Compass Minerals International Q2 2026 Earnings Report

Compass Minerals International EPS Results

• Actual EPS: $0.63
• Consensus EPS: $0.59
• Beat/Miss: Beat by +$0.04
• One Year Ago EPS: $0.63

Compass Minerals International Revenue Results

• Actual Revenue: $453.20 million
• Expected Revenue: $418.97 million
• Beat/Miss: Beat by +$34.23 million
• YoY Revenue Growth: -8.40%

Compass Minerals International Announcement Details

• Quarter: Q2 2026
• Date: 5/6/2026
• Time: After Market Closes
• Conference Call Date: Thursday, May 7, 2026
• Conference Call Time: 9:30AM ET

Compass Minerals International (NYSE:CMP) is a global producer of essential mineral-based products, primarily known for its salt and plant nutrition portfolios. The company’s deicing salts are used by municipalities and commercial customers across North America to maintain safer roadways in winter months. In addition, its water conditioning salts serve both residential and industrial users, supporting water treatment systems that remove hard minerals to protect plumbing and equipment.

Beyond conventional salt products, Compass Minerals has developed a specialty plant nutrition business focused on sulfate of potash (SOP), a premium fertilizer that provides both potassium and sulfur to crops. Manufactured through a crystallization process, SOP is positioned as a higher-margin offering within the agriculture sector, supplying growers with nutrients that support yield and quality in fruit, vegetable and nut production.

The company operates production facilities and mining sites across the United States, Canada and the United Kingdom, including underground and solution mines as well as solar evaporation operations. Its integrated distribution network leverages rail, marine and road transportation assets to serve customers throughout North America and selected international markets. Corporate leadership is based in Overland Park, Kansas, where strategy, operations and sustainability initiatives are directed.

Established through the consolidation of multiple mineral operations, Compass Minerals continues to invest in production efficiency, product innovation and environmental stewardship. The company emphasizes responsible resource management and has implemented programs to reduce energy consumption, improve waste handling and support the communities surrounding its facilities. Listed on the New York Stock Exchange under the symbol CMP, Compass Minerals remains focused on delivering reliable, mission-critical minerals to its diverse customer base.

Compass Minerals International Q2 2026 Earnings Call Transcript

Key Takeaways

• Positive Sentiment: Redeemed the remaining $150 million of 2027 senior unsecured notes, reducing net debt to $639 million and lowering leverage to 2.7x, which strengthens liquidity and extends the company’s maturity runway.
• Positive Sentiment: Plant Nutrition momentum — Q2 revenue rose to $67M with adjusted EBITDA up 202% YoY to $17M; Ogden is delivering strong cost performance and the segment outlook was raised.
• Neutral Sentiment: Consolidated adjusted EBITDA was $86M in Q2 and $152M for H1 (up 32% YoY); management left full-year adjusted EBITDA midpoint essentially unchanged at $224M, but updated segment mix drove the revision.
• Negative Sentiment: Salt segment softness — Q2 salt revenue declined to $383M and tons sold fell 19% YoY; production cost per ton increased due to weather-driven geographic/product mix and slower-than-expected operational improvements, prompting a moderated salt outlook.
• Positive Sentiment: Commercial backdrop constructive — management describes the North American highway deicing market as structurally tight with low inventories in key regions and early bid-season signals supportive of pricing; company will pursue value-over-volume in upcoming tenders.

Presentation

[Operator]

Hello, everyone, and thank you for standing by. My name is Ian, and I will be your conference operator today. At this time, I would like to welcome everyone to the Compass Minerals second quarter fiscal 2026 earnings call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. Once again, that is star followed by the number one. If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Brent Collins, Vice President, Treasurer, and Investor Relations. Brent, please go ahead.

