Compass Minerals International, Inc.

Third-quarter total company adjusted EBITDA was $39.9 million versus $41 million a year ago. The company reported a net loss of $5.7 million compared with a net loss of $7.7 million in the prior year quarter. In Salt, revenue rose 5% year over year to $173.9 million; segment pricing was up 9% overall, highway pricing up 8%, and C&I pricing up 6%, while highway volumes fell 6% and C&I volumes rose 3%. Salt adjusted EBITDA was $38.9 million, down 15%, and operating earnings were $21.2 million, down 25%. In Plant Nutrition, revenue was $37.6 million, down 16%, operating earnings were $7.8 million, up 50%, and adjusted EBITDA was $15 million, up 32%. For the first nine months, operating cash flow was $162.8 million and capex was $62.1 million; total debt was $716.6 million, net debt was $660.3 million, liquidity was $328.1 million, and net leverage was 2.8x. For fiscal 2026, management raised consolidated adjusted EBITDA guidance midpoint to $230 million with a range of $218 million-$242 million; Plant Nutrition guidance was raised to $49 million-$57 million; Salt guidance was narrowed to $225 million-$236 million; corporate and other costs are expected at $51 million-$56 million; and capex remains $90 million-$110 million.

Ed Dowling framed the quarter as evidence that the company’s operational turnaround is continuing, especially in Plant Nutrition, where he said Ogden’s improvements are compounding and the business has exceeded its prior $40 million-$50 million EBITDA goal. He was more candid about Salt, saying the company is making a deliberate trade-off by spending more on labor and maintenance now to improve output and long-term stability, even though cost metrics have not yet fully reflected those efforts. His tone was constructive but disciplined: he emphasized strong bid-season pricing, a stronger balance sheet, and a desire to avoid rushing major projects like the new Goderich mill until execution risk is better controlled.

Peter Fjellman highlighted the quarter’s financial progression with $39.9 million of adjusted EBITDA, a $5.7 million net loss, and stronger Plant Nutrition profitability offsetting lower Salt earnings. He said nine-month operating cash flow was $162.8 million, capex was $62.1 million, total debt was $716.6 million, net debt was $660.3 million, and liquidity was $328.1 million, including $56.3 million in cash. He also pointed to an improved balance sheet with net leverage at 2.8x, then raised full-year consolidated EBITDA guidance to a midpoint of $230 million and lifted Plant Nutrition guidance while narrowing Salt guidance to reflect mix, inflation and the pace of operational improvements.

Analysts focused on whether strong salt bid-season pricing could translate into higher 2027 margins, and management said price increases are generally around double digits but that 2027 volumes may be lower if weather normalizes. Questions also pressed on whether Compass is finally solving its long-running cost and execution issues; Ed answered that the company is intentionally prioritizing a fit-for-purpose operating structure, more maintenance and mine improvements, and that the Goderich mill project is being slowed because it is too complex to execute without risking production. Another theme was tariffs on Canadian shipments to the U.S.; management said they have reduced exposure through contract pass-through provisions and are working further on mitigation, while also emphasizing Goderich’s importance to public safety and interstate commerce.