Maintenance capital expenditures
(11,883
)
(12,459
)
Distributable cash flow (non-GAAP)
$
180,831
$
156,981
Free Cash Flow(3)
Distributable cash flow (non-GAAP)
$
180,831
$
156,981
Growth capital expenditures
(80,227
)
(65,712
)
Investments in unconsolidated affiliates
—
(888
)
Returns of invested capital from unconsolidated affiliates
—
560
Contributions in aid of construction
777
425
Free cash flow (non-GAAP)
$
101,381
$
91,366
KINETIK HOLDINGS INC.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES (CONTINUED)
Three Months Ended March 31,
2026
2025
(In thousands)
Reconciliation of net cash provided by operating activities to Adjusted EBITDA
Net cash provided by operating activities
$
185,143
$
176,830
Net changes in operating assets and liabilities
(3,894
)
(14,878
)
Interest expense
53,420
55,714
Amortization of deferred financing costs
(1,963
)
(1,972
)
Current income tax expense
—
107
Returns on invested capital from unconsolidated affiliates
(68,309
)
(63,337
)
Proportionate EBITDA from unconsolidated affiliates
70,029
87,530
Derivative fair value adjustment and settlement
(43,641
)
(17,457
)
Commodity hedging unrealized loss
46,987
18,127
Interest income
(167
)
(790
)
Integration costs
368
3,538
Litigation costs
11,613
3,015
Other one-time cost or amortization
1,614
3,590
Adjusted EBITDA(1) (non-GAAP)
$
251,200
$
250,017
March 31,
December 31,
2026
2025
(In thousands)
Net Debt(4)
Short-term debt
$
187,100
$
165,200
Long-term debt, net
3,644,128
3,627,720
Plus: Debt issuance costs, net
23,872
25,280
Total debt
3,855,100
3,818,200
Less: Cash and cash equivalents
720
3,951
Net debt (non-GAAP)
$
3,854,380
$
3,814,249
KINETIK HOLDINGS INC.
RESULTS OF OPERATIONS BY SEGMENT
The following tables present the Segment Adjusted EBITDA of the Company’s reportable segments and reconciliations of the segment profits to consolidated income before income tax expenses for the three months ended March 31, 2026 and 2025:
Midstream Logistics
Pipeline Transportation
Corporate and Other(1)
Elimination
Consolidated
For the three months ended March 31, 2026
(In thousands)
Revenue
$
403,720
$
2,285
$
—
$
—
$
406,005
Other revenue
3,962
9
—
—
3,971
Intersegment revenue(2)
—
6,824
—
(6,824
)
—
Total segment operating revenue
407,682
9,118
—
(6,824
)
409,976
Costs of sales (excluding depreciation and amortization expense)
(188,588
)
(136
)
—
—
(188,724
)
Intersegment costs of sales
(6,824
)
—
—
6,824
—
Operating expenses(3)
(78,302
)
(774
)
—
—
(79,076
)
General and administrative expenses
(5,510
)
(260
)
(38,430
)
—
(44,200
)
Proportionate EMI EBITDA
—
70,029
—
—
70,029
Other segment items(4)
50,463
—
32,732
—
83,195
Segment Adjusted EBITDA(5)
$
178,921
$
77,977
$
(5,698
)
$
—
$
251,200
Reconciliation of Segment Adjusted EBITDA to income (loss) before income taxes
Segment Adjusted EBITDA(5)
$
178,921
$
77,977
$
(5,698
)
$
—
$
251,200
Add back:
Other interest income
—
—
167
—
167
Gain on disposal of assets, net
19
—
—
—
19
Equity in earnings of unconsolidated affiliates
—
51,188
—
—
51,188
Deduct:
Interest expense
48
—
53,372
—
53,420
Depreciation and amortization expenses
99,498
2,329
6
—
101,833
Amortization of contract costs
1,950
—
—
—
1,950
Proportionate EMI EBITDA
—
70,029
—
—
70,029
Share-based compensation
—
—
20,663
—
20,663
Commodity hedging unrealized loss
46,987
—
—
—
46,987
Integration costs
—
—
368
—
368
Litigation costs
—
—
11,613
—
11,613
Other one-time costs or amortization
1,526
—
88
—
1,614
Income (loss) before income taxes
$
28,931
$
56,807
$
(91,641
)
$
—
$
(5,903
)
Midstream Logistics
Pipeline Transportation
Corporate and Other(1)
Elimination
Consolidated
For the three months ended March 31, 2025
(In thousands)
Revenue
$ 438,025
$ 2,406
$ —
$ —
$ 440,431
Other Revenue
2,830
2
—
—
2,832
Intersegment revenue(2)
—
4,804
—
(4,804)
—
Total segment operating revenue
440,855
7,212
—
(4,804)
443,263
Costs of sales (excluding depreciation and amortization expense)
(223,360)
(4)
—
—
(223,364)
Intersegment costs of sales
(4,804)
—
—
4,804
—
Operating expenses(3)
(69,909)
(485)
—
—
(70,394)
General and administrative expenses
(7,125)
(372)
(30,095)
—
(37,592)
Proportionate EMI EBITDA
—
87,530
—
—
87,530
Other segment items(4)
24,541
—
26,033
—
50,574
Segment Adjusted EBITDA(5)
$ 160,198
$ 93,881
$ (4,062)
$ —
$ 250,017
Reconciliation of Segment Adjusted EBITDA to income (loss) before income taxes
Kinetik Holdings Inc. (KNTK - Free Report) came out with a quarterly loss of $0.07 per share versus the Zacks Consensus Estimate of $0.16. This compares to earnings of $0.05 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of -142.87%. A quarter ago, it was expected that this company would post earnings of $0.15 per share when it actually produced earnings of $2.16, delivering a surprise of +1340%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
KINETIK HLDGS, which belongs to the Zacks Oil and Gas - Field Services industry, posted revenues of $409.98 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 0.75%. This compares to year-ago revenues of $443.26 million. The company has not been able to beat consensus revenue estimates over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
KINETIK HLDGS shares have added about 39.9% since the beginning of the year versus the S&P 500's gain of 6%.
What's Next for KINETIK HLDGS?While KINETIK HLDGS has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for KINETIK HLDGS was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.22 on $409.69 million in revenues for the coming quarter and $1.02 on $2.03 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Oil and Gas - Field Services is currently in the top 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
RPC (RES - Free Report) , another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on May 7.
This oil and gas services company is expected to post quarterly earnings of $0.01 per share in its upcoming report, which represents a year-over-year change of -83.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
RPC's revenues are expected to be $396 million, up 19% from the year-ago quarter.
Amkor Technology Target of Unusually Large Options Trading (NASDAQ:AMKR)MarketBeat
Amkor Technology, Inc. (NASDAQ:AMKR - Get Free Report) was the recipient of unusually large options trading on Friday. Investors acquired 12,436 call options on the company. This is an increase of approximately 48% compared to the average volume of 8,425 call options.
NASDAQ:AMKR
Read Amkor Technology Target of Unusually Large Options Trading (NASDAQ:AMKR)
3 hours ago
CocaCola (NYSE:KO) EVP Jennifer Mann Sells 23,984 SharesMarketBeat
CocaCola Company (The) (NYSE:KO - Get Free Report) EVP Jennifer Mann sold 23,984 shares of the firm's stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $83.41, for a total value of $2,000,505.44. Following the completion of the transaction, the executive vice president owned 157,400 shares of the company's stock, valued at approximately $13,128,734. The trade was a 13.22% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
NYSE:KO
Read CocaCola (NYSE:KO) EVP Jennifer Mann Sells 23,984 Shares
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HOUSTON & MIDLAND, Texas--(BUSINESS WIRE)--Kinetik Holdings Inc. (NYSE: KNTK) (“Kinetik” or the “Company”) today announced it has reached final investment decision on Kings Landing II (“KLII”), a 300 million cubic feet per day (“Mmcf/d”) natural gas processing plant at its existing Kings Landing complex in New Mexico. KLII is a 50% increase from the originally contemplated 200 Mmcf/d capacity expansion.
“We remain excited by the continued growth and robust development activity in the Northern Delaware Basin,” said Jamie Welch, President & CEO of Kinetik. “Our decision to proceed with KLII at this expanded scale is a direct response to this activity. Today’s announcement reflects the strength of our existing acreage footprint, the accelerated pace of customer development plans, and sustained commercial momentum. Importantly, the construction and design of KLII preserves the ability to add a third 200 Mmcf/d processing plant at the Kings Landing complex.”
Upon completion of KLII in the second half of 2028, Kinetik’s system-wide processing capacity will exceed 2.7 billion cubic feet per day, with more than 700 Mmcf/d of sour gas processing capacity in northern Eddy and Lea Counties.
KLII is estimated to cost approximately $260 million. With KLII’s increased processing capacity, Kinetik now expects to be at the top end of its 2026 Capital Expenditures1 Guidance range of $450 million to $510 million.
About Kinetik Holdings Inc.
Kinetik is a fully integrated, pure-play, Permian-to-Gulf Coast midstream C-corporation operating in the Delaware Basin. Kinetik is headquartered in Houston and Midland, Texas. Kinetik provides comprehensive gathering, transportation, compression, processing and treating services for companies that produce natural gas, natural gas liquids, crude oil and water. Kinetik posts announcements, operational updates, investor information and press releases on its website, www.kinetik.com.
Forward-Looking Statements
This news release includes certain statements that may constitute “forward-looking statements” for purposes of the federal securities laws. Forward-looking statements include, but are not limited to, statements that refer to projections, forecasts, outlooks, guidance or other characterizations of future events or circumstances, including any underlying assumptions. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “seeks,” “possible,” “potential,” “predict,” “project,” “prospects,” “guidance,” “outlook,” “should,” “would,” “will,” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These statements include, but are not limited to, statements about the Company’s future business strategy and plans, expectations, and objectives for the Company’s operations, including statements about strategy, synergies, growth, expansion, and other capital projects and the timing and cost thereof, future operations, financial guidance, growth opportunities. While forward-looking statements are based on assumptions and analyses made by us that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially from our expectations. See Part I, Item 1A. Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on February 26, 2026. Any forward-looking statement made by us in this news release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement whether as a result of new information, future development, or otherwise, except as may be required by law.
Kinetik Holdings remains a compelling 'Buy' while maintaining a well-covered 6.4% dividend yield. KNTK posted record Q1 2026 adjusted EBITDA, driven by strong midstream logistics performance and favorable commodity price spreads. Growth catalysts include expanded customer contracts, Kings Landing sour gas conversion, and the ECCC pipeline, supporting long-term cash flow visibility and incremental expansion.
Kinetik remains a quality midstream player, with my buy rating supported by Kings Landing and New Mexico expansion potential. KNTK's dividend yield has increased to 6.3%, with a $0.81 quarterly payout and a robust buyback program, enhancing capital returns. Valuation is not cheap, with EV/EBITDA at 21.6x (forward 11.8x), making future upside dependent on EBITDA growth from Kings Landing and New Mexico.
Shares of agricultural chemical producer FMC Corporation (FMC +6.65%) rallied 16.8% in March, according to data from S&P Global Market Intelligence.
FMC entered March having lost significant value, with the stock having declined 72% in 2025. Last year, a crop down-cycle combined with a significant number of FMC products coming off-patent, leading to pricing pressure and lower margins.
However, the war in Iran, which broke out Feb. 28, has led to a supply crunch for certain agricultural chemical inputs, which appears to be benefiting FMC. In addition, the company's CEO appeared at an industry conference, where he said that a good-sized number of buyers were considering FMC as a potential acquisition target.
Today's Change
(
6.65
%) $
0.75
Current Price
$
12.02
FMC gets a commodities-related bounce, plus buyout talk In mid-March at the JPMorgan & Chase Industrials conference, FMC CEO Pierre Brondeau said that banks -- likely, investment banks that help broker acquisitions -- were in discussions with between five and 10 parties about a potential acquisition of FMC.
That being said, Brondeau also noted that FMC's shareholders were divided over a potential sale. After all, FMC is down significantly from its highs and has new chemicals in its development pipeline. Investors may wish to see those research and development efforts come to fruition before considering a buyout.
Still, the fact that so many parties were interested in the company might have surprised public market investors, who may have bid the stock up, given that buyout interest may lower the risk of further price declines.
And of course, the war in Iran, which broke out on the last day of February, certainly helped some commodity companies, FMC included. That's because shortly after the war began, Iran's leadership declared that any ship passing through the Strait of Hormuz would be attacked.
The Strait of Hormuz is the small waterway between Iran and Oman through which 20% of the world's oil flows. But in addition to oil, the strait is also a crucial waterway for the transport of other commodities, such as urea and ammonia, which are used to make fertilizers. That has tightened the market for agricultural chemicals a bit, which would help U.S.-based FMC. That being said, the impact on the fertilizer industry has been much more modest than on the energy industry.
Image source: Getty Images.
Can FMC continue coming back? Even though the overall picture looks better for FMC now, it's still a risky bet. The company has $4.1 billion in debt, a substantial amount on top of its $2.2 billion market cap. Furthermore, we won't really know how much FMC will benefit from the current supply crunch until the company reports earnings. Wall Street analysts only expect the benefit to be minimal, so the company could disappoint when it reports.
That being said, there is some cause for optimism. On April 6, FMC announced that its new herbicide, Isoflex, had been approved in the European Union. While Isoflex had already been approved in other geographies, the EU approval could set the company up for better financial results for the rest of this year.
