Yara reports higher margins and strong volumes in Q1 2026
- EBITDA excluding special items was USD 896 million in 1Q2026, with net income of USD 327 million.
- The Strait of Hormuz blockage disrupted roughly one-third of globally traded urea and constrained inputs including natural gas, ammonia, phosphates and sulphur.
- The company reported increased nitrogen margins and strong deliveries during the quarter.
- Yara can source ammonia globally and optimize production if regional gas prices make local ammonia production unprofitable.
Financial results
Yara reported EBITDA excluding special items of USD 896 million in 1Q 2026 (USD 638m in 1Q 2025) and net income of USD 327 million (USD 295m a year earlier); the quarter featured increased nitrogen margins and strong deliveries.
Market disruption
The conflict in the Middle East and blockage of the Strait of Hormuz caused major supply shocks, disrupting roughly one-third of globally traded urea and constraining inputs including natural gas, ammonia, phosphates and sulphur, which pushed fertilizer prices higher.
Operational response
Yara maintained high production levels and used its global production and sourcing flexibility to optimize across markets; it can source ammonia globally and adjust production when regional gas prices make local ammonia production unprofitable, as occurred in 2022.
Implications
Management noted increased pressure on the global food system and farmer affordability from these disruptions and said the company is focused on upholding production and deliveries amid higher regional price and demand volatility.
Source: Yara