[Brent Collins, VP of Investor Relations and Treasurer at Compass Minerals]

Thank you, operator. Good morning, and welcome to the Compass Minerals fiscal second quarter 2026 earnings conference call. Today, we will discuss our most recent quarterly results. We will begin with prepared remarks from our President and CEO, Edward Dowling, and our CFO, Peter Fjellman. Joining in for the question and answer portion of the call will be Ben Nichols, our Chief Commercial Officer, and our Chief Operations Officer, Pat Merrin. Before we get started, I will remind everyone that the remarks we make today reflect financial and operational outlooks as of today's date, May 7, 2026. These outlooks entail assumptions and expectations that involve risks and uncertainties that could cause the company's actual results to differ materially. A discussion of these risks can be found in our SEC filings located online at investors.compassminerals.com. Our remarks today also include certain non-GAAP financial measures.

[Brent Collins, VP of Investor Relations and Treasurer at Compass Minerals]

You can find reconciliations of these items in our earnings release or in our presentation, both of which are also available online. With that, I will now turn the call over to Ed.

[Edward Dowling, President and CEO at Compass Minerals]

Thank you, Brent. Good morning, everyone, thank you for joining us today. I'll get right to it. In the second quarter, we retired our remaining $150 million of the 2027 senior unsecured notes earlier than anticipated. We continued to push on operational improvements at Goderich and elsewhere. We had a strong winter across much of North America, our Salt business delivered on high level of sale commitments while continuing to build on the foundation we've put in place. We are making progress, we recognize that we have more work to do. In the Plant Nutrition, we are showing outstanding momentum of the objectives we outlined two years ago. With the winter season behind us, it's worth looking at how much the first half of this year has improved from last year.

[Edward Dowling, President and CEO at Compass Minerals]

In both the Salt and Plant Nutrition businesses, revenues are up, operating margins are up, EBITDA is up, company-wide debt is down, SG&A is down. We completed new collective bargaining agreements with two of our sites, including the Goderich Mine. That's quite a great start to the year. Now, let's talk about what we're doing in each of our businesses. The improvement processes that we've successfully deployed within our SOP business is the same approach that we are using in the Salt business, starting with our larger operations. A focus on restoring good long-term operating practice is critical to improving performance, which requires that we focus on key metrics that will drive performance, safety, utilization, equipment availability, production, and development rates, and improve mining planning process, all of which are advancing. This is a key part of our back to basics framework.

[Edward Dowling, President and CEO at Compass Minerals]

Production cost per ton in the Salt business moved up year-over-year. I want to explain why. The reported number reflects several factors: regional weather activity, the product mix, the pace of our operational improvements. During the quarter, we began selling production from the current year's production, which flows through the P&L. While the production cost per ton within the mines are improving, we've not yet met the efficiency gains we've expected. Peter will walk you through this in more detail. As I noted earlier, we recently completed a new CBA with the workforce at Goderich. It was a fair agreement for everyone. It reflects a genuine partnership between the company and our workforce. This mutually beneficial arrangement allows us to continue building on the safe, reliable operation while allowing us to the mine's efficiency and flexibility.

[Edward Dowling, President and CEO at Compass Minerals]

We've also concluded CBA at another site in the process of completing negotiation at others. While the Highway Deicing season is behind us, our focus turns to building inventory and preparing for next year's deicing bid season. Our production and inventory planning will be informed in part by the commitments we win in the upcoming bid season. The North American Highway Deicing market remains structurally tight. Inventories across the system are low following the past winter, which is constructive from both the pricing and tender size growth. We're moving into the bid season within this framework firmly in mind. We'll be focused on maximizing the value of every ton we commit for the next season.

[Edward Dowling, President and CEO at Compass Minerals]

The market conditions are constructive. We'll approach the upcoming bid season with the same discipline that we've brought to the market in recent years that has allowed us to see growth in pricing and margins. Based on our first half performance, the current operational plans, we've updated our full year adjusted EBITDA guidance within the midpoint, essentially unchanged. We have adjusted the segment outlook. Plant Nutrition is running ahead. We have moderated Salt to reflect the impact of regional product mix sales as well as the pace of operational improvements I described earlier. Pete will walk you through the updated ranges. Consistent with our back to basics framework, as announced earlier this year, we simplified our portfolio with the sale of our Wynyard SOP operation, which was completed during the quarter.