All in all, FMC remains an interesting turnaround candidate, but with high risk, given the various uncertainties surrounding the war, competition, and cyclicality of the agriculture industry, as well as the desire of buyers to make a bid for the company.
NEW YORK, April 16, 2026 (GLOBE NEWSWIRE) -- Alpha FMC (“Alpha”), a leading global consultancy to the financial services industry, today announces the appointment of Zoe Kohli as Senior Partner, Global Partner Executive in its Asset & Wealth Management practice.
Zoe rejoins Alpha following senior roles at two of the world’s largest investment technology providers, where she led product, strategy, and commercial functions. She brings extensive experience at the intersection of technology and business strategy, helping clients deliver measurable outcomes through large-scale transformation programmes. She will continue to advise clients on their most complex and strategic initiatives.
In her role as Global Partner Executive, Zoe will be accountable for defining, driving, and managing Alpha’s relationship with SimCorp. She will focus on enhancing Alpha’s capabilities, driving partner value-creation initiatives, and coordinating with regional teams to deliver the full scope of Alpha’s offering to shared clients.
Joe Morant, Global Head of Asset & Wealth Management said:
“We are delighted to welcome Zoe back to Alpha at an important time for both our clients and our business. Over recent years, an increasing number of clients have selected Alpha as the delivery partner for their mission-critical investment platform initiatives. With the appointment of Zoe, the acquisition of JPSB, and investment in the wider Alpha team, we are poised for accelerated growth. We look forward to continuing to assist both new and existing clients in navigating and delivering their evolve-and-transform priorities using the SimCorp platform.”
Zoe Kohli, Senior Partner added:
“It’s fantastic to be returning to Alpha FMC. Having spent time both within Alpha and across the broader ecosystem, I’ve seen firsthand the strength of the firm’s expertise and the trust it has built with clients. Alpha stands apart in its ability to combine deep domain expertise with true global scale. I’m excited to play a role in accelerating Alpha’s continued growth and reinforcing its leadership position in the sector.”
About Alpha FMC
Alpha Financial Markets Consulting is a leading global consultancy to the financial services industry. Alpha combines highly specialist sector-focused strategy, management consulting and technology expertise to support the client transformation lifecycle. Founded in 2003, it now has over 1,540 consultants across North America, UK, Europe, MENA and APAC. Alpha has been supported by investment partner Bridgepoint, one of the world’s leading quoted private asset growth investors, since 2024.
On April 17, 2026, Old North State Wealth Management disclosed selling its entire FMC Corporation (FMC +6.65%) stake, an estimated $4.42 million trade based on quarterly average pricing.
What happenedAccording to a recent SEC filing, Old North State Wealth Management eliminated its entire stake in FMC Corporation (FMC +6.65%) by selling 295,829 shares in the first quarter. The estimated transaction value was approximately $4.42 million, based on the quarterly average share price from January through March 2026. The quarter-end value of the position dropped by $4.10 million, reflecting the combined effect of the sale and underlying price movement.
What else to knowTop holdings after the filing:NYSE: LYB: $9.62 million (4.5% of AUM)NASDAQ: AAPL: $8.10 million (3.7% of AUM)NASDAQ: AMZN: $7.02 million (3.2% of AUM)NASDAQ: NVDA: $6.88 million (3.2% of AUM)NYSE: BA: $6.76 million (3.1% of AUM)As of April 16, 2026, FMC shares were priced at $17.58, down 50% over the past year and significantly underperforming the S&P 500’s roughly 35% gain in the same period.Company overviewMetricValueRevenue (TTM)$3.47 billionNet Income (TTM)($2.24 billion)Price (as of market close April 16, 2026)$17.58Company snapshotFMC Corporation offers crop protection chemicals, including insecticides, herbicides, fungicides, biologicals, crop nutrition, and seed treatment products.The company generates revenue primarily through the development, marketing, and sale of agricultural inputs aimed at enhancing crop yield and quality, with distribution via a direct sales force and strategic partners.Main customers include growers, distributors, and professional pest and turf management providers across North America, Latin America, EMEA, and Asia.FMC Corporation is an agricultural sciences company serving a diverse client base with a suite of crop protection and plant health solutions. FMC Corporation offers a broad product portfolio of crop protection, plant health, and professional pest and turf management products.
What this transaction means for investorsThis sale appears more like a strategic exit to cut losses than just regular portfolio rebalancing, which is important for long-term investors to consider. When a fund completely divests from a position after experiencing a significant 50% drop, it often indicates diminishing confidence in a potential recovery, rather than mere portfolio adjustments.
The company's current situation sheds light on this. FMC is undergoing a challenging reset, with annual revenue dropping 18% to around $3.47 billion, resulting in a net loss of $2.24 billion, mainly due to impairments and restructuring efforts. Even moving forward, management expects another revenue decline, projecting 2026 figures to be between $3.6 billion and $3.8 billion, alongside an adjusted EBITDA decrease of up to 17%. They are also considering strategic alternatives, including a possible sale, while aiming to trim $1 billion in debt through asset disposals. Putting this in perspective regarding the portfolio, FMC was never a core holding, with an investment of about $4.4 million, especially when compared to larger stakes like LyondellBasell at $9.6 million. This type of sentiment can make the exit easier to execute.
Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Apple, Boeing, and Nvidia and is short shares of Apple. The Motley Fool has a disclosure policy.
Wall Street expects a year-over-year decline in earnings on lower revenues when FMC (FMC - Free Report) reports results for the quarter ended March 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on April 29. On the other hand, if they miss, the stock may move lower.
While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.
Zacks Consensus EstimateThis chemical producer is expected to post quarterly loss of $0.39 per share in its upcoming report, which represents a year-over-year change of -316.7%.
Revenues are expected to be $721.81 million, down 8.8% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for FMC?For FMC, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +2.06%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination indicates that FMC will most likely beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that FMC would post earnings of $1.21 per share when it actually produced earnings of $1.20, delivering a surprise of -0.83%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
FMC appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
, /PRNewswire/ -- FMC Corporation (NYSE: FMC) announced today that its board of directors declared a regular quarterly dividend of 8 cents per share, payable on July 16, 2026, to shareholders of record as of the close of business on June 30, 2026.
About FMC
FMC Corporation is a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. FMC's innovative crop protection solutions – including biologicals, crop nutrition, digital and precision agriculture – enable growers and crop advisers to address their toughest challenges economically while protecting the environment. FMC is committed to discovering new herbicide, insecticide and fungicide active ingredients, product formulations and pioneering technologies that are consistently better for the planet. Visit fmc.com to learn more and follow us on LinkedIn®.
Statement under the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995: FMC and its representatives may from time to time make written or oral statements that are "forward-looking" and provide other than historical information, including statements contained in this press release, in FMC's other filings with the SEC, and in presentations, reports or letters to FMC stockholders.
In some cases, FMC has identified these forward-looking statements by such words or phrases as "outlook", "will likely result," "is confident that," "expect," "expects," "should," "could," "may," "will continue to," "believe," "believes," "anticipates," "predicts," "forecasts," "estimates," "projects," "potential," "intends" or similar expressions identifying "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including the negative of those words or phrases. Such forward-looking statements are based on our current views and assumptions regarding future events, future business conditions and the outlook for the company based on currently available information. The forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement. These statements are qualified by reference to the risk factors included in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025 (the "2025 Form 10-K"), the section captioned "Forward-Looking Information" in Part II of the 2025 Form 10-K and to similar risk factors and cautionary statements in all other reports and forms filed with the Securities and Exchange Commission ("SEC"). We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Forward-looking statements are qualified in their entirety by the above cautionary statement.
We specifically decline to undertake any obligation, and specifically disclaims any duty, to publicly update or revise any forward-looking statements that have been made to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events, except as may be required by law.
Company continues to advance operational priorities and explore strategic options in parallel
First Quarter 2026 Highlights
Revenue of $759 million, down 4 percent versus Q1 2025 Revenue excluding India1 of $762 million, down 4 percent versus Q1 2025 (which included India) Organic revenue2 for the period declined 9 percent Consolidated GAAP net loss of $281 million, a decline of $266 million versus Q1 2025 Adjusted EBITDA of $72 million, down 40 percent versus Q1 2025 Consolidated GAAP loss of $2.25 per diluted share, down $2.13 versus Q1 2025 Adjusted loss per diluted share of $0.23, down 41 cents versus Q1 2025 Maintains 2026 Full-Year Outlook1
Revenue excluding India of $3.60 billion to $3.80 billion, a decline of 5 percent at the midpoint versus 2025 Excluding 2025 India contributions, the 2026 outlook represents a decline at the midpoint of 3 percent Adjusted EBITDA of $670 million to $730 million, a decline of 17 percent at the midpoint Adjusted earnings per diluted share of $1.63 to $1.89, a decline of 41 percent at the midpoint Free cash flow of negative $65 million to $65 million, an improvement of $165 million at the midpoint , /PRNewswire/ -- FMC Corporation (NYSE:FMC) today reported first quarter 2026 revenue of $759 million, down 4 percent versus first quarter 2025. First quarter 2026 revenue, excluding India, was $762 million, down 4 percent versus first quarter 2025, which included India. On a GAAP basis, the company reported a loss of $2.25 per diluted share in the first quarter, a decrease of $2.13 versus first quarter 2025. First quarter adjusted loss per diluted share of $0.23 was down 41 cents versus first quarter 2025.
FMC Revenue
Q1 2026
Total Revenue Change (GAAP)
(4) %
Total Revenue Change (ex-India) (Non-GAAP)
(4) %
Less: 2025 revenue for India held for sale business
(5) %
Like-for-Like Revenue Change (Non-GAAP)
1 %
First quarter sales of $762 million, excluding India, were above the midpoint of guidance and 4 percent lower than the prior year. The removal of India represented a 5 percent sales headwind. Price declined 6 percent, in line with expectations, driven by lower pricing to diamide partners, pricing actions on branded Rynaxypyr® products and a competitive market for legacy core products – particularly in Latin America. Foreign currency was a tailwind of 5 percent. Volume improved 2 percent, driven by strong growth in EMEA and North America. New active ingredient sales doubled year-over-year. Plant Health grew 6 percent.
FMC Regional Revenue ($M)
Q1 2026
Q1 2025
North America
$198
$186
Latin America
$177
$207
EMEA
$307
$273
Asia (excluding 2026 India)1
$81
$125
2026 India1
$(4)
—
Total Revenue (GAAP)
$759
$791
Note: Regional results ex. India sum to $763M due to rounding
GAAP net loss in the first quarter declined $266 million primarily due to tax charges related to an increase in valuation allowances. Lower sales, higher restructuring costs and higher interest expense also contributed to the loss during the first quarter. FMC first quarter Adjusted EBITDA was $72 million, a decrease of 40 percent from the prior-year period, driven by lower pricing and unfavorable costs. The cost increase was driven by tariffs as well as unfavorable raw material costs.
On a GAAP basis, cash from operations was negative $601 million, a decline of $56 million versus 2025, primarily driven by lower Adjusted EBITDA. Free cash flow was negative $628 million, a decline of $32 million versus Q1 2025 primarily due to lower cash from operations, partially offset by lower capital expenditures.
Strategy Update
FMC is making strong progress on its 2026 operational priorities, which are strengthening the balance sheet through targeted debt reduction of approximately $1 billion, improving the competitiveness of its core portfolio, managing the post-patent transition for Rynaxypyr® active, and driving growth of new active ingredients including Isoflex® active, fluindapyr and Dodhylex® active. In parallel, the Board-authorized evaluation of strategic alternatives announced in February 2026 is progressing, and multiple options are being evaluated. There can be no assurance that the process will result in any transaction. The company does not intend to comment further at this time, except as it may do so in the ordinary course in connection with its upcoming earnings call, or if it determines that further disclosure is appropriate or necessary.
Full Year Outlook1
The company reaffirms its full-year 2026 revenue, Adjusted EBITDA, Adjusted EPS and free cash flow guidance ranges. Full year 2026 revenue guidance1 is $3.60 billion to $3.80 billion, a decline of 5 percent at the midpoint versus prior year1. Price is expected to be lower by mid-single digits mainly due to Rynaxypyr® active, which is consistent with the company's post-patent strategy. Excluding India, volume is expected to be up modestly as increases in branded Rynaxypyr® active and new active ingredients are largely offset by reduced diamide partner orders and declines in the legacy core portfolio. India represents a 2 percent headwind1. FX is expected to be neutral. Sales of new active ingredients are expected to be between $300 million and $400 million, representing growth of over 75 percent at the midpoint versus prior year.
Adjusted EBITDA is expected to be $670 million to $730 million, a decline of 17 percent versus prior year as lower price and an FX headwind are partially offset by volume growth and favorable costs. EPS is expected to be $1.63 to $1.89, a decrease of 41 percent versus prior year, primarily due to lower Adjusted EBITDA and, to a lesser extent, increased interest expense. Free cash flow is expected to be negative $65 million to $65 million.
