FMC (FMC) Wells Fargo 2024 Industrials Conference summary

Leadership transition and management update

• Pierre Brondeau returns as CEO and chairman, replacing Mark Douglas, ensuring a smooth transition due to his deep familiarity with the business.

• Mark Douglas will remain as a senior advisor through September to support the transition.

• The leadership change was a mutual decision between the board and Mark Douglas.

Financial guidance and market outlook

• Second quarter revenue and EBITDA guidance reaffirmed, with EBITDA expected between $170–$210 million.

• Full-year guidance not confirmed; more details to be provided in August as the new CEO reviews business specifics.

• 2024 is described as a transition year, moving from market correction to recovery, with anticipated growth despite volatility.

• Q2 expected to show flattish to low-teens growth, reflecting ongoing volatility and market transition.

Industry and inventory dynamics

• The crop protection industry experienced a major inventory correction over the past year, following overbuying during COVID-related disruptions.

• Channel inventories are now rebalancing, with some regions experiencing inventory levels below historical norms.

• Long-term demand for crop protection products remains strong, with a historical 3–4% compound annual growth rate.