CVR Partners, LP Q1 FY2026 earnings call

• CEO mentioned first quarter financial highlights including net sales, net income, EBITDA. Ammonia plant utilization was 103% with both plants running well. Increased ammonia sales volume and prices. Middle East conflicts amplified nitrogen fertilizer market tightness. - Discussed company projects like feedstock diversification and capacity expansion at Coffeyville facility, demodellnecking projects at plants to improve reliability and production rates, including brownfield capacity expansion at East Dubuque, water quality upgrade projects, and DEF production and loadout capacity expansion. - Focus on safety, reliability, performance, executing business plan elements such as safe operation, cost management, capital judiciousness, marketing and logistics, and reducing carbon footprint.

For the first quarter of 2026, net sales were $180 million, net income was $50 million, and EBITDA was $78 million. Ammonia plant utilization was 103%. Total ammonia production for the first quarter was 220,000 gross tons, with 70,000 net tons available for sale. UAN production was 335,000 tons. Sold approximately 310,000 tons of UAN at an average price of $343 per ton and approximately 73,000 tons of ammonia at an average price of $687 per ton. Relative to the first quarter of 2025, EBITDA increase was due to higher UAN and ammonia sales pricing and volumes. Direct operating expenses for the first quarter were $63 million. Capital spending for the first quarter was $14 million, with estimate of total capital spending for 2026 at approximately $60 to $75 million, $35 to $45 million of which is maintenance capital. Ended the quarter with total liquidity of $178 million, consisting of $128 million in cash and $50 million availability under the ABL facility.

• Anticipated second quarter 2026 ammonia utilization rate between 95 and 100%. - Estimated direct operating expenses, excluding inventory and turnaround impacts, between $57 and $62 million. - Total capital spending for second quarter estimated between $28 and $32 million.

• Geopolitical conflicts in Middle East and Russia have impacted global fertilizer supply, with roughly 30% of nitrogen fertilizer production transiting through Strait of Hormuz and Middle East facilities affected. - Europe faces structural natural gas supply issues, natural gas prices in Europe increased while US prices fell, affecting ammonia production costs and opportunities.

Q: No questions at this time.

A: No questions to answer at this time