Second Quarter and H2 Outlook1
Second quarter revenue is expected to be in the range of $850 million to $900 million, a decline of 17 percent at the midpoint compared to second quarter 2025, primarily due to lower volume to diamide partners and the removal of India. The India inclusion in prior year represents a 5 percent headwind. Price is expected to decline mid-single digits due to competitive pressure and planned pricing actions for Rynaxypyr® in line with the post-patent strategy. FX is expected to be a low-single digit tailwind. Adjusted EBITDA is forecasted to be in the range of $130 million to $150 million, a decline of 32 percent versus the prior year as lower sales are partially offset by favorable costs. FMC expects Adjusted EPS to be in the range of $0.16 to $0.26 in the second quarter, which represents a 70 percent decrease at the midpoint versus second quarter 2025, due to lower Adjusted EBITDA as well as higher interest expense to a lesser degree.
The midpoint of first-half guidance implies a second-half sales increase of 1 percent versus prior year. Price is expected to be a mid-single digit headwind, driven by competitive market conditions for core portfolio products and pricing actions to support the branded Rynaxypyr® active strategy. Lower price and a minor FX headwind are expected to be more than offset by volume growth, driven primarily by increased sales of products with new active ingredients.
Second-half Adjusted EBITDA is expected to decrease 6 percent as lower price and a minor FX headwind are partially offset by higher volume and favorable costs. Second-half Adjusted EPS is expected to decline 15 percent compared to second half 2025, due to lower Adjusted EBITDA, higher tax, and higher interest expense.
Full-Year 2026
Outlook1
Q2 2025
Outlook1
First-Half
Outlook1
Second-Half
Outlook1
Revenue Excl.
India
$3.60 billion to
$3.80 billion
$850 million to
$900 million
$1.61 billion to
$1.66 billion
$1.99 billion to
$2.14 billion
Growth at midpoint
vs. 2025*
(5) %
(17) %
(11) %
1 %
Adjusted
EBITDA
$670 million to
$730 million
$130 million to
$150 million
$202 million to
$222 million
$468 million to
$508 million
Growth at midpoint
vs. 2025*
(17) %
(32) %
(35) %
(6) %
Adjusted
EPS^
$1.63 to $1.89
$0.16 to $0.26
$(0.07) to $0.03
$1.70 to $1.86
Growth at midpoint
vs. 2025*
(41) %
(70) %
(102) %
(15) %
^ EPS estimates assume 125.9 million diluted shares for full year, Q2 and H2; 125.3 million diluted shares for H1.
*Percentages are calculated using whole numbers. Minor differences may exist due to rounding. India excluded from 2026 guidance and H2 2025 actuals. Variances are calculated versus 2025 results, which include India in the first half of the year.
Supplemental Information
The company will post supplemental information on the web at https://investors.fmc.com, including its webcast slides for tomorrow's earnings call, definitions of non-GAAP terms and reconciliations of non-GAAP figures to the nearest available GAAP term.
Always read and follow all label directions, restrictions and precautions for use. Products listed here may not be registered for sale or use in all states, countries or jurisdictions. FMC and the FMC logo are trademarks of FMC Corporation or an affiliate.
About FMC
FMC Corporation is a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. FMC's innovative crop protection solutions – including biologicals, crop nutrition, digital and precision agriculture – enable growers and crop advisers to address their toughest challenges economically while protecting the environment. FMC is committed to discovering new herbicide, insecticide and fungicide active ingredients, product formulations and pioneering technologies that are consistently better for the planet. Visit fmc.com to learn more and follow us on LinkedIn®.
Statement under the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995: FMC and its representatives may from time to time make written or oral statements that are "forward-looking" and provide other than historical information, including statements contained in this press release, in FMC's other filings with the SEC, and in presentations, reports or letters to FMC stockholders.
In some cases, FMC has identified these forward-looking statements by such words or phrases as "outlook", "will likely result," "is confident that," "expect," "expects," "should," "could," "may," "will continue to," "believe," "believes," "anticipates," "predicts," "forecasts," "estimates," "projects," "potential," "intends" or similar expressions identifying "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including the negative of those words or phrases. Such forward-looking statements are based on our current views and assumptions regarding future events, future business conditions and the outlook for the company based on currently available information. The forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement. These statements are qualified by reference to the risk factors included in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025 (the "2025 Form 10-K"), the section captioned "Forward-Looking Information" in Part II of the 2025 Form 10-K and to similar risk factors and cautionary statements in all other reports and forms filed with the Securities and Exchange Commission ("SEC"). We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Forward-looking statements are qualified in their entirety by the above cautionary statement.
We specifically decline to undertake any obligation, and specifically disclaim any duty, to publicly update or revise any forward-looking statements that have been made to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events, except as may be required by law.
This press release contains certain "non-GAAP financial terms" which are defined on our website www.fmc.com/investors. Such terms include Adjusted EBITDA, Adjusted earnings, free cash flow and organic revenue growth. In addition, we have also provided on our website reconciliations of non-GAAP terms to the most directly comparable GAAP terms.
Although we provide forecasts for adjusted earnings per share, Adjusted EBITDA, and free cash flow (non-GAAP financial measures), we are not able to forecast the most directly comparable measures calculated and presented in accordance with GAAP. Certain elements of the composition of the GAAP amounts are not predictable, making it impractical for us to forecast. Such elements include, but are not limited to, restructuring, acquisition charges, our India held for sale business, and discontinued operations. As a result, no GAAP outlook is provided. Starting with the third quarter 2025 guidance, we provide forecasts for revenue excluding India (non-GAAP financial measure). We are not able to forecast the GAAP revenue due to potential actions we may take during the held for sale period to prepare the business for a potential buyer and other uncertainties, including customer reaction to the announcement of our intention to sell our India commercial business. In 2026, revenue, Adjusted EBITDA and Adjusted EPS outlooks provided exclude India results and variances are calculated versus 2025 results, which include India results in the first half of the year. Organic revenue growth (non-GAAP) excludes the impact of foreign currency changes and the removal of India. FMC CORPORATION
CONSOLIDATED STATEMENTS OF INCOME (LOSS)
(Unaudited)
Three Months Ended March 31,
(In millions, except per share amounts)
2026
2025
Revenue
$ 758.6
$ 791.4
Costs of sales and services
512.0
474.7
Gross margin
$ 246.6
$ 316.7
Selling, general and administrative expenses
185.1
172.0
Research and development expenses
65.5
68.7
Restructuring and other charges (income)
77.0
17.8
Total costs and expenses
$ 839.6
$ 733.2
Income from continuing operations before non-operating pension, postretirement, and
other charges (income), interest expense, net and income taxes
$ (81.0)
$ 58.2
Non-operating pension, postretirement, and other charges (income)
3.4
3.2
Interest expense, net
64.8
50.1
Income (loss) from continuing operations before income taxes
$ (149.2)
$ 4.9
Provision (benefit) for income taxes
112.1
13.5
Income (loss) from continuing operations
$ (261.3)
$ (8.6)
Discontinued operations, net of income taxes
(19.9)
(7.0)
Net income (loss)
$ (281.2)
$ (15.6)
Less: Net income (loss) attributable to noncontrolling interests
0.1
(0.1)
Net income (loss) attributable to FMC stockholders
$ (281.3)
$ (15.5)
Amounts attributable to FMC stockholders:
Income (loss) from continuing operations, net of tax
$ (261.4)
$ (8.5)
Discontinued operations, net of tax
(19.9)
(7.0)
Net income (loss)
$ (281.3)
$ (15.5)
Basic earnings (loss) per common share attributable to FMC stockholders:
Continuing operations
$ (2.09)
$ (0.06)
Discontinued operations
(0.16)
(0.06)
Basic earnings per common share
$ (2.25)
$ (0.12)
Average number of shares outstanding used in basic earnings per share computations
125.3
125.1
Diluted earnings (loss) per common share attributable to FMC stockholders:
Continuing operations
$ (2.09)
$ (0.06)
Discontinued operations
(0.16)
(0.06)
Diluted earnings per common share
$ (2.25)
$ (0.12)
Average number of shares outstanding used in diluted earnings per share computations
125.3
125.1
Other Data:
Capital additions and other investing activities
$ 15.8
$ 37.4
Depreciation and amortization expense
$ 42.0
$ 43.7
FMC CORPORATION
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
RECONCILIATION OF NET INCOME (LOSS) ATTRIBUTABLE TO FMC STOCKHOLDERS (GAAP) TO
ADJUSTED AFTER-TAX EARNINGS FROM CONTINUING OPERATIONS, ATTRIBUTABLE TO FMC
STOCKHOLDERS (NON-GAAP) (1)
(Unaudited)
Three Months Ended March 31,
(In millions, except per share amounts)
2026
2025
Net income (loss) attributable to FMC stockholders (GAAP)
$ (281.3)
$ (15.5)
Corporate special charges (income):
Restructuring and other charges (income) (a)
94.7
17.8
Non-operating pension, postretirement, and other charges (income) (b)
3.4
3.2
India held for sale business (c)
16.4
—
Income tax expense (benefit) on Corporate special charges (income) (d)
(18.3)
(4.4)
Discontinued operations attributable to FMC stockholders, net of income taxes (e)
19.9
7.0
Tax adjustment (f)
136.3
14.3
Adjusted after-tax earnings (loss) from continuing operations attributable to FMC
stockholders (non-GAAP) (1)
$ (28.9)
$ 22.4
Diluted earnings (loss) per common share (GAAP)
$ (2.25)
$ (0.12)
Corporate special charges (income) per diluted share, before tax:
Restructuring and other charges (income)
0.76
0.14
Non-operating pension, postretirement, and other charges (income)
0.03
0.03
India held for sale business
0.13
—
Income tax expense (benefit) on Corporate special charges (income), per diluted share
(0.15)
(0.04)
Discontinued operations attributable to FMC stockholders, net of income taxes per diluted share
0.16
0.06
Tax adjustments per diluted share
1.09
0.11
Diluted adjusted after-tax earnings (loss) from continuing operations per share,
attributable to FMC stockholders (non-GAAP)
$ (0.23)
$ 0.18
Average number of shares outstanding used in diluted adjusted after-tax earnings (loss) from
continuing operations per share computations
125.3
125.5
(1)
Referred to as Adjusted earnings. The Company believes that Adjusted earnings, a non-GAAP financial measure, and its presentation on a per share basis provides useful information about the Company's operating results to management, investors, and securities analysts. Adjusted earnings excludes the effects of corporate special charges, the India held for sale business, tax-related adjustments and the results of our discontinued operations. The Company also believes that excluding the effects of these items from operating results allows management and investors to compare more easily the financial performance of its underlying business from period to period.
(a)
Three Months Ended March 31, 2026:
Restructuring and other charges (income) includes restructuring charges of $94.5 million primarily comprised of $90.1 million in charges related to Project Foundation, which is management's comprehensive plan to further optimize FMC's cost structure and organizational operations. The charges for Project Foundation include non-cash asset write-off and accelerated depreciation costs of $64.7 million primarily associated with the planned exit of certain production activities; severance and employee separation costs of $6.2 million; and, other miscellaneous charges of $19.2 million, which include contract exit costs and professional service provider costs. During the three months ended March 31, 2026, we also recorded Project Focus-related costs of $4.3 million, primarily related to miscellaneous charges associated with previously implemented activities. Other charges (income) included $3.9 million of charges associated with our environmental sites and $3.7 million of other miscellaneous income.
Three Months Ended March 31, 2025:
Restructuring and other charges (income) includes restructuring charges of $13.6 million primarily related Project Focus, which included $6.6 million of professional service provider costs and other miscellaneous charges, $4.2 million of severance and employee separation costs, and accelerated depreciation of $3.1 million on assets identified for disposal in connection with the restructuring initiative. Other charges (income) of $4.2 million is comprised of $3.5 million of charges associated with our environmental sites and $0.7 million of other miscellaneous charges.
(b)
Our non-operating pension, postretirement and other charges (income) includes those costs (benefits) related to interest, expected return on plan assets, amortized actuarial gains and losses and the impacts of any plan curtailments or settlements. These are excluded from our Adjusted earnings and are primarily related to changes in pension plan assets and liabilities which are tied to financial market performance and we consider these costs to be outside our operational performance. We continue to include the service cost and amortization of prior service cost in our Adjusted earnings results noted above. These elements reflect the current year operating costs to our businesses for the employment benefits provided to active employees.
(c)
In July 2025, the Board of Directors approved a plan to divest the Company's commercial business in India in response to ongoing challenges in the country. The sale process is underway and is expected to conclude during 2026; and, therefore, the assets related to this business have been classified as held for sale since the third quarter of 2025. The business does not qualify for recognition as discontinued operations and will continue to be presented in the Company's reported GAAP results until a transaction is completed. Beginning with the third quarter of 2025, we have excluded the impact of various activities associated with the anticipated sale from our operating results for non-GAAP purposes. Refer to the table below for the adjustments related to the India held for sale business for the three months ended March 31, 2026.
Three Months Ended March 31,
Affected Line Item in the Consolidated
Statements of Income (Loss)
(In millions)
2026
2025
Operating results
$ 34.1
$ —
Revenue, Cost of sales and services, and
Selling, general and administrative expenses
Asset impairment
(20.4)
—
Restructuring and other charges (income)
Third party provider costs
2.7
—
Restructuring and other charges (income)
India held for sale business
$ 16.4
$ —
(d)
The income tax expense (benefit) on Corporate special charges (income) is determined using the applicable rates in the taxing jurisdictions in which the corporate special charge or income occurred and includes both current and deferred income tax expense (benefit) based on the nature of the non-GAAP performance measure.
