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Segment Disclosures
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Segment Disclosures
Our reportable segments consist of Ammonia, Granular Urea, UAN, AN and Other. These segments are differentiated by products. Our chief operating decision maker (CODM) is our President and Chief Executive Officer, who uses gross margin to evaluate segment performance and allocate resources. The CODM meets periodically with other members of senior management to analyze segment performance, including comparing actual results to projected results, with consideration to the costs incurred to produce and deliver the product. In addition, our CODM uses gross margin by reportable segment to make key operating decisions, such as the determination of capital expenditures and the allocation of operating budgets, to help guide strategic decisions to align with company-wide goals. Other operating costs and expenses (consisting primarily of selling, general and administrative expenses and other operating (income) expense—net) and non-operating expenses (consisting primarily of interest and income taxes) are centrally managed and are not included in the measurement of segment profitability reviewed by the CODM. The ammonia and other products that are upgraded into Granular Urea, UAN, AN and Other products are transferred at cost into the results of those products.
Segment data for gross margin, including sales and cost of sales, which also includes significant expenses, for the three months ended March 31, 2026 and 2025 are presented in the tables below.
Three months ended 
March 31,
 20262025
 (in millions)
Ammonia
Net sales$627 $520 
Cost of sales:
Natural gas, including the impact of realized derivatives(1)
136 110 
Unrealized net mark-to-market (gain) loss on natural gas derivatives(1)1 
Depreciation and amortization(2)
69 55 
Distribution and storage(3)
39 37 
Freight(4)
15 15 
Other segment items(5)
142 116 
Total cost of sales
400 334 
Gross margin$227 $186 
Granular Urea
Net sales$590 $439 
Cost of sales:
Natural gas, including the impact of realized derivatives(1)
130 95 
Unrealized net mark-to-market gain on natural gas derivatives(1)— 
Depreciation and amortization(2)
76 71 
Distribution and storage(3)
4 3 
Freight(4)
11 7 
Other segment items(5)
115 90 
Total cost of sales
335 266 
Gross margin$255 $173 
Three months ended 
March 31,
 20262025
 (in millions)
UAN
Net sales$583 $470 
Cost of sales:
Natural gas, including the impact of realized derivatives(1)
113 104 
Unrealized net mark-to-market (gain) loss on natural gas derivatives(1)1 
Depreciation and amortization(2)
64 73 
Distribution and storage(3)
15 13 
Freight(4)
36 36 
Other segment items(5)
106 101 
Total cost of sales
333 328 
Gross margin$250 $142 
AN
Net sales$58 $101 
Cost of sales:
Natural gas, including the impact of realized derivatives(1)
1 10 
Depreciation and amortization(2)
3 8 
Freight(4)
3 7 
Other segment items(5)
62 60 
Total cost of sales
69 85 
Gross margin$(11)$16 
Other(6)
Net sales$128 $133 
Cost of sales:
Natural gas, including the impact of realized derivatives(1)
17 15 
Depreciation and amortization(2)
16 13 
Freight(4)
14 16 
Other segment items(5)
56 34 
Total cost of sales
103 78 
Gross margin$25 $55 
Three months ended 
March 31,
 20262025
 (in millions)
Consolidated
Net sales$1,986 $1,663 
Cost of sales:
Natural gas, including the impact of realized derivatives(1)
397 334 
Unrealized net mark-to-market (gain) loss on natural gas derivatives(3)2 
Depreciation and amortization(2)
228 220 
Distribution and storage(3)
58 53 
Freight(4)
79 81 
Other segment items(5)
481 401 
Total cost of sales
1,240 1,091 
Gross margin746 572 
Total other operating (income) expense—net(7)
(111)121 
Equity in earnings of operating affiliate6 4 
Operating earnings$863 $455 
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(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 March 31, 2026 and 2025, depreciation and amortization does not include $8 million of depreciation and amortization allocated to Corporate, which includes amortization of definite-lived intangible assets. For the three months ended March 31, 2026 and 2025, depreciation and amortization does not include $8 million and $7 million, respectively, 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, Granular Urea, UAN or AN segments. All other products primarily include DEF, urea liquor, nitric acid and aqua ammonia.
(7)Total other operating (income) expense—net for the three months ended March 31, 2026 includes a gain of approximately $170 million related to a litigation settlement. See Note 13—Litigation Settlement Gain for additional information.

Our assets, with the exception of goodwill, are not monitored by or reported to our CODM by segment; therefore, we do not present total assets by segment. The following table shows the carrying amount of goodwill by reportable segment as of March 31, 2026 and December 31, 2025:
AmmoniaGranular UreaUANANOtherTotal
(in millions)
Goodwill as of December 31, 2025$981 $828 $576 $69 $39 $2,493 
Effect of exchange rate changes(1)— — — — (1)
Goodwill as of March 31, 2026$980 $828 $576 $69 $39 $2,492