[Edward Dowling, President and CEO at Compass Minerals]

The sale strengthened our cash position and now allows Plant Nutrition business to focus on our world-class Ogden facility. Turning to the balance sheet, at the end of March, we redeemed the remaining $150 million of our 2027 senior unsecured notes. We funded the pay down from cash on hand and removed our nearest maturity. This represents a significant deleveraging milestone and provides us with more financial flexibility. Reducing debt remains one of our top priorities and strengthening our balance sheet as a result. This is what investors expect, and it's what we're doing. Before I hand it over to Peter, I want to briefly note the recent changes to our board. We've added four new directors over the past year. Each brings deep knowledge and relevant experience in the industrial manufacturing businesses, some of which have direct experience in Salt and Plant Nutrition industries.

[Edward Dowling, President and CEO at Compass Minerals]

The board is aligned with our strategy and brings operating and financial expertise we need for this phase of the company's development. With that, I'll turn the call over to Peter to walk you through the numbers and our outlook.

[Peter Fjellman, CFO at Compass Minerals]

Thanks, Ed. I'll walk through our financial results as well as our updated outlook. For the second quarter of fiscal 2026, consolidated revenue was $453 million, down $41 million or 8% versus prior year Q2. The decrease is primarily due to lower Highway Deicing sales in the current quarter. Adjusted EBITDA was $86 million compared to $84 million in the prior year Q2, or up 3.3% over prior year. Adjusted EBITDA margin was 19.1% compared to 17.0% in the prior year. The improvement reflects adjusted EBITDA margin growth in both the Salt and the Plant Nutrition business, as well as lower SG&A expense year-over-year. In the Salt business, revenue was $383 million compared to $433 million in the prior year in the Q2.

[Peter Fjellman, CFO at Compass Minerals]

Tons sold were 4.1 million, down 19% versus prior year, which is a function of timing and velocity of the winter weather. On a per ton basis, operating earnings were $15.85 per ton, up 21% versus $13.10 per ton in the prior year Q2. The per ton progression reflects price realization offset partially by increased distribution and product costs. As Ed mentioned, the sales mix dynamic in Q2 warrants some additional commentary. Our Salt business serves customers and end users across several businesses from multiple production facilities across different geographies. In any given year, the volume each facility contributes depends significantly on where winter weather occurs. With different price and cost structures, volume shifts in a given season can impact comparably.

[Peter Fjellman, CFO at Compass Minerals]

The reported cost per ton reflects three things: the geographic mix driven by weather, product mix, and the production cost dynamics at the facility level. In the Plant Nutrition segment, revenue was $67 million compared to $58 million in the prior year Q2. Adjusted EBITDA was $17 million, up 202% year-over-year, with the adjusted EBITDA margin improving to 25.2% in the current quarter from only 9.6% a year ago. I want to note that we closed on the sale of our SOP operations at Wynyard during the quarter. Q2 2026 only reflects a partial contribution from that asset prior to the sale, which makes the year-over-year comparison even more impressive. The Ogden story continues to be strong. We are achieving year-over-year cost favorability from better operational execution and strong asset utilization.

[Peter Fjellman, CFO at Compass Minerals]

On a year-to-date basis, first half adjusted EBITDA was $152 million compared to $116 million in the first half of last year, a 32% increase year-over-year. Adjusted EBITDA margin for the first half of the year was 17.9% compared to 14.5% for the first half a year ago. These combined results show that the plan we put in place is working. We are working hard to maximize value, control cost, and manage working capital and inventory. The result is that we are enhancing profitability and delevering the balance sheet simultaneously. Switching to the balance sheet, as Ed noted, we redeemed the remaining $150 million of our 2027 senior unsecured notes. The redemption, which was funded from cash, extends our maturity profile and delevers the balance sheet.