(e)
Discontinued operations includes provisions, net of recoveries, for environmental liabilities and legal reserves and expenses related to previously discontinued operations and retained liabilities.
(f)
We exclude the GAAP tax provision, including discrete items, from the non-GAAP measure of income, and include a non-GAAP tax provision based upon the projected annual non-GAAP effective tax rate. The GAAP tax provision includes certain discrete tax items including, but are not limited to: income tax expenses or benefits that are not related to continuing operating results in the current year; tax adjustments associated with fluctuations in foreign currency remeasurement of certain foreign operations; certain changes in estimates of tax matters related to prior fiscal years; certain changes in the realizability of deferred tax assets and related interim accounting impacts; and changes in tax law. In 2024 and 2023, we recorded significant deferred tax assets due to various tax incentives granted to the Company's Swiss subsidiaries (the "Swiss Tax Incentives"). The initial recognition of these Swiss Tax Incentives did not impact our adjusted non-GAAP effective tax rate but will be considered annually as we realize the benefits. Management believes excluding these discrete tax items, as well as the impacts of the Swiss Tax Incentives annually as the related benefits are realized, assists investors and securities analysts in understanding the tax provision and the effective tax rate related to continuing operating results thereby providing investors with useful supplemental information about FMC's operational performance.
Three Months Ended March 31,
(In millions)
2026
2025
Tax adjustments:
Revisions to valuation allowances of historical deferred tax assets (i)
$ 124.7
$ (1.2)
Net impact of Switzerland tax incentives
(5.5)
2.8
Foreign currency remeasurement and other discrete items
17.1
12.7
Total non-GAAP tax adjustments
$ 136.3
$ 14.3
(i)
As a result of changes in global earnings mix and ongoing tax planning implemented in March 2026, we reevaluated the realizability of our historical deferred tax assets and recorded an increase to our valuation allowance in Switzerland of approximately $123 million during the three months ended March 31, 2026.
RECONCILIATION OF NET INCOME (LOSS) (GAAP) TO ADJUSTED EARNINGS FROM CONTINUING
OPERATIONS, BEFORE INTEREST, INCOME TAXES, DEPRECIATION AND AMORTIZATION, AND
NONCONTROLLING INTERESTS (NON-GAAP) (3)
(Unaudited)
Three Months Ended March 31,
(In millions)
2026
2025
Net income (loss) (GAAP)
$ (281.2)
$ (15.6)
Restructuring and other charges (income) (1)
94.7
17.8
Non-operating pension, postretirement, and other charges (income)
3.4
3.2
India held for sale business (2)
16.4
—
Discontinued operations, net of income taxes
19.9
7.0
Interest expense, net
64.8
50.1
Depreciation and amortization
42.0
43.7
Provision (benefit) for income taxes
112.1
13.5
Adjusted earnings from continuing operations, before interest, income taxes, depreciation
and amortization, and noncontrolling interests (non-GAAP) (3)
$ 72.1
$ 119.7
(1)
In the reconciliation above, favorable adjustments recorded in connection with the India held for sale business of $17.7 million for the three ended March 31, 2026 are presented in the India held for sale business line, as described in the reconciliation in note (c) above. On the consolidated statements of income (loss), these adjustments are recorded to "Restructuring and other charges (income)."
(2)
Beginning with the third quarter of 2025, we excluded the operating results of the India commercial business during the held for sale period for non-GAAP purposes. For further details on the charges and write-downs recorded in connection with the India held for sale business, refer to note (c) in the reconciliation above.
(3)
Referred to as Adjusted EBITDA. Defined as operating profit excluding restructuring and other charges (income), depreciation and amortization expense, and the India held for sale business.
RECONCILIATION OF CASH PROVIDED (REQUIRED) BY OPERATING ACTIVITIES OF CONTINUING
OPERATIONS (GAAP) TO FREE CASH FLOW (NON-GAAP) (2)
(Unaudited)
Three Months Ended March 31,
(In millions)
2026
2025
Cash provided (required) by operating activities of continuing operations (GAAP) (1)
$ (600.9)
$ (545.0)
Capital expenditures
(16.6)
(31.6)
Other investing activities
0.8
(5.8)
Capital additions and other investing activities
$ (15.8)
$ (37.4)
Cash provided (required) by operating activities of discontinued operations
(15.7)
(13.3)
Divestiture transaction costs (2)
4.3
—
Free cash flow (non-GAAP) (3)
$ (628.1)
$ (595.7)
(1)
The three months ended March 31, 2026 includes cash payments of $66.4 million primarily for restructuring activities related to the Project Focus transformation program as well as Project Foundation. The three months ended March 31, 2025 includes cash payments of $55.7 million for Project Focus.
(2)
Represents third party provider costs associated with the expected sale of our India commercial business. Proceeds from the sale of our India commercial business anticipated in 2026 will be excluded from free cash flow when received. Therefore, we have also excluded the related transaction costs from free cash flow.
(3)
Free cash flow is defined as cash provided (required) by operating activities of continuing operations (GAAP) adjusted for spending for capital additions and other investing activities as well as cash provided (required) by discontinued operations and divestiture transaction costs associated with the sale of our GSS business. We believe that this non-GAAP financial measure provides a useful basis for investors and securities analysts to evaluate the cash generated by routine business operations, including to assess our ability to repay debt, fund acquisitions and return capital to shareholders through share repurchases and dividends. Our use of free cash flow has limitations as an analytical tool and should not be considered in isolation or as a substitute for an analysis of our results under U.S. GAAP.
RECONCILIATION OF REVENUE (GAAP)
TO REVENUE EXCLUDING INDIA (NON-GAAP) (2)
(Unaudited)
Three Months Ended March 31,
(In millions)
2026
2025
Revenue (GAAP)
$ 758.6
$ 791.4
Less: Revenue from India commercial business (1)
(3.8)
—
Revenue excluding India (non-GAAP) (2)
$ 762.4
$ 791.4
(1)
Beginning with the third quarter of 2025, revenue from the India commercial business is excluded from our adjusted results during the held for sale period for non-GAAP purposes. Refer to note (c) above for further details.
(2)
Although the India held for sale business does not qualify for recognition as discontinued operations, we believe Revenue excluding India (non-GAAP) provides management and investors with useful supplemental information regarding our ongoing revenue performance.
RECONCILIATION OF REVENUE CHANGE (GAAP) TO
ORGANIC REVENUE CHANGE (NON-GAAP) (1)
(Unaudited)
Three Months Ended March 31, 2026 vs. 2025
Total revenue (GAAP) change
(4) %
Less: Revenue for India held for sale business for the three months ended
March 31, 2026
— %
Revenue excluding India (non-GAAP) change (1)
(4) %
Less: Foreign currency impact
5 %
Organic revenue (non-GAAP) change (2)
(9) %
(1)
Beginning with the third quarter of 2025, revenue from the India commercial business is excluded from our adjusted results during the held for sale period for non-GAAP purposes. Refer to note (c) above for further details.
(2)
We believe organic revenue growth (non-GAAP) provides management and investors with useful supplemental information regarding our ongoing revenue performance and trends by presenting revenue growth excluding the impact of fluctuations in foreign exchange rates and the India held for sale business.
RECONCILIATION OF NET INCOME (LOSS) ATTRIBUTABLE TO
FMC STOCKHOLDERS (GAAP) TO RETURN ON INVESTED CAPITAL ("ROIC")
NUMERATOR (NON-GAAP) AND ADJUSTED ROIC (USING NON-GAAP NUMERATOR) (1)
(Unaudited)
Twelve Months Ended
(In millions, except percentages)
March 31, 2026
Net income (loss) attributable to FMC stockholders (GAAP)
$ (2,504.7)
Interest expense, net, net of income taxes
218.7
Corporate special charges (income)
1,871.5
India held for sale business
538.1
Income tax expense (benefit) on Corporate special charges (income)
(172.0)
Discontinued operations attributable to FMC stockholders, net of income
taxes
49.5
Tax adjustments
538.3
ROIC numerator (non-GAAP)
$ 539.4
March 31, 2026
March 31, 2025
Total debt
$ 4,533.6
$ 4,003.5
Total FMC stockholders' equity
1,822.1
4,382.0
Total debt and FMC stockholders' equity (GAAP)
$ 6,355.7
$ 8,385.5
ROIC denominator (2 yr average total debt and FMC stockholders' equity)
$ 7,370.6
ROIC (using Net income (loss) attributable to FMC stockholders (GAAP)
as numerator)
(33.98) %
Adjusted ROIC (using non-GAAP numerator) (1)
7.32 %
(1)
We believe Adjusted ROIC (non-GAAP) provides management and investors with useful supplemental information regarding our utilization of capital provided by both equity and debt as well as our working capital and free cash flow management. Additionally, vesting of certain restricted stock awards granted to officers is connected to Adjusted ROIC as a performance metric.
FMC CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In millions)
March 31, 2026
December 31, 2025
Cash and cash equivalents
$ 390.9
$ 584.5
Trade receivables, net of allowance of $42.5 in 2026 and $43.3 in 2025
2,244.8
2,062.0
Inventories
1,242.6
1,219.6
Prepaid and other current assets
533.7
481.2
Assets held for sale (1)
492.9
611.7
Total current assets
$ 4,904.9
$ 4,959.0
Property, plant and equipment, net
627.5
707.4
Other intangibles, net
2,333.5
2,361.8
Deferred income taxes
1,096.0
1,215.6
Other long-term assets
457.6
443.4
Total assets
$ 9,419.5
$ 9,687.2
Short-term debt and current portion of long-term debt
$ 1,763.0
$ 1,305.1
Accounts payable, trade and other
634.1
771.0
Advanced payments from customers
196.3
453.1
Accrued and other liabilities
625.5
574.0
Accrued customer rebates
480.0
417.4
Guarantees of vendor financing
37.0
45.7
Accrued pensions and other postretirement benefits, current
3.3
3.3
Income taxes
26.6
24.0
Liabilities held for sale (1)
47.5
161.7
Total current liabilities
$ 3,813.3
$ 3,755.3
Long-term debt, less current portion
$ 2,770.6
$ 2,769.8
Long-term liabilities
985.7
1,063.2
Equity
1,849.9
2,098.9
Total liabilities and equity
$ 9,419.5
$ 9,687.2
(1)
The carrying value of the India held for sale business decreased from $450 million as of December 31, 2025 to $425.0 million as of March 31, 2026 primarily due to receivable collections during the period. The carrying value of the held for sale business is comprised of $445.4 million of net assets held for sale as presented on the consolidated balance sheet and a gain of 20.4 million related to foreign currency translation in connection with the assets identified for disposal. The foreign currency translation gains are recorded in "Accumulated other comprehensive income (loss)" on the consolidated balance sheet and will be reclassified to the consolidated statement of income (loss) upon close of the sale.
FMC CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
Three Months Ended March 31,
(In millions)
2026
2025
Cash provided (required) by operating activities of continuing operations
$ (600.9)
$ (545.0)
Cash provided (required) by operating activities of discontinued operations
(15.7)
(13.3)
Cash provided (required) by investing activities of continuing operations
(16.2)
(38.0)
Cash provided (required) by financing activities of continuing operations
FMC (FMC - Free Report) came out with a quarterly loss of $0.23 per share versus the Zacks Consensus Estimate of a loss of $0.39. This compares to earnings of $0.18 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +40.72%. A quarter ago, it was expected that this chemical producer would post earnings of $1.21 per share when it actually produced earnings of $1.2, delivering a surprise of -0.83%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
FMC, which belongs to the Zacks Agriculture - Operations industry, posted revenues of $758.6 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 5.10%. This compares to year-ago revenues of $791.4 million. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
FMC shares have added about 10% since the beginning of the year versus the S&P 500's gain of 4.3%.
What's Next for FMC?While FMC has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for FMC was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.40 on $968.24 million in revenues for the coming quarter and $1.70 on $3.67 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Agriculture - Operations is currently in the top 26% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Archer Daniels Midland (ADM - Free Report) , is yet to report results for the quarter ended March 2026. The results are expected to be released on May 5.
This agribusiness giant is expected to post quarterly earnings of $0.66 per share in its upcoming report, which represents a year-over-year change of -5.7%. The consensus EPS estimate for the quarter has been revised 2% higher over the last 30 days to the current level.
Archer Daniels Midland's revenues are expected to be $21.11 billion, up 4.6% from the year-ago quarter.
Key Takeaways FMC Q1 revenues fell 4% to $759M but topped estimates; adjusted loss of 23 cents beat forecasts.FMC saw sales growth in North America and EMEA, while Latin America and Asia ex-India declined.FMC reaffirmed 2026 outlook and sees Q2 revenues excluding India of $850M-$900M. FMC Corporation (FMC - Free Report) reported a first-quarter 2026 adjusted loss per share of 23 cents. This compares unfavorably to the year-ago quarter’s adjusted earnings per share of 18 cents. The result was narrower than the Zacks Consensus Estimate of a loss of 39 cents.
Quarterly revenues of $759 million declined 4% year over year but topped the consensus estimate of $721.8 million by 5.2%. Performance reflected favorable currency and stronger demand in select markets, partly offset by pricing pressure and partner-related volume headwinds. New active ingredient sales doubled year over year.
Profitability also declined as lower pricing and higher costs more than offset benefits from volume and currency. Tariffs and unfavorable raw material costs were the key cost headwinds, while lower R&D expenses provided some relief. The decline was also driven by tax charges related to higher valuation allowances, along with lower sales, higher restructuring costs and higher interest expense.
