CF Industries’ Q4 Sales Jump 23% to $1.87B as Cash Flow Rises 28%
In Q4 CF’s net sales rose 23% to $1.87B and operating cash flow climbed 28% to $539M on strong nitrogen demand and higher prices. CF completed its $3B repurchase and launched a $2B program, while natural gas costs climbed to $3.20/MMBtu, with additional support from Strait of Hormuz supply disruptions.
1. Q4 Financial Performance
CF Industries delivered net sales of $1.87 billion in the fourth quarter, a 23% year-over-year increase, while operating cash flow rose 28% to $539 million as robust nitrogen fertilizer demand in North America, Brazil and India drove higher selling prices.
2. Share Buyback Programs
The company completed its $3 billion share repurchase program in October 2025, repurchasing 4.1 million shares for $340 million in Q4 and 16.6 million shares for $1.34 billion during 2025, and initiated a new $2 billion buyback through 2029 with $1.7 billion remaining.
3. Rising Natural Gas Costs
Natural gas, a key feedstock, averaged $3.20 per MMBtu in the fourth quarter, up from $2.43 a year ago, and $3.31 for the full year versus $2.40, elevating production costs and exerting pressure on CF’s profit margins.
4. Strait of Hormuz Disruptions
Supply constraints through the Strait of Hormuz have tightened one-third of global urea and ammonia flows, reinforcing fertilizer price support and enhancing CF Industries’ pricing power on tight global supply.