[Peter Fjellman, CFO at Compass Minerals]

We also renewed our accounts receivable securitization facility during the quarter on improved terms. Combined with the retirement of the 2027 notes, our significant debt maturity is now in 2028, which gives us meaningful runway to continue executing on our operational priorities without near term refinancing pressure. At quarter end, total net debt was $639 million, down $119 million versus Q2 prior year. Our leverage ratio was 2.7x on a trailing 12 month basis compared to 4.6x last year. We are focused on continuing to strengthen that balance sheet. Liquidity at the quarter end was $379 million, comprised of cash of $74 million and revolver capacity of around $305 million.

[Peter Fjellman, CFO at Compass Minerals]

We are updating our full year adjusted EBITDA guidance range of $212 million-$236 million, with a midpoint of $224 million. We have adjusted Salt segment outlook. The midpoint is now $233 million compared to the previous midpoint of $241 million. The adjustment reflects the factors I mentioned above. Plant Nutrition adjusted EBITDA is now $43 million-$47 million compared with a midpoint of $45 million, up from the prior midpoint. Volumes are up, pricing is favorable, and Ogden is delivering strong cost performance. This is a straightforward story and a reflection of the commitment we made two years ago to restore the business to historical levels of financial performance. The range of our corporate adjusted EBITDA, capital expenditures, depreciation, depletion, and amortization, and the effective income tax rate remain unchanged.

[Peter Fjellman, CFO at Compass Minerals]

Interest expense net is now lower at $62 million-$67 million to reflect the paydown of the 2027 senior unsecured notes. Operator, we're now ready for questions.

[Operator]

Thank you. As a reminder, to ask a question, please press star followed by number one on your telephone keypad, and please limit your questions to one question and one follow-up. We will pause for just a moment to compile the Q&A roster. Our first question comes from the line of Joel Jackson with BMO Capital Markets. Your line is open.

[Evan McCaul, Analyst at BMO Capital Markets]

Hi there. Good morning. It's Evan on for Joel. Thank you for taking my question. Just a couple here. If you could talk about what we can expect from Salt costs over the next couple of years before the potential mill project comes online at Goderich.

[Edward Dowling, President and CEO at Compass Minerals]

Good morning, Joel. You know, the, we don't generally guide on costs, but, you know, as we work our way through our operational improvements, those unit costs at the mine should continue to decrease from where we, where we are now and to really our performance at the mine, if you look at in some of the key KPIs, reaching a point, heretofore left at the mine. We need to do that because we're still facing headwinds with regard to where we sit in the mine plan.

[Evan McCaul, Analyst at BMO Capital Markets]

Great. Thanks. In the full year guide for this year, in Salt, specifically, you raised volumes, but you lowered your margins. Can you talk about some of the plus and takes there? I understand some issues at Goderich, but you're also raising the volume, so just some color on that would be great.

[Edward Dowling, President and CEO at Compass Minerals]

Yeah. Let me just pass that off to Peter. That's great.

[Peter Fjellman, CFO at Compass Minerals]

Sure. Thanks for the question. Right. Overall, it's really coming down to the reported cost per ton reflects those three things that we mentioned in our opening comments. It is geographic mix, it is production dynamics at a facility level and product mix. This year, it's simply that the heavier winter proportion of winter sales into our served markets, including limited winter impact out west and volume and higher costs served markets, as well as kind of mix within our C&I business always carry different cost profiles. Our guidance is updated to reflect basically those factors.

[Evan McCaul, Analyst at BMO Capital Markets]

Okay. Can I just sneak one more in? I know it's early, but are you seeing any specific trends in the bid season coming up in terms of volumes and bids and prices and for the rock salt bid season? Any color on-

[Edward Dowling, President and CEO at Compass Minerals]

Yes

[Evan McCaul, Analyst at BMO Capital Markets]

...channel inventories?