FMC’s Regional Sales PerformanceNorth America sales increased 6% year over year to $198 million. FMC attributed the gain to high-teens sales growth for branded products led by herbicides, alongside solid growth in Plant Health and strong Cyazypyr performance. Sales topped the consensus estimate of $185.1 million.
EMEA revenues rose 13% to $307 million on solid branded volume growth led by herbicides and Cyazypyr. Branded pricing was similar to the year-ago quarter, while registration losses were in line with expectations and represented an estimated 5% headwind. It outpaced the consensus estimate of $282.4 million.
Latin America revenues fell 14% to $177 million. FMC cited lower branded volumes mainly for core portfolio products and a competitive market for core products that pressured branded pricing, though higher growth-portfolio sales led by Cyazypyr and new actives provided a partial offset. It missed the consensus estimate of $178.7 million.
Asia revenues, excluding India, declined 36% year over year to $81 million. The company pointed to lower branded pricing in line with expectations and weaker insecticide volumes amid challenged grower economics tied to geopolitical uncertainty, partially offset by strong Cyazypyr growth. It beat the consensus estimate of $72.4 million.
FMC’s FinancialsThe company had cash and cash equivalents of $390.9 million at the end of the quarter. Long-term debt was $2,770.6 million.
FMC’s FY2026 and Q2 OutlookFMC reaffirmed its full-year 2026 outlook, calling for revenue excluding India of $3.60 billion to $3.80 billion and adjusted EBITDA of $670 million to $730 million. Adjusted earnings per diluted share are still expected in the $1.63-$1.89 range, while free cash flow is projected between negative $65 million and positive $65 million.
The company’s full-year framework assumes interest expense of $255-$275 million and an adjusted tax rate of 16-18%, with depreciation and amortization of $160-$170 million. Capital additions and other investing activities are projected at $90-$110 million. FMC also expects the India contribution loss in 2026 to be roughly $90 million of revenue and $0 million of EBITDA.
For the second quarter, FMC expects revenue excluding India of $850 million to $900 million, with adjusted EBITDA of $130 million to $150 million and adjusted earnings per diluted share of 16-26 cents. The company expects year-over-year pressure to be driven largely by reduced orders from diamide partners and the removal of India from the reported base period.
FMC’s Price PerformanceShares of FMC have lost 61.9% in the past year compared with the industry’s 21.7% rise.
Image Source: Zacks Investment Research
FMC’s Zacks Rank & Key PicksFMC currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the basic materials space are CF Industries Holdings, Inc. (CF - Free Report) , Compass Minerals International, Inc. (CMP - Free Report) and Aris Mining Corporation (ARIS - Free Report) .
CF Industries is slated to report first-quarter 2026 results on May 6. The Zacks Consensus Estimate for earnings is pegged at $2.35 per share, indicating 27.03% year-over-year growth. CF sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Compass Mineral is slated to report second-quarter fiscal 2026 results on May 6. The consensus estimate for CMP’s earnings per share is pegged at 66 cents. CMP presently carries a Zacks Rank #1.
Aris is scheduled to report first-quarter 2026 results on May 6. The Zacks Consensus Estimate for ARIS’s first-quarter earnings per share is pegged at 77 cents, indicating 381.25% year-over-year growth. ARIS carries a Zacks Rank #2 (Buy) at present.
FMC reported quarterly losses of 2 cents per share which beat the analyst consensus estimate of losses of 33 cents per share. The company reported quarterly sales of $758.600 million which beat the analyst consensus estimate of $744.406 million.
FMC affirmed its FY2026 adjusted EPS guidance of $1.63-$1.89 and sales guidance of $3.600 billion-$3.800 billion.
FMC shares fell 4.2% to trade at $14.71 on Friday.
These analysts made changes to their price targets on FMC following earnings announcement.
JP Morgan analyst Jeffrey Zekauskas maintained FMC with a Neutral and raised the price target from $15 to $16. RBC Capital analyst Arun Viswanathan maintained the stock with a Sector Perform and raised the price target from $16 to $17. Citigroup analyst Patrick Cunningham maintained FMC with a Neutral and boosted the price target from $15 to $17. Considering buying FMC stock? Here’s what analysts think:
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, /PRNewswire/ -- FMC Corporation (NYSE:FMC), a leading global agricultural sciences company, announced today it has signed a definitive agreement to sell FMC India Private Limited (FMC India) to Crystal Crop Protection Limited, a crop solutions company in India, for consideration of $252 million USD, subject to customary adjustments for cash, debt and working capital. FMC will continue to receive all cash generated from the ongoing operation of the India business until closing, primarily through monetization of working capital.
In July 2025, FMC announced its decision to divest the company's crop protection commercial business in India, enabling FMC to participate in the Indian market through a new go-to-market approach while deploying resources to its highest-growth opportunities globally. The transaction is expected to close by year-end 2026, subject to regulatory approval and other customary closing conditions. FMC intends to allocate all proceeds from the sale to debt reduction.
"Crystal Crop Protection Limited is well-positioned to serve Indian farmers with FMC's portfolio of innovative technologies, and we look forward to supporting their growth through our supply agreement," said Pierre Brondeau, FMC chairman, chief executive officer and president. "FMC remains committed to India and will continue to conduct global R&D activities and maintain global manufacturing operations in the country."
Through this transaction, Crystal Crop Protection Limited will acquire FMC India's commercial operations in the crop protection field, including a license to FMC's brands sold in India. Crystal Crop Protection Limited will also receive a preferred supply agreement for certain FMC active ingredients and formulated products, as well as preferred access to FMC's pipeline of active ingredients in India for the crop protection field.
"We are excited on signing this definitive agreement to acquire this business of FMC in India," said Ankur Aggarwal, chairman and managing director, Crystal Crop Protection Limited. "We look forward to welcoming a talented workforce into the Crystal group and aim at accelerating innovation across both chemical and biological domains of crop protection. FMC's innovative portfolio, blockbuster brands and future pipeline give us an opportunity to provide Indian farmers access to innovative products. We look forward to further enhancing and building on our relationship with FMC."
BofA Securities acted as exclusive financial adviser while Davis Polk & Wardwell LLP served as U.S. legal adviser and Khaitan & Co assisted as legal adviser for FMC on this transaction. EY acted as exclusive buy side M&A adviser to Crystal Crop Protection Limited and Shardul Amarchand Mangaldas & Co served as legal adviser. Further terms and conditions of the agreement were not disclosed.
About FMC
FMC Corporation is a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. FMC's innovative crop protection solutions – including biologicals, crop nutrition, digital and precision agriculture – enable growers and crop advisers to address their toughest challenges economically while protecting the environment. FMC is committed to discovering new herbicide, insecticide and fungicide active ingredients, product formulations and pioneering technologies that are consistently better for the planet. Visit fmc.com to learn more and follow us on LinkedIn®.
About Crystal Crop Protection Limited
Established in 1994, Crystal Crop Protection Limited is a crop solutions company with agrochemicals and seeds at the core of its offerings. It operates on a fully integrated model, that integrates robust synthesis research and development in crop protection products and natural crop solutions as well as robust seeds breeding program, with backward-integrated technology enabled manufacturing and pan-India distribution, with a farmer-centric approach. To learn more, visit www.crystalcropprotection.com
Statement under the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995: FMC and its representatives may from time to time make written or oral statements that are "forward-looking" and provide other than historical information, including statements contained in this press release, in FMC's other filings with the SEC, and in presentations, reports or letters to FMC stockholders.
In some cases, FMC has identified these forward-looking statements by such words or phrases as "outlook", "will likely result," "is confident that," "expect," "expects," "should," "could," "may," "will continue to," "believe," "believes," "anticipates," "predicts," "forecasts," "estimates," "projects," "potential," "intends" or similar expressions identifying "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including the negative of those words or phrases. Such forward-looking statements are based on our current views and assumptions regarding future events, future business conditions and the outlook for the company based on currently available information. The forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement. These statements are qualified by reference to the risk factors included in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025 (the "2025 Form 10-K"), the section captioned "Forward-Looking Information" in Part II of the 2025 Form 10-K and to similar risk factors and cautionary statements in all other reports and forms filed with the Securities and Exchange Commission ("SEC"). We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Forward-looking statements are qualified in their entirety by the above cautionary statement.
We specifically decline to undertake any obligation, and specifically disclaim any duty, to publicly update or revise any forward-looking statements that have been made to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events, except as may be required by law.
FMC Corporation (NYSE: FMC) today announced that Pierre Brondeau, FMC chairman, chief executive officer and president, and Andrew Sandifer, FMC executive vice president and chief financial officer, will speak at the BMO Global Farm to Market Chemicals Conference on May 14, 2026, at 1:15 p.m. Eastern Time. A live webcast will be available at www.fmc.com/investors.
About FMC
FMC Corporation is a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. FMC's innovative crop protection solutions – including biologicals, crop nutrition, digital and precision agriculture – enable growers and crop advisers to address their toughest challenges economically while protecting the environment. FMC is committed to discovering new herbicide, insecticide and fungicide active ingredients, product formulations and pioneering technologies that are consistently better for the planet. Visit fmc.com to learn more and follow us on LinkedIn®.
Meet FMC Corp (FMC +6.65%) -- an agricultural sciences company that serves farmers by offering crop protection technologies to increase productivity. It's been around for more than 140 years, and has some strong core values, such as "We do things the right way. We are ethical, keep our commitments, and take responsibility for our actions." And "We create innovative solutions while preserving the environment for tomorrow."
How has the company's stock performed for investors? Well, not so terrifically. Those who invested, say, $10,000 five years ago would now be holding a stake worth around $2,000. Yikes!
Image source: Getty Images.
That's an average annual loss of 27.6%, during a period when the S&P 500 averaged gains of 13.3%.
Looking forward That's a terrible result, but a more important question for current shareholders and would-be shareholders alike is where the stock is likely to go from here. Arguably, those shares seem undervalued at recent levels, with a forward-looking price-to-earnings (P/E) ratio of 9.1, well below the five-year average of 12.4.
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So what's the problem with FMC? Well, for one thing, it's carrying a lot of debt, in part due to acquisitions. It's also facing patent expirations for some key products. Worst of all, when the company reported its disappointing fourth-quarter results, management noted that it's exploring strategic options "including but not limited to the sale of the company."
Ugh, right? Well, on a more positive note, while revenue was down 12% year over year in the fourth quarter, the more recent first quarter of 2026 featured revenue down only 4%. The company is not necessarily doomed, though it has a lot of ground to regain. It's focusing on yield-boosting chemicals in a world where emerging markets will need to boost yields. It's selling its commercial India business to help pay down debt and is cutting costs.
It seems best to steer clear of FMC shares until its future is more clear and more rosy.
Selena Maranjian has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Agricultural chemicals specialist FMC (FMC +6.65%) wasn't an investor darling over the past few trading days. Mr. Market was displeased with the company's announcement that it was floating a new issue of debt securities, a flotation that was soon upsized; largely as a result, its shares were trading 9% lower week to date as of Friday afternoon, according to data compiled by S&P Global Market Intelligence.
Increasing the debt burden On Tuesday, FMC announced the impending flotation of $750 million aggregate principal amount of senior secured notes.
Image source: Getty Images.
The issue, intended for private investors, will mature in 2031. Two days later, the company significantly increased the principal to $1.2 billion and revealed that the interest rate was 8%. The issue is expected to close on Friday, June 5.
FMC said that the proceeds of the sale will fund repurchases and redemptions of an existing senior notes issue, which, in contrast to the new notes flotation, is unsecured. That matures this Oct. 1 and pays out at a rate of 3.2%. FMC added that the monies raised will additionally be used to retire other borrowings. It also aims to use these funds for "general corporate purposes."
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Not great for the balance sheet Taking on debt that'll cost 8% to retire, while borrowing pays out at just over 3%, is not going to do wonders for either FMC's balance sheet or its profit and loss statement (the latter is where a company records interest payments).
And while it's admirable that the company can finagle a higher principal amount, it's going to add that much more weight to its existing debt burden. I'd be leery, to say the least, about investing in FMC stock these days.
Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
FMC Corporation (NYSE: FMC) today announced that Andrew Sandifer, FMC executive vice president and chief financial officer, will speak at the 16th Annual Wells Fargo Industrials & Materials Conference on June 9, 2026, at 2:15 p.m. Central Time. A live webcast will be available at www.fmc.com/investors.
About FMC
FMC Corporation is a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. FMC's innovative crop protection solutions – including biologicals, crop nutrition, digital and precision agriculture – enable growers and crop advisers to address their toughest challenges economically while protecting the environment. FMC is committed to discovering new herbicide, insecticide and fungicide active ingredients, product formulations and pioneering technologies that are consistently better for the planet. Visit fmc.com to learn more and follow us on LinkedIn®.
Agricultural chemical producer FMC Corp. (FMC +6.65%) has had a difficult run in the markets. Over the past couple of years, FMC has seen some of its proprietary chemicals come off-patent. At the same time, the agriculture industry has experienced a difficult crop cycle, with low prices making it difficult for farmers to invest in additional chemicals.
Add in a fair amount of debt, and FMC's stock has plummeted 90% from its early 2022 highs.
However, FMC just announced an asset sale this month that could alleviate some of the debt pressure. With tightening global markets and a bargain-basement stock price, could the sale signal the beginning of a turnaround?
