FMC Corporation, the agricultural sciences company listed on the New York Stock Exchange, said on 15 October 2026 that it now expects revenue of between $65 million and $125 million for the third quarter of 2026, with Adjusted EBITDA of negative $565 million to negative $510 million. The estimates include an impact of about $625 million to $675 million from commercial actions to lower the price of selected FMC products already held by channel customers in key markets and to change how it sells and prices products in the United States, the company said in a statement. FMC did not restate its previous third-quarter guidance in the statement.

Pierre Brondeau, chairman, chief executive officer and president, said third-quarter demand was weaker than expected because of challenging market conditions and higher-priced FMC products held in inventory by certain channel customers, which are limiting product movement and replenishment demand.

We have addressed this issue incrementally over several quarters, but under current market conditions, we determined that more comprehensive actions are necessary.

Pierre Brondeau, chairman, chief executive officer and president, FMC Corporation

Why stock is not moving

FMC said distributors are seeking to run with the lowest inventory levels the company has experienced. It made progress in 2025 in reducing channel inventory volumes, but some higher-priced products entered the channel under different cost structures, intellectual property positions and competitive conditions. Rapid declines in market prices, driven partly by increased generic competition, have widened the gap between the value of that inventory and current prices, limiting sales to growers.

Two commercial actions

First, FMC is cutting the price of selected products held by channel customers in Brazil, Argentina, the United States and Canada. Second, it will change its US model, which has historically used high gross prices with high rebates, to significantly reduce the gap between gross and net prices. The company said it views its current pricing as competitive and expects manufacturing changes to support it further. Mr Brondeau said the company sees removing this hurdle as an important step in completing its transformation and positioning FMC to operate at its full potential in 2027, 2028 and the long term.

Covenants, impairment and timing

FMC said it expects to comply with its covenants at 30 September 2026 but intends to discuss possible further covenant changes with its bank group over the next year. The revised outlook is a triggering event for an impairment review of intangible assets as of 30 September; the company said it may have to record a material non-cash impairment charge for the quarter but cannot yet estimate it. The figures are preliminary. Full results are due on 29 October, and FMC will give preliminary expectations for 2027 and 2028 on its earnings call on 30 October.

FMC reports third-quarter revenue on a GAAP basis and on a non-GAAP basis excluding its India commercial business. It said revenue from the India business is not expected to create a material difference between the two measures this quarter.

TAD’s reading

  • Crop protection makers: FMC’s account of generic competition eroding the value of branded stock is a pricing signal for any originator with older chemistry sitting in distribution.
  • Distributors: Price support on stock already held helps dealer economics now, but a move away from high-rebate pricing in the US changes how distributors earn their margin.
  • Generic manufacturers: The company’s statement indicates that price pressure from off-patent products in the Americas is still building rather than easing.
  • Investors: Covenant talks and a possible impairment make the 29 October results and the 2027 to 2028 outlook the next tests.