Fertiglobe has released details of its ‘Grow 2030’ strategy, which aims to increase its EBITDA by over US$1 billion by the end of 2030. The target is based on 2024 prices and is comparable to the company’s reported EBITDA of US$629 million in 2024.
Fertiglobe aims to reach its 2030 EBITDA target via four strategic pillars – operational excellence (targeting US$165 million – US$175 million by 2030); customer proximity (US$30 million – US$45 million); nitrogen product expansion (US$75 million – US$100 million) and disciplined low-carbon ammonia growth (US$70 million – US$100 million).
Fertiglobe growth roadmap
The world’s largest seaborne exporter of urea and ammonia combined and the largest nitrogen fertiliser producer in MENA region reported revenues of US$695 million in Q1 2025, reflecting a 26 per cent increase against the same period last year, and a 49 per cent increase sequentially to the fourth quarter of 2024. Adjusted EBITDA for the period totalled US$261 million, up 45 per cent YoY and 65 per cent QoQ.
Fertiglobe had made a strategic decision to exploit the rising nitrogen prices, sacrificing some of its profit in the last quarter of 2024, and the move has paid dividends.
Ahmed El-Hoshy, CEO of Fertiglobe, commented: “We are pleased to announce a strong set of Q1 2025 results, driven by robust operational performance and supportive market conditions.
“Operationally, we delivered a 7 per cent increase in our own-produced sales volumes vs Q1 2024, and 31 per cent vs Q4 2024. This was driven by the strategic shift of shipments from Q4 to capitalise on improving market conditions, and improved plant operating rates, reflecting successful execution on Phase 1 of the Manufacturing Improvement Plan focused on enhancing energy and production efficiency.
El-Hoshy also praised the company’s safety as it achieved 10 million safe manhours and 14 months without any reportable events.
“This is a major milestone, and we are committed to sustaining and enhancing this performance as we move towards a zero-injury environment,” El-Hoshy added.
On Fertiglobe’s ‘Grow 2030 Strategy’, El-Hoshy added: “This strategy aligns with the global imperative of food security and ensures we are well positioned to capture upside from the energy transition.
“It presents a clear vision to achieving sustainable operational excellence and cost leadership. With Phase 1 of the cost optimisation program completed, and Phase 1 of the Manufacturing Improvement Plan 80 per cent underway, Fertiglobe today commits to new value enhancement initiatives.
“These include Phase 2 of the cost optimisation programme, targeting US$35 million in annual run rate savings by 2027-end, and Phase 2 of the MIP, aiming for US$80 million in additional EBITDA within the same timeframe. Together, value enhancement initiatives underway are expected to contribute US$165 million to US$175 mn to EBITDA on a run rate basis by the end of 2027.
“We are also enhancing our downstream presence in high-netback markets. Our recent acquisition of Wengfu’s distribution assets in Australia supports this refreshed approach, improving market presence and price realisations in core markets.”
Fertiglobe is also advancing its sustainable, higher-margin product portfolio, including Automotive Grade Urea (AGU), Diesel