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On May 7, FMC announced that it would sell its Indian business to Crystal Crop Protection Limited, a crop chemical company based in India, for $252 million. The deal is supposed to close by the end of this year. As part of the deal, Crystal will take over FMC's commercial operations in India, while retaining a license to FMC's brands and preferred access to FMC's research and development pipeline.
FMC first announced its intention to sell its Indian business in July 2025 to reduce debt and avoid the issues that had plagued it. Last year, the company took back excess inventory that had built up in the Indian sales channel, resulting in a massive revenue reversal and decline in earnings. FMC slashed its dividend by 92% as a result.
The sale of the business will help the company avoid that complicated market, and also make a small dent in its debt load. As of March 31, FMC had over $4.5 billion in debt, so the India sale will cut that total by just about 5.6%. While only a small reduction in debt, every little bit helps.
Image source: Getty Images.
FMC's turnaround is tenuous FMC could use any help the market offers. Last quarter, both revenue and adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) fell year over year, and the first quarter of last year was not that great to begin with.
There is some optimism that FMC will benefit from the closure of the Strait of Hormuz, as that should tighten the global fertilizer market. However, those benefits didn't show up in the first quarter.
FMC is also open to selling its business outright, with its CEO stating in March that there were multiple interested parties in the company's research pipeline.
All in all, the sale of the India business is a positive step in FMC's attempted turnaround. However, it's a small one. FMC's survival will depend on how it navigates this difficult environment, the success of its new molecules in development, and whether the company attracts a buyout at a fair price. All of those are still big question marks.
A month has gone by since the last earnings report for FMC (FMC - Free Report) . Shares have lost about 11.8% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is FMC due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for FMC Corporation before we dive into how investors and analysts have reacted as of late.
FMC’s Q1 Earnings Beat Estimates on Volume Gains and FX TailwindFMC reported a first-quarter 2026 adjusted loss per share of 23 cents. This compares unfavorably to the year-ago quarter’s adjusted earnings per share of 18 cents. The result was narrower than the Zacks Consensus Estimate of a loss of 39 cents.
Quarterly revenues of $759 million declined 4% year over year but topped the consensus estimate of $721.8 million by 5.2%. Performance reflected favorable currency and stronger demand in select markets, partly offset by pricing pressure and partner-related volume headwinds. New active ingredient sales doubled year over year.
Profitability also declined as lower pricing and higher costs more than offset benefits from volume and currency. Tariffs and unfavorable raw material costs were the key cost headwinds, while lower R&D expenses provided some relief. The decline was also driven by tax charges related to higher valuation allowances, along with lower sales, higher restructuring costs and higher interest expense.
Regional Sales PerformanceNorth America sales increased 6% year over year to $198 million. FMC attributed the gain to high-teens sales growth for branded products led by herbicides, alongside solid growth in Plant Health and strong Cyazypyr performance. Sales topped the consensus estimate of $185.1 million.
EMEA revenues rose 13% to $307 million on solid branded volume growth led by herbicides and Cyazypyr. Branded pricing was similar to the year-ago quarter, while registration losses were in line with expectations and represented an estimated 5% headwind. It outpaced the consensus estimate of $282.4 million.
Latin America revenues fell 14% to $177 million. FMC cited lower branded volumes mainly for core portfolio products and a competitive market for core products that pressured branded pricing, though higher growth-portfolio sales led by Cyazypyr and new actives provided a partial offset. It missed the consensus estimate of $178.7 million.
Asia revenues, excluding India, declined 36% year over year to $81 million. The company pointed to lower branded pricing in line with expectations and weaker insecticide volumes amid challenged grower economics tied to geopolitical uncertainty, partially offset by strong Cyazypyr growth. It beat the consensus estimate of $72.4 million.
FinancialsThe company had cash and cash equivalents of $390.9 million at the end of the quarter. Long-term debt was $2.77 billion.
OutlookFMC reaffirmed its full-year 2026 outlook, calling for revenue excluding India of $3.6 billion to $3.8 billion and adjusted EBITDA of $670 million to $730 million. Adjusted earnings per diluted share are still expected in the $1.63-$1.89 range, while free cash flow is projected between negative $65 million and positive $65 million.
The company’s full-year framework assumes interest expense of $255-$275 million and an adjusted tax rate of 16-18%, with depreciation and amortization of $160-$170 million. Capital additions and other investing activities are projected at $90-$110 million. FMC also expects the India contribution loss in 2026 to be roughly $90 million of revenue and $0 million of EBITDA.
For the second quarter, FMC expects revenue excluding India of $850 million to $900 million, with adjusted EBITDA of $130 million to $150 million and adjusted earnings per diluted share of 16-26 cents. The company expects year-over-year pressure to be driven largely by reduced orders from diamide partners and the removal of India from the reported base period.
How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a downward trend in fresh estimates.
The consensus estimate has shifted -47.5% due to these changes.
VGM ScoresAt this time, FMC has a poor Growth Score of F, a score with the same score on the momentum front. However, the stock has a grade of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, FMC has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
FMC Corporation (NYSE: FMC) today announced that Pierre Brondeau, FMC chairman, chief executive officer and president, and Andrew Sandifer, FMC executive vice president and chief financial officer, will speak at the Wolfe Research 3rd Annual Materials of the Future conference on June 17, 2026, at 9:15 a.m. Eastern Time. A live webcast will be available at www.fmc.com/investors.
About FMC
FMC Corporation is a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. FMC's innovative crop protection solutions – including biologicals, crop nutrition, digital and precision agriculture – enable growers and crop advisers to address their toughest challenges economically while protecting the environment. FMC is committed to discovering new herbicide, insecticide and fungicide active ingredients, product formulations and pioneering technologies that are consistently better for the planet. Visit fmc.com to learn more and follow us on LinkedIn®.
ROCK HILL, S.C., March 23, 2026 (GLOBE NEWSWIRE) -- 3D Systems (NYSE: DDD) today announced the appointment of Phyllis Nordstrom as Executive Vice President and Chief Financial Officer, effective March 23, 2026. Ms. Nordstrom, who has served as Interim Chief Financial Officer since August 2025, will also continue in her role as Chief Administrative Officer, reporting directly to President and CEO Dr. Jeffrey Graves.
Ms. Nordstrom's promotion reflects the company's strong confidence in her leadership and commitment to financial discipline, efficient capital allocation, and long-term shareholder value in the additive manufacturing sector. Over the last six months, she has effectively guided the global finance organization – encompassing financial planning and analysis, reporting, accounting, treasury, tax, investor relations, and internal audit – while maintaining a sharp focus on strategic investments and profitability improvements.
"I have had the privilege of working closely with Phyllis for over ten years, first at MTS Systems and now at 3D Systems, and I have complete confidence in her ability to lead our finance organization. As Interim CFO, she has demonstrated exceptional leadership in strengthening our financial foundation, optimizing cash flow, and aligning resources with our strategic priorities. Her appointment as Chief Financial Officer further accelerates our path to sustained growth, profitability and shareholder value creation."
Ms. Nordstrom joined 3D Systems in September 2021 and brings more than 25 years of progressive leadership in finance, accounting, controls, and risk management across public companies and public accounting firms. In her ongoing role as Chief Administrative Officer, she will continue to oversee global human resources, risk and compliance, and information technology and cybersecurity. Previously, she held senior positions at MTS Systems Corporation, PricewaterhouseCoopers, Target Corporation, and U.S. Bank. Ms. Nordstrom holds a Bachelor of Science degree in Accounting from Louisiana State University.
About 3D Systems For nearly 40 years, Chuck Hull’s curiosity and desire to improve the way products were designed and manufactured gave birth to 3D printing, 3D Systems, and the additive manufacturing industry. Since then, that same spark continues to ignite the 3D Systems team as we work side-by-side with our customers to change the way industries innovate. As a full-service solutions partner, we deliver industry-leading 3D printing technologies, materials and software to high-value markets such as medical and dental; aerospace, space and defense; transportation and motorsports; AI infrastructure; and durable goods. Each application-specific solution is powered by the expertise and passion of our employees who endeavor to achieve our shared goal of Transforming Manufacturing for a Better Future. More information on the company is available at www.3dsystems.com.
Premium, performance men’s skincare brand debuts at Nordstrom, marking its first national retail omnichannel expansion beyond DTC.
AUSTIN, Texas--(BUSINESS WIRE)--Caldera + Lab, the premium men’s skincare brand, today announced its strategic retail expansion with Nordstrom. The move marks a significant milestone for the brand as its first national in-store presence. Founded in 2019, Caldera + Lab is one of the fastest-growing DTC businesses in the men's category.
With the launch in Nordstrom stores and online, Caldera + Lab is translating its direct-to-consumer success into a physical retail presence, introducing the brand’s suite of innovative skincare products to Nordstrom’s nationwide customer base. Caldera + Lab will offer curated sets of The Regimen, The Regimen Rich and The Hair Care System, alongside their full product line. The brand's streamlined regimens help customers easily navigate and build their routine.
Founded by entrepreneur Jared Pobre, Caldera + Lab was created to address a long-standing gap in the market: cutting-edge innovation and premium quality specifically formulated for the needs of men's skin. Men's skincare has long been absent of breakthrough innovation, a category where historically formulas are developed for women and repurposed for men. Caldera + Lab takes a different approach, formulating specifically for the dermatological profile of men’s skin, backed by years of clinical research and testing.
The launch with Nordstrom indicates the beginning of a broader omnichannel strategy for Caldera + Lab, as the company continues to scale its presence and introduce new product innovations. Over the past six years, Caldera + Lab has built a rapidly growing and profitable direct-to-consumer business fueled by strong product performance and engaging content and education, positioning skincare as a performance and wellness tool for men. Nordstrom emerged as a natural first omnichannel retail partner given the companies’ shared commitment to innovation and brand storytelling, elevated experience, and a customer base that overlaps seamlessly.
In September 2025, Caldera + Lab expanded its portfolio with the launch of The Great, an anti-aging face serum, and The Hydro Layer, a lightweight anti-aging moisturizer. Powered by patent-pending exosomes engineered for men's skin, peptide growth factors, and vitamin C, the additions are a prime example of Caldera + Lab's science-backed and clinical approach to product development. Like all Caldera + Lab products, they are dermatologically tested and backed by third-party clinical and user trials for proven, visible results on real men.
“From day one, Caldera + Lab was built to redefine what men’s skincare should be,” said Jared Pobre, Caldera + Lab Founder and CEO. “Launching with Nordstrom allows us to meet customers where they are and interact with them in real life, combining the top-tier education and service of Nordstrom with the performance and quality that has defined our brand from the beginning.”
The retail debut reflects a broader shift in men’s self-care, driven by a rising interest in skincare and wellness. More than half of U.S. men now use facial skincare products, up from just 31% two years prior. Over 40% of men aged 18-34 are purchasing premium moisturizers, signaling a shift toward products that are effective, science-backed, and easy to integrate into their daily routines.*
While Caldera + Lab continues to scale its DTC business, expanding into physical retail with Nordstrom, one of the country’s leading destinations for premium beauty, introduces a new opportunity for discovery, education, and hands-on product experience, an important factor as more men invest in skincare.
In addition to its physical presence, Caldera + Lab is now available online at nordstrom.com. For more information, visit calderalab.com and on Instagram @calderalab.
About Caldera + Lab
Caldera + Lab, founded in 2019, is a pioneering leader in science-backed skincare designed specifically for men. The brand offers high-performance, clinically proven products rooted in cutting-edge biotech and proprietary ingredient innovation to enhance skin health. Grounded in the belief that self-care is a vital pillar of overall wellbeing—alongside fitness and nutrition—Caldera + Lab supports men in optimizing their health span and daily routines. Sustainability, scientific integrity, and social impact are central to the company’s mission, guiding every aspect of its operations. The ultimate goal: to leave both customers and the planet better than they were found.
TORONTO--(BUSINESS WIRE)--Markel Insurance, the insurance operations within Markel Group Inc. (NYSE: MKL), today announced the launch of PlayMicro in Canada, a special events portal offering short-term coverage for sporting events, meetings, cultural and social gatherings, now available through its digital platform, Markel Connect. This launch strengthens the capabilities of Markel Connect and reflects Markel’s ongoing commitment to digital innovation and delivering efficient access to specialty solutions for brokers.
PlayMicro supports a broad range of organized sport and fitness activities, including competitions, seasonal teams, tournaments, practices, camps, and related programs. The portal also provides short‑term coverage for meetings, cultural gatherings, tradeshows, festivals, parades, theatre productions, fairs, fundraisers, private functions, and other events. Coverage is available for events where alcohol is served on premises.
With minimum premiums starting at CAD$150, the product offers comprehensive general liability including participant and participant-to-participant liability (excluding products and completed operations).
“Integrating PlayMicro within Markel Connect reflects our commitment to meeting the evolving needs of Canadian brokers and event organizers,” said Brenda McClung, Assistant Vice President, Markel Play. “Our goal was to create a user-friendly portal, giving clients fast, reliable access to coverage for the sporting activities and short‑term events they rely on us to protect.”
Available through Markel Connect in Canada (excluding Quebec at this time), brokers can quote, bind, and issue policies on a 24/7 basis, with instant decline notifications and rapid referral turnaround. The platform offers flexible limits, competitive pricing, no policy fees, and a 20% commission structure.