[Edward Dowling, President and CEO at Compass Minerals]

You know, Joel, thanks for the question. You know, it's early days in the bid season here for us, very early days, but as we said before, we expect the market to be constructive. That said, you know, our primary focus is always value over volume, and we're focused on maximizing value on every ton of production across all of our facilities. I will have much better visibility to this, and be able to report on it at our Q3 earnings call.

[Evan McCaul, Analyst at BMO Capital Markets]

Thank you.

[Operator]

Our next question comes from the line of David Silver with Freedom Capital Markets. Your line is opened.

[David Silver, Analyst at Freedom Capital Markets]

Yeah. Hi. Thank you. I guess I would like to follow up maybe on Ed's comments in the press release where, you know, I'm just gonna quote you, but you said, quote-unquote, you know, "We know what we have to do. We still have work to do," in terms of addressing Salt mine production efficiency. Could you just kind of highlight, you know, what, you know, what's included in quote-unquote, you know, the work that you have to do there?

[Edward Dowling, President and CEO at Compass Minerals]

Thanks, David. Appreciate the question. This is really core to what we're really focused on in the company, is really driving our costs everywhere, not just at Goderich, but everywhere into a more competitive position. These are things like, you know, improving maintenance practices so that we can improve the availability of the equipment to actually run more hours in the day and actually take advantage of that through our utilization. We're seeing really good inputs on that, kind of elimination of waste, improvements in our mine planning efforts and other things. We've got a handful of teams underway working on this very diligently, and there's a lot more to come here. Later this month, we'll be commissioning a bunch of other teams to really tackle some really great enterprise opportunities for us.

[Edward Dowling, President and CEO at Compass Minerals]

Let me just ask Pat if there's anything else you'd like to add to that.

[Pat Merrin, COO at Compass Minerals]

No. Hi, David. This is Pat. I think Ed's hit those points well. We're focused on the basic fundamentals of how mines operate. That comes down to, you know, at Goderich, are the machines getting fixed? Are they available? Are we using them? Are we using them the way we should be? Optimization of our mine planning process, which is all of which has been underway for 1 year or so. We're seeing benefits of that. They're just not coming in as quickly as we would have liked. The improvements are continuing.

[Edward Dowling, President and CEO at Compass Minerals]

Yeah. Thanks for that, Pat. You know, we are seeing, you know, some really great shoots coming up from this effort. Feel pretty good about that. You know, we'll be reporting more and more on this as time goes by.

[David Silver, Analyst at Freedom Capital Markets]

If I could just follow up on your comments about the new collective bargaining agreements, in particular, I'm gonna ask you, well, whatever is most important, but I was thinking Goderich first. In particular, I know that over a longer period of time, you know, there has been some meaningful changes in how, you know, you go about things and allocate labor, you know, at the mine. Does the current collective bargaining agreement that you highlighted include any greater flexibility on your part in terms of how you can deploy, you know, labor and equipment, you know, just in the normal day-to-day operation of Goderich? Thank you.

[Edward Dowling, President and CEO at Compass Minerals]

Yeah. The, the simple answer to that is yes. It's a mutually beneficial agreement, and we're all incented, including the workforce, to improve performance. Let me pass it off to Pat, and he can give you a little more color on that, we wanna keep this pretty high level.

[Pat Merrin, COO at Compass Minerals]

Yeah. David, we can't get too far into the details. What I will say is that we have spent a lot of time over the last 18 months or so working on the relationship with our union, which has improved dramatically. I think the CBA reflects our desire and their desire to see the site succeed. You know, we're looking forward to continuing to work with, you know, our workforce in driving improvements from safety, costs, and tonnage, and we think the CBA is gonna allow us to do that.

[David Silver, Analyst at Freedom Capital Markets]

Okay. I appreciate you keeping it high level. One last question from me, and it would be regarding, you know, Ogden and the very strong, you know, improvement there on your SOP business. When I look at the results, I mean, there's a number of highlights, but I'm just kinda scratching my head and wondering, is the meaningful improvement there in, let's say, per ton margins, really all the metrics, but how much of the improvement there is related to, let's say, you know, accessing more brine-based tons or, you know, more brine-based potassium as opposed to, you know, supplemental purchases of KCl?

