Company: CF
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001324404-25-000015
Chunk: 20

Company: CF Industries Holdings, Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 2
Chunk 20
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, and a 3% increase in sales volume, which increased gross margin by $5 million. These factors that increased gross margin were partially offset by an increase in realized natural gas costs, including the impact of realized derivatives, which reduced gross margin by $16 million. Gross margin also includes the impact of a $9 million unrealized net mark-to-market gain on natural gas derivatives in the three months ended March 31, 2024.

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Table of ContentsCF INDUSTRIES HOLDINGS, INC. 

UAN Segment

Our UAN segment produces urea ammonium nitrate solution (UAN). UAN, a liquid fertilizer product with a nitrogen content that typically ranges from 28% to 32%, is produced by combining urea and ammonium nitrate. UAN is produced at our Courtright, Donaldsonville, Port Neal, Verdigris, Woodward, and Yazoo City complexes.

The following table presents summary operating data for our UAN segment:

 Three Months Ended March 31, 202520242025 v. 2024 (dollars in millions, except per ton amounts)Net sales$470 $425 $45 11 %Cost of sales328 282 46 16 %Gross margin$142 $143 $(1)(1)%Gross margin percentage30.2 %33.6 %(3.4)%Sales volume by product tons (000s)1,875 1,611 264 16 %Sales volume by nutrient tons (000s)(1)593 509 84 17 %Average selling price per product ton$251 $264 $(13)(5)%Average selling price per nutrient ton(1)$793 $835 $(42)(5)%Gross margin per product ton$76 $89 $(13)(15)%Gross margin per nutrient ton(1)$239 $281 $(42)(15)%Depreciation and amortization$73 $69 $4 6 %Unrealized net mark-to-market loss (gain) on natural gas derivatives$1 $(10)$11 N/M

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N/M—Not Meaningful

(1)UAN represents between 28% and 32% of nitrogen content, depending on the concentration specified by the customer. Nutrient tons represent the tons of nitrogen within the product tons.

First Quarter of 2025 Compared to First Quarter of 2024