“PlayMicro represents meaningful progress in our digital strategy,” said Sachin Rustagi, Head of Digital. “Markel Connect is designed to simplify the quoting experience for brokers across various micro-SME errors & omissions, directors & officers and office package risks. Adding PlayMicro to our primary portal extends that one-stop experience and single-login access for event and sports organizers who need quick, dependable coverage 24/7.”
The addition of PlayMicro to Markel Connect reflects Markel Canada’s ongoing investment in digital solutions that support broker workflows. The company continues to expand the platform’s capabilities, introduce new tools, and bring additional products online to improve efficiency and deliver value to broker partners.
Brokers registered with Markel Connect can access PlayMicro immediately at https://connect.markel.ca.
About Markel
We are Markel Insurance, a leading global specialty insurer with a truly people-first approach. As the insurance operations within the Markel Group Inc. (NYSE: MKL), we leverage a broad array of capabilities and expertise to create intelligent solutions for the most complex specialty insurance needs. However, it is our people – and the deep, valued relationships they develop with colleagues, brokers and clients – that differentiates us worldwide.
, /PRNewswire/ -- Cogitate, one of the leading providers of intelligent core insurance technology, is proud to announce the launch of Bridge Specialty Group's new personal lines digital marketplace. The digital platform is designed to streamline agent quoting, enhance underwriting efficiency, and support scalable expansion of carrier access across its personal lines portfolio.
As one of the largest personal lines wholesalers in the U.S., Bridge Specialty Group is uniquely positioned to scale carrier access and simplify distribution for agents nationwide. This new platform enables agents to complete one common application and receive eligibility and premium indications across participating carriers within a unified digital experience.
Built on Cogitate's DigitalEdge platform, the marketplace supports API-enabled carrier integrations and structured workflows for markets without direct APIs. This allows agents to see multiple carrier options side-by-side, without compromising each carrier's underwriting approach. Agents gain faster visibility into available markets, and underwriters benefit from structured workflows and improved submission quality.
Among its early carriers, Bridge Specialty Group worked with Markel to make its E&S homeowners product available in the marketplace.
"Markel is excited to support initiatives that leverage API technology to enhance underwriting efficiency and customer outcomes," said Virginia Mathurin, Managing Director, Underwriting & Business Development for Personal Lines at Markel.
At launch, the marketplace supports more than 18,000 users across 5,000 agencies, providing immediate scale across Bridge Specialty Group's distribution network. The implementation transitioned Bridge Specialty Group from a complex permissions model to a streamlined, templatized framework, enhancing scalability while maintaining operational stability.
"The personal lines marketplace reflects our commitment to delivering a modern, transparent, and scalable digital experience for our agents and carrier partners," said Joe Failla, Chief Operating Officer of Bridge Specialty Group. "By consolidating systems and enabling comparative rating within a single marketplace, we are improving speed, clarity, and operational efficiency across our organization."
"This launch represents what's possible when deep insurance experience meets modern, cloud-native technology. At Cogitate, we believe digital marketplaces should not only accelerate quote-to-bind, but also create meaningful connectivity between carriers, underwriters, and distribution partners. Bridge Specialty Group has embraced a bold vision for scalable growth, and we are proud to provide the DigitalEdge foundation that empowers their teams to innovate faster, operate smarter, and deliver a truly unified experience to their agents," said Arvind Kaushal, CEO & Co-founder of Cogitate.
About Bridge Specialty Group
Bridge Specialty Group is a leading global insurance wholesaler comprised of more than 28 niche-focused specialty brands with a presence in over 55 locations throughout the United States, the United Kingdom, and Europe. The organization connects the diverse needs of retail partners with the market access and expertise of its wholesale entities, drawing on deep specialization in areas including construction, casualty, environmental liability, professional liability, healthcare, public entity, workers' compensation, property, and personal lines. With access to more than 300 standard and excess & surplus lines carriers and a premium volume book in the multibillion-dollar range, Bridge Specialty Group's mission is to bring the power of collective size and specialty to the wholesale brokerage marketplace by delivering innovative solutions and tailored risk placement for its partners. Learn more at https://bridgespecialtygroup.com/ .
About Markel
We are Markel Insurance, a leading global specialty insurer with a truly people-first approach. As the insurance operations within the Markel Group Inc. (NYSE: MKL), we leverage a broad array of capabilities and expertise to create intelligent solutions for the most complex specialty insurance needs. However, it is our people – and the deep, valued relationships they develop with colleagues, brokers and clients – that differentiates us worldwide. Learn more at www.markel.com.
About Cogitate
The Cogitate DigitalEdge Insurance Platform digitalizes insurance across the value chain, offering insurance carriers, MGAs, and program administrators a smooth transition to cloud-native, data-driven core underwriting, policy, billing, and claim applications. The AI-powered, unified insurance platform unlocks the value of first-party data and advances the power of third-party data for profitable growth, superior risk selection, and a streamlined, modern user experience. Backed by more than 100 combined years of comprehensive experience and domain knowledge, our products are uniquely designed to meet the needs of insurance businesses of every size. Learn more at www.cogitate.com .
Media Contact
Pamela Simpson
Director of Marketing & Communications
[email protected]
, /PRNewswire/ -- Markel Group Inc. (NYSE:MKL) today reported its financial results for the first quarter of 2026. The Company also announced today it filed its Form 10-Q for the quarter ended March 31, 2026 with the Securities and Exchange Commission.
"In the first quarter of 2026, we generated strong results across the company. We are pleased with the continued progress of our ongoing operations," said Tom Gayner, Chief Executive Officer. "We continue to do more of what's working and less of what's not, while focusing on balance sheet strength, disciplined capital allocation, and ongoing share repurchases."
Highlights of our 2026 first quarter results:
Operating revenues were consistent quarter over quarter. Operating loss, which includes market movements in our equity portfolio, was $273 million for the quarter. Adjusted operating income, which excludes market movements in our equity portfolio, was $498 million for the quarter, which represents a 4% increase compared to the first quarter of 2025. For Markel Insurance, our cornerstone business: The combined ratio for the quarter, which included two points of net losses attributed to the Middle East conflict, was 93%, which represents a three point improvement compared to the first quarter of 2025. Adjusted operating income increased 31% for the quarter to $369 million with each of our three ongoing underwriting divisions meaningfully contributing to our overall profitability. Underwriting gross premium volume decreased 21% for the quarter, as expected, due to the impact of the sale of the renewal rights of our Global Reinsurance division in 2025 and the transition of our Hagerty business to a fronting arrangement in 2026. Excluding these items, underwriting gross premium volume increased 10% for the quarter. Our global specialty product diversification was on full display. Although our Wholesale and Specialty E&S platform faced difficult market conditions, we had robust growth within our International operations, our Bermuda platform, and within our personal lines and programs business units. Comprehensive loss to shareholders was $340 million for the quarter primarily due to unrealized losses on our investment portfolio. Share repurchases were $134 million for the quarter. The following table presents summary consolidated financial data.
Three Months Ended March 31,
(dollars in thousands)
2026
2025
Operating revenues
$ 3,550,605
$ 3,548,176
Operating income (loss)
$ (273,329)
$ 282,524
Add: Amortization of acquired intangible assets
43,513
46,942
Less: Net investment losses
(727,562)
(149,071)
Adjusted operating income (1)
$ 497,746
$ 478,537
Comprehensive income (loss) to shareholders
$ (340,430)
$ 347,670
(1) See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.
Markel Insurance Segment
Three Months Ended March 31,
(dollars in thousands)
2026
2025
% Change
Gross premium volume:
Underwriting
$ 2,215,573
$ 2,793,406
(21) %
Adjusted underwriting (1)
$ 2,192,993
$ 1,996,551
10 %
Fronting
$ 587,422
$ 378,145
55 %
Operating revenues:
Earned premiums
$ 1,969,339
$ 2,016,539
(2) %
Net investment income
229,619
207,517
11 %
Services and other revenues
2,727
2,620
4 %
Operating revenues
$ 2,201,685
$ 2,226,676
(1) %
Adjusted operating income:
Underwriting profit
$ 142,249
$ 80,162
77 %
Net investment income
229,619
207,517
11 %
Services and other income
(2,378)
(5,564)
(57) %
Adjusted operating income
$ 369,490
$ 282,115
31 %
Combined ratio
93 %
96 %
(1) See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.
Industrial Segment
Three Months Ended March 31,
(dollars in thousands)
2026
2025
% Change
Operating revenues
$ 883,058
$ 829,574
6 %
Adjusted operating income
$ 49,286
$ 58,764
(16) %
Financial Segment
Three Months Ended March 31,
(dollars in thousands)
2026
2025
% Change
Operating revenues
$ 161,530
$ 178,481
(9) %
Adjusted operating income
$ 36,205
$ 79,611
(55) %
Consumer and Other Segment
Three Months Ended March 31,
(dollars in thousands)
2026
2025
% Change
Operating revenues
$ 280,497
$ 287,786
(3) %
Adjusted operating income
$ 39,755
$ 32,388
23 %
* * * * * * * *
A copy of our Form 10-Q is available on our website at mklgroup.com, under Investor Relations-Financials, or on the SEC website at www.sec.gov. Readers are urged to review the Form 10-Q for a more complete discussion of our financial performance. Our quarterly conference call, which will involve discussion of our financial results and business developments and may include forward-looking information, will be held Wednesday, April 29, 2026, beginning at 9:30 a.m. (Eastern Time). Investors, analysts, and the general public may listen to the call via live webcast at ir.mklgroup.com. The call may be accessed telephonically by dialing (888) 660-9916 in the U.S., or +1 (646) 960-0452 internationally, and providing Conference ID: 4614568. A replay of the call will be available on our website approximately one hour after the conclusion of the call. Any person needing additional information can contact Markel Group's Investor Relations Department at [email protected].
Additionally, we will be discussing financial results and related business and investments updates at our shareholders meeting on May 20, 2026 at the University of Richmond Robins Center at 2:00 p.m. (Eastern Time). The shareholders meeting will be part of the 2026 Reunion, which is open to shareholders, employees, and friends of Markel Group. More information on the 2026 Reunion, including the agenda and registration, is available at mklreunion.com.
Supplemental Financial Information
The following table summarizes our results by segment.
Three Months Ended March 31,
(dollars in thousands)
2026
2025
% Change
Operating revenues:
Markel Insurance
$ 2,201,685
$ 2,226,676
(1) %
Industrial
883,058
829,574
6 %
Financial
161,530
178,481
(9) %
Consumer and Other
280,497
287,786
(3) %
Corporate and eliminations
23,835
25,659
(7) %
Total operating revenues
$ 3,550,605
$ 3,548,176
0 %
Operating income (loss)
$ (273,329)
$ 282,524
NM (1)
Add: Amortization of acquired intangible assets
43,513
46,942
(7) %
Less: Net investment losses
(727,562)
(149,071)
388 %
Adjusted operating income (2)
$ 497,746
$ 478,537
4 %
Markel Insurance
$ 369,490
$ 282,115
31 %
Industrial
49,286
58,764
(16) %
Financial
36,205
79,611
(55) %
Consumer and Other
39,755
32,388
23 %
Corporate and eliminations
3,010
25,659
(88) %
Adjusted operating income (2)
$ 497,746
$ 478,537
4 %
(1) NM - Not meaningful
(2) See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.
We believe our financial performance is most meaningfully measured over longer periods of time, which tends to mitigate the effects of short-term volatility and better aligns with the long-term perspective we apply to operating our businesses and making investment decisions. The following table presents a long-term view of our performance.
Three Months Ended
March 31, 2026
Year Ended December 31,
(dollars in thousands)
2025
2024
2023
2022
Operating revenues
$ 3,550,605
$ 15,513,233
$ 14,813,544
$ 14,279,576
$ 13,271,068
Operating income (loss)
$ (273,329)
$ 3,194,852
$ 3,712,562
$ 2,928,828
$ (93,336)
Add: Amortization of acquired intangible assets
43,513
185,007
181,472
180,614
178,778
Add: Impairment of goodwill
—
—
—
—
80,000
Less: Net investment gains (losses)
(727,562)
1,076,081
1,807,219
1,524,054
(1,595,733)
Adjusted operating income (1)
$ 497,746
$ 2,303,778
$ 2,086,815
$ 1,585,388
$ 1,761,175
(1) See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.
Non-GAAP Financial Measures
Markel Group utilizes certain non-GAAP measures that we believe enhance the understanding of our performance. These measures should not be viewed as a substitute for measures determined in accordance with U.S. GAAP.
Consolidated Adjusted Operating Income
Consolidated adjusted operating income, which excludes net investment gains and losses, amortization of acquired intangible assets, and impairment of goodwill, is a non-GAAP financial measure. We believe adjusted operating income is generally an accurate representation of the operating performance of our businesses in our periodic results. Net investment gains and losses are predominantly derived from our investments in publicly traded equity securities and include significant unrealized gains and losses from market value movements. We believe that net investment gains and losses, whether realized from sales or unrealized from market value movements, are distortive in understanding the short-term operating performance of our businesses. We do not view amortization of intangible assets and impairment of goodwill, which arise from purchase accounting for acquisitions, as ongoing costs of operating our businesses, and therefore exclude those amounts from our adjusted operating income metric.