[David Silver, Analyst at Freedom Capital Markets]

How much of it is maybe just nuts and bolts of operating, you know, the evaporation ponds and everything versus maybe tapping into a richer source of brine with more, you know, potassium in the original brine? Thank you.

[Edward Dowling, President and CEO at Compass Minerals]

Yeah. Yeah, David, that's a great question. It depends where you really start the clock of looking at it. You know, we turn the clock back a couple of years, you remember our earnings out of that entire business, including Wynyard, was something in the mid-teens. Now we're going back to sort of historical levels of about $50 million a year, which is really kind of $40 million-$50 million is what we said was our target. We're there, with more improvement to come. A lot of that improvement is exactly what you said. It's about managing the ponds correctly and building up the Salt at the right grade. Remember we talked about the harvest to production ratio and all those sort of details.

[Edward Dowling, President and CEO at Compass Minerals]

Getting that right and then putting sufficient inventory in front of our wet plant so that we can manage and stabilize the plant in a better way. That's been a great success for us. We'll continue to do that. I just wanna remind you that we'll continue to supplement as appropriate with KCl. The big improvement over the last couple of years is really just managing the ponds better, restoring that. Remind you that we're not done yet, that we've got an important capital project to execute, which will be done as later next year, where we're going to, which is really the dryer compaction plant, where we have yield losses and other things, so high, very high circulating loads, inefficient operations, make a product that we could wanna improve the quality of.

[Edward Dowling, President and CEO at Compass Minerals]

We'll execute that project, and we'll see more capacity at lower cost, all things being equal, with a better quality, than what we're producing right now.

[David Silver, Analyst at Freedom Capital Markets]

Okay. Thank you for all the color. I am gonna get back in the queue, so thank you.

[Operator]

Once again, a reminder, if you'd like to ask a question, please press star followed by the number one on your telephone keypad. Once again, that is star followed by the number one. We'll pause for just another moment here to compile the Q&A roster. We have a question from David Silver of Freedom Capital Markets. Your line is opened.

[David Silver, Analyst at Freedom Capital Markets]

Okay, great. Thanks very much. I did want to ask a question, I guess, about your particular tax situation here, you know, as you look at fiscal 2026. In particular, you know, I would love to maybe get Peter's comments on what kind of cash tax liability maybe in a reasonable range, you know, we should expect. I mean, it's a very complicated tax, you know, analysis to do with the different geographies and on top of that, the big, you know, settlement with the government of Ontario, I guess.

[David Silver, Analyst at Freedom Capital Markets]

You know, in thinking about kind of, you know, if we're trying to do our cash flow work here, free cash flow work, what, you know, what could you point us to in terms of, you know, a cash tax liability for this year?

[Edward Dowling, President and CEO at Compass Minerals]

Okay. Well, look, it is a complicated question. The short answer is within our guidance, you know, everything's built into that. Nothing's really changed. In terms of the details, let me pass it off to Peter to try to address your question with a little more substance.

[Peter Fjellman, CFO at Compass Minerals]

Sure. Thank you. David, thanks for the question. Look, as we spoke before, right, the tax at Compass here swings in our effective tax rate is what happens, right? It's based on relatively, you know, income in Canada, losses in the U.S., that being a relatively small number for income tax purposes, right? As we think through how that's compared and comparability, that number will tend to fluctuate quite a bit from an effective tax rate. From a cash standpoint, which is your question, remember that we did make some OMT related to the Ontario mining matter, had a resolution of that in previous quarters. Working through that, but obviously have adjusted our balance sheet and our cash payments in previous quarters, and we're working through that as well.

[Peter Fjellman, CFO at Compass Minerals]

At this point, there's not a lot to guide on cash tax, and we'll have a better update here in Q3 and Q4.

