• Q1 2022 revenues increased 118% year-on-year to $1.2 billion with adjusted EBITDA up 171% to $625 million
  • Adjusted net income of $361 million in Q1 2022 increased by 332% year-on-year
  • Based on current visibility on volumes and prices, Fertiglobe expects higher EBITDA and free cashflow in Q2 2022 compared to Q1 2022
  • Based on the continued favourable market dynamics and resulting free cash flows, Fertiglobe’s H1 2022 dividend is now expected to be at least $700 million (payable in October 2022) compared to the previous guidance of at least $200 million

Abu Dhabi, UAE: Fertiglobe (ADX: FERTIGLB), the strategic partnership between ADNOC and OCI, the world’s largest seaborne exporter of urea and ammonia combined, the largest nitrogen fertilizer producer in the Middle East and North Africa, and an early mover in clean ammonia, today reported its Q1 2022 results. Revenues for the first quarter increased 118% to $1.2 billion, while adjusted EBITDA grew 171% to $625 million compared to Q1 2021. Adjusted net income in Q1 2022 was $361 million, increasing by 332% year-on-year, while free cash flow increased significantly to $521 million from $151 million in Q1 2021.

Ahmed El-Hoshy, Chief Executive Officer of Fertiglobe, commented:

“We are pleased to report another quarter of solid performance, backed by our unique global positioning in cost competitive production and industry-leading distribution capabilities. With strong Q1 results driven by increased selling prices across our product portfolio, we now expect H1 2022 dividends to be at least $700 million, up from our previous guidance of at least $200 million, given continued favourable market dynamics, the current outlook on volumes and prices, healthy cash conversion and our robust capital structure.

We look forward to even better performance in Q2, as we benefit from strong in-season demand, the phasing of volumes from Q1 into Q2, and higher selling prices. The majority of volumes already committed for the second quarter. This provides good forward visibility and sets us up for a strong Q3 and Q4 as healthy farm economics support higher selling prices.

As a leading producer and the largest seaborne exporter of essential nitrogen fertilizer products globally, our team is focused on running our world-scale assets efficiently and utilizing global supply chains to help address potential food security concerns.

In March, we were proud to be announced as a founding constituent of the FTSE Russell ADX 15 Index (“FADX 15”), representing the 15 largest and most liquid companies traded on the Abu Dhabi Securities Exchange, and we look forward to continuing to deliver outstanding performance with a consistent focus on shareholder value.”

Further, Fertiglobe continues to make good progress in its efforts to capture value accretive opportunities from emerging demand for clean ammonia. Fertiglobe has multiple initiatives to develop blue / green ammonia as a solution to decarbonize industries that make up around 90% of current global greenhouse gas emissions, capitalizing on growth opportunities from emerging demand for clean ammonia.

Increased Dividend Guidance

 Fertiglobe’s dividend policy is to substantially distribute all of the Company’s distributable free cash flow after providing for growth opportunities, while maintaining an investment grade credit profile. In light of the continued favourable market dynamics and given the Company’s very healthy free cash generation, Fertiglobe raised its H1 2022 dividend guidance to at least $700 million, well ahead of previous guidance of at least $200 million. The exact dividend amount, payable in October 2022, will be announced with the Q2 results in August 2022.


About Fertiglobe:

Fertiglobe is the world’s largest seaborne exporter of urea and ammonia combined, and an early mover in clean ammonia. Fertiglobe’s production capacity comprises of 6.7 million tons of urea and merchant ammonia, produced at four subsidiaries in the UAE, Egypt and Algeria, making it the largest producer of nitrogen fertilizers in the Middle East and North Africa (MENA), and benefits from direct access to six key ports and distribution hubs on the Mediterranean Sea, Red Sea, and the Arab Gulf. Headquartered in Abu Dhabi and incorporated in Abu Dhabi Global Market (ADGM), Fertiglobe employs more than 2,600 employees and was formed as a strategic partnership between OCI N.V. (“OCI”) and the Abu Dhabi National Oil Company (“ADNOC”). Fertiglobe is listed on the Abu Dhabi Securities Exchange (“ADX”) under the symbol “FERTIGLB” and ISIN “AEF000901015. To find out more, visit: www.fertiglobe.com