Adjusted Underwriting Gross Premium Volume
Adjusted underwriting gross premium volume is a non-GAAP measure that excludes underwriting gross premium volume from the Global Reinsurance division and our business with Hagerty for both periods. In August 2025, Markel Insurance sold the renewal rights for contracts written through its Global Reinsurance division, and the division entered into run-off, which resulted in a significant decline in underwriting gross premium volume. Beginning on January 1, 2026, Markel Insurance's business written on behalf of Hagerty transitioned from being an underwriting product to a fronting arrangement, which resulted in a change in the presentation of the related gross premium volume and therefore, a significant decline in underwriting gross premium volume. We believe adjusted underwriting gross premium volume is a meaningful measure when comparing underwriting gross premium volume from period-to-period as it adjusts for the impact of these significant contractual restructuring changes within the Markel Insurance segment. The following table reconciles underwriting gross premium volume to adjusted underwriting gross premium volume.
Three Months Ended March 31,
(dollars in thousands)
2026
2025
% Change
Underwriting gross premium volume
$ 2,215,573
$ 2,793,406
(21) %
Less: Global Reinsurance division underwriting gross premium volume
22,580
576,928
Less: Hagerty underwriting gross premium volume
—
219,927
Adjusted underwriting gross premium volume
$ 2,192,993
$ 1,996,551
10 %
About Markel Group
Markel Group Inc. is a diverse family of companies that includes everything from insurance to bakery equipment, building supplies, houseplants, and more. The leadership teams of these businesses operate with a high degree of independence, while at the same time living the values that we call the Markel Style. Our specialty insurance business sits at the core of our company. Through decades of sound underwriting, the Markel Insurance team has provided the capital base from which we built a system of businesses and investments that collectively increase Markel Group's durability and adaptability. It's a system that provides diverse income streams, access to a wide range of investment opportunities, and the ability to efficiently move capital to the best ideas across the company. Most importantly though, this system enables each of our businesses to advance our shared goal of helping our customers, associates, and shareholders win over the long term. Visit mklgroup.com to learn more.
Cautionary Statement
Certain of the statements in this release may be considered forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, as amended. Statements that are not historical facts, including statements about our beliefs, plans or expectations, are forward-looking statements. These statements are based on our current plans, estimates, and expectations. There are risks and uncertainties that could cause actual results to differ materially from those expressed in or suggested by such statements. Factors that may cause actual results to differ are often presented with the forward-looking statements themselves. Additional factors that could cause actual results to differ from those predicted are set forth in our Annual Report on Form 10-K for the year ended December 31, 2025, including under "Business Overview," "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations," "Safe Harbor and Cautionary Statement," and "Quantitative and Qualitative Disclosures About Market Risk," and in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, including under "Management's Discussion and Analysis of Financial Condition and Results of Operations," "Safe Harbor and Cautionary Statement," "Quantitative and Qualitative Disclosures About Market Risk," and "Risk Factors." We assume no obligation to update this release (including any forward-looking statements) as a result of new information, developments, or otherwise. This release speaks only as of the date issued.
Markel Group (MKL - Free Report) came out with quarterly earnings of $21.61 per share, missing the Zacks Consensus Estimate of $26.38 per share. This compares to earnings of $25.72 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of -18.08%. A quarter ago, it was expected that this insurer would post earnings of $25.57 per share when it actually produced earnings of $34.45, delivering a surprise of +34.73%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Markel Group, which belongs to the Zacks Insurance - Multi line industry, posted revenues of $3.55 billion for the quarter ended March 2026, missing the Zacks Consensus Estimate by 4.04%. This compares to year-ago revenues of $3.55 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Markel Group shares have lost about 11.8% since the beginning of the year versus the S&P 500's gain of 4.8%.
What's Next for Markel Group?While Markel Group has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Markel Group was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $30.28 on $4.2 billion in revenues for the coming quarter and $117.50 on $16.84 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Insurance - Multi line is currently in the bottom 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Octave Specialty Group (OSG - Free Report) , another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on May 6.
This bond insurer is expected to post quarterly loss of $0.06 per share in its upcoming report, which represents a year-over-year change of +53.9%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Octave Specialty Group's revenues are expected to be $83.46 million, up 33% from the year-ago quarter.
Key Takeaways MKL reported Q1 net operating EPS of $21.61, missing estimates and worsening 16% YoY $728M net investment losses and a 2% drop in earned premiums weighed on results.MKL improved its insurance combined ratio to 93 and cut expenses 0.6%, but operating cash plunged 95.8% Markel Group Inc. (MKL - Free Report) reported first-quarter 2026 adjusted operating income of $21.61 per share, which missed the Zacks Consensus Estimate by 18.1%. The bottom line deteriorated 16% year over year.
Including one-time items, MKL reported a net loss of $18.90 per share in the first quarter of 2026.
Markel’s first-quarter results were primarily affected by significant net investment losses, and lower premium volumes drove overall operating loss, partially offset by stronger investment income and lower expenses.
Quarterly Operational Update of MKLTotal operating revenues of $3.5 billion, up 0.1% year over year, which missed the Zacks Consensus Estimate by 4%.
Earned premiums decreased 2% year over year to $2 billion in the quarter. The figure was lower than the Zacks Consensus Estimate of $2.1 billion
Net investment income increased 8% year over year to $255.9 million in the first quarter, driven by higher interest income on fixed maturity securities and higher dividend income on equity securities. The figure was lower than the Zacks Consensus Estimate of $262 million. However, this was more than offset by substantial net investment losses of $728 million.
Total operating expenses of Markel Group decreased 0.6% year over year to $3.1 billion due to lower losses and loss adjustment expenses, underwriting, acquisition, insurance expenses and other expenses.
Q1 Segment UpdateMarkel Insurance: Operating revenues decreased 1% year over year to $2.4 billion. Adjusted operating income rose 31% year over year to $369.4 million. The combined ratio improved 300 bps year over year to 93.
Industrial: Operating revenues rose 6% year over year to $883 million. Adjusted operating income decreased 16% year over year to $49.2 million.
Financial: Operating revenues decreased 9% year over year to $161.5 million. Adjusted operating income declined 55% year over year to $36.2 million.
Consumer and Other: Operating revenues declined 3% year over year to $280 million. Adjusted operating income rose 23% year over year to $39.7 million.
Financial UpdateMarkel Group exited the first quarter with investments, cash, and cash equivalents and restricted cash and cash equivalents of $36.5 billion as of March 31, 2026, down 2.6% from the 2025-end level. The decrease in invested assets was primarily attributable to a decline in the fair value of equity securities and cash used to repurchase shares of common stock.
Senior long-term debt and other debt balance increased 1.8% to $4.3 billion, as of March 31, 2026, from the 2025-end level.
Shareholders' equity was $18.1 billion at the first quarter of 2026-end, down 2.5% from the 2025-end level.
Net cash provided by operating activities was $15.6 million, down 95.8% year over year.
During the first quarter of 2026, MKL repurchased common shares worth of $134 million.
Zacks RankMarkel Group currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Some Other InsurersWillis Towers Watson Public Limited Company (WTW - Free Report) delivered first-quarter 2026 adjusted earnings of $3.72 per share, which beat the Zacks Consensus Estimate by 3.6%. The bottom line grew 19% year over year.
Revenues increased 3% on an organic basis and 4% on a constant currency basis. The top line beat the Zacks Consensus Estimate by 1.1%. Adjusted operating income was $537 million, up 12% year over year. Adjusted operating margin expanded 70 basis points (bps) to 22.3%. Adjusted EBITDA was $589 million, up 11% year over year. Adjusted EBITDA margin was 23.9%, which expanded 50 bps.
Cincinnati Financial Corporation (CINF - Free Report) reported first-quarter 2026 operating income of $2.10 per share, which surpassed the Zacks Consensus Estimate by 8.8%. The bottom line improved significantly, from a loss of 24 cents to $2.10 per share year over year.
Total operating revenues for the quarter were $2.9 billion, reflecting a 12% year-over-year increase, though the figure missed the Zacks Consensus Estimate by 0.7%.
Selective Insurance Group, Inc. (SIGI - Free Report) reported first-quarter 2026 operating income of $1.69 per share, which missed the Zacks Consensus Estimate by 2.3%. The bottom line decreased 11% year over year.
Operating revenues of $1.4 billion increased 6.4% from the year-ago quarter’s level, driven primarily by higher net premiums earned and net investment income. The top line, however, missed the Zacks Consensus Estimate by 0.5%. Net premiums written decreased 1% to $1.3 billion. The figure was on par with our estimate.
, /PRNewswire/ -- Markel, the insurance operations within Markel Group Inc. (NYSE: MKL), announced today the appointment of Raphael Da Costa to lead its U.S. cyber and tech E&O portfolio.
In this role, Da Costa will oversee Markel's U.S. cyber and tech E&O underwriting strategy, portfolio management and product development. He'll work closely with underwriting, claims and actuarial to support disciplined growth and deliver solutions aligned with the shifting cyber risk environment.
Raphael Da Costa to lead Markel's U.S. cyber and tech E&O portfolio. "Raphael brings deep technical knowledge and strong market experience that directly benefits our brokers and customers as cyber risks continue to evolve," said Paul Melone, Executive Underwriting Officer, Professional Liability. "We're proud to develop and promote talent from within Markel, and Raphael's leadership strengthens our ability to support clients navigating an increasingly complex cyber and technology landscape."
Da Costa has over 15 years of experience driving innovation in the cybersecurity and insurance sectors. He joined Markel in 2023 and most recently lead the strategic development and execution of U.S. cyber and technology E&O insurance products for middle market risks.
"Cyber and technology risks are changing in real time, and our customers need underwriting partners who understand both the technical detail and the broader business impact," said Da Costa. "Markel has consistently demonstrated a commitment to thoughtful underwriting and long-term relationships, and I'm excited to build on that foundation to continue supporting our brokers and clients across the U.S. market."
Da Costa is based in Markel's New York office.
About Markel
We are Markel Insurance, a leading global specialty insurer with a truly people-first approach. As the insurance operations within the Markel Group Inc. (NYSE: MKL), we leverage a broad array of capabilities and expertise to create intelligent solutions for the most complex specialty insurance needs. However, it is our people—and the deep, valued relationships they develop with colleagues, brokers and clients—that differentiates us worldwide.
TORONTO & NEW YORK--(BUSINESS WIRE)--Markel International, a division of Markel Insurance, the insurance operations within Markel Group Inc. (NYSE: MKL) announced today its partnership with hyperexponential (hx) to modernize rating, underwriting workflows and integration architecture across its Canadian business. The partnership reflects Markel’s significant investment in building a more sophisticated, AI‑native underwriting environment and further expands hyperexponential's footprint in North American markets as the leading pricing and underwriting decision platform for commercial P&C carriers.
As part of its collaboration with hyperexponential, Markel Canada has launched a purpose-built Environmental rating capability on the hx platform, enabling a more streamlined, digital experience. This investment marks a shift from fragmented, transactional pricing toward a more connected underwriting experience. By bringing data, pricing and context together in a single workflow, Markel Canada is creating an environment where underwriters have what they need at the point of decision – without friction or unnecessary hand‑offs.
Establishing the hx platform as a centralized rating layer creates a scalable foundation that can support more sophisticated products, package policies and evolving portfolio needs over time. The result is greater clarity at the point of pricing today, and a platform designed to grow with the business – enabling faster, more informed decisions as underwriting complexity and ambition increase.
“Our underwriters need tools that support good judgement, not slow it down. By pulling data directly into the rating workflow, we’re cutting friction from everyday decisions and letting our teams focus on what matters most – building trusted relationships with our broker partners, understanding risk and delivering consistent outcomes for clients,” says Cliff Laidlaw, Senior Vice President, Underwriting at Markel Canada.
Built with the future in mind, the architecture is designed to support emerging agentic and AI‑enabled capabilities as they mature, positioning Markel Canada to continue advancing toward truly AI‑native underwriting workflows.
Maureen Tomlinson, Senior Vice President of Operations at Markel Canada and Head of AI at Markel International, added: “For Markel Canada, this is about more than replacing spreadsheets. It reflects our commitment to investing in a more sophisticated underwriting environment. The hx platform gives our underwriters a better experience today, while laying the groundwork for faster delivery, stronger data capture and future AI-native workflows across the business.”
Richard Gunn, President at hyperexponential, commented: “Canada is an important market for commercial underwriting, and Markel's ambition here stands out: they're not just patching existing systems, they're building for what comes next. hyperexponential has built the leading AI-native underwriting workbench that keeps pricing, data and decisions in one place, from intake through to quote. We're proud to support a team moving with this level of pace and intent to deliver the decision infrastructure for the next era of underwriting.”
About Markel
We are Markel Insurance, a leading global specialty insurer with a truly people-first approach. As the insurance operations within the Markel Group Inc. (NYSE: MKL), we leverage a broad array of capabilities and expertise to create intelligent solutions for the most complex specialty insurance needs. However, it is our people – and the deep, valued relationships they develop with colleagues, brokers and clients – that differentiates us worldwide.
About hyperexponential
hyperexponential provides the leading pricing and underwriting platform for the global commercial P&C insurance market, powering AI-assisted decisions from triage, to pricing, to portfolio optimization. Trusted by carriers processing over $60bn GWP annually, and backed by Andreessen Horowitz and Battery Ventures, the hx platform enables insurers, reinsurers, and MGAs to reduce time-to-quote, iterate on rating models faster, improve loss ratios and write a more profitable book.