[Edward Dowling, President and CEO at Compass Minerals]

Yeah. Thanks, Peter. You know, just let me just close here with that thought. You know, put yourself back a year or two, we had a lot of sort of non-core business issues in the company. Getting these matters behind us in terms of the refinancing that we've done, the Ontario mining tax, a number of legal issues, we've really cleared much of this out of the company. The great news there, it's allowed us to really focus on more on what's important.

[David Silver, Analyst at Freedom Capital Markets]

Okay. Great. Just last one for me, but, you know, just at a very high level, I mean, I, I do have a question about your thinking, heading into this, current, bid season. I know it's very, very early days and whatnot, but you know, when I think about how the past winter played out, I mean, when we spoke, I don't know, 2.5 months ago, you know, it was really kind of, you know, hand to mouth, or, you know, very tight, supply across, you know, your primary marketing region. You know, the way the winter worked out, I mean, the last month or so was pretty calm or pretty mild, I guess you'd say.

[David Silver, Analyst at Freedom Capital Markets]

I'm just kinda wondering, do you think the industry is still kind of, you know, in a scarcity mode, or has the mild March weather, I mean, given a, given a chance for the situation to kind of normalize? Just, you know, last year you got single digits or low single digits on volume and price, and I'm just kinda scratching my head. I'm pretty sure, you know, you're interested in, you know, improving upon that result. You know, maybe just some comments from the field, what you think the winter-ending inventories look like maybe at the key customers and yourselves. Thank you.

[Edward Dowling, President and CEO at Compass Minerals]

Let me just make an early comment. It's always important when we talk about inventories to talk about where. You know, we had a really strong winter in much of our, how to call it, northern system, and inventories remained tight there. We had a better winter in the south. That's part of what's driving the mix and costs. In the U.K. and out west, out west particularly, where our lowest cost Salts actually produce, it was less so. Those inventories remain higher there. It's really important to kinda understand where you are. Within that context, our objective is to maximize value. Let me pass it off to Ben here for some comments.

[Ben Nichols, Chief Commercial Officer at Compass Minerals]

Good morning, David. This is Ben. I think, as Ed stated, we think that the scenario is very constructive for value moving forward. You know, we see the industry is thin on inventories coming out of the last season, all things being equal. While it is early in the bid process, you know, the few data points that we have seen are positive and support the thesis that we've stated. We're excited about the bid season. The team's very focused on driving value for every ton that we sell, and we'll have a lot more detail for you when we get together about a quarter from now.

[David Silver, Analyst at Freedom Capital Markets]

Very helpful. Thank you very much. Appreciate it.

[Operator]

With no additional questions-

[Edward Dowling, President and CEO at Compass Minerals]

Thanks, David.

[Operator]

...in the queue, I'll turn it back to Ed Dowling, President and CEO, for closing remarks.

[Edward Dowling, President and CEO at Compass Minerals]

Well, thank you all for your questions and your interest in Compass Minerals. I'm gonna leave you with this. We had a strong quarter, but the journey isn't finished. Some of the hard work has continued to drive operational improvements, and we are. Some is continue to improve the Plant Nutrition business, and we are. Some of it's retiring debt to improve our balance sheet, and we are. Some of it's discipline execution on our commercial side. We're doing that too. The direction is right, strategy's sound, the team is committed. We look forward to updating you on our next call.

[Operator]

Thank you. This concludes today's conference call. You may now disconnect.

Participants

Analysts

• Ben Nichols, Chief Commercial Officer at Compass Minerals
• Brent Collins, VP of Investor Relations and Treasurer at Compass Minerals
• David Silver, Analyst at Freedom Capital Markets
• Edward Dowling, President and CEO at Compass Minerals
• Evan McCaul, Analyst at BMO Capital Markets
• Pat Merrin, COO at Compass Minerals
• Peter Fjellman, CFO at Compass Minerals