Company: CF
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001324404-25-000024
Chunk: 78

Company: CF Industries Holdings, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 78
---
4)80 79 161 160 Other segment items(5)429 362 830 813 Total cost of sales1,135 893 2,226 1,954 Gross margin$755 $679 $1,327 $1,088 Total other operating costs and expenses109 38 230 146 Equity in earnings (losses) of operating affiliate2 (3)6 (1)Operating earnings$648 $638 $1,103 $941 _______________________________________________________________________________(1)Natural gas costs include the impact of realized gains and losses on natural gas derivatives settled during the period.(2)For the three months ended June 30, 2025 and 2024, depreciation and amortization does not include $8 million and $9 million, respectively, of depreciation and amortization allocated to Corporate, which includes amortization of definite-lived intangible assets. For the six months ended June 30, 2025 and 2024, depreciation and amortization does not include $16 million and $19 million, respectively, of depreciation and amortization allocated to Corporate, which includes amortization of definite-lived intangible assets. For both the three months ended June 30, 2025 and 2024, depreciation and amortization does not include $8 million of amortization related to the Supply Contract liability, which is recognized in net sales. For both the six months ended June 30, 2025 and 2024, depreciation and amortization does not include $15 million of amortization related to the Supply Contract liability, which is recognized in net sales. See Note 3—Revenue Recognition for additional information on the Supply Contract liability.(3)Distribution and storage costs consist of the cost of freight required to transport finished products from our manufacturing facilities to our distribution facilities and the costs to operate our network of distribution facilities in North America.(4)Freight costs consist of the costs incurred by us to deliver products from one of our plants or distribution facilities to the customer. Freight costs are generally charged to the customer and included in net sales. In situations when control of the product transfers upon loading and the customer requests that we arrange delivery of the product, the amount of freight included in net sales is considered freight revenue. (5)Other segment items is primarily comprised of payroll, services, materials and supplies, and utilities at our manufacturing facilities.(6)Other consists of all other products not included in our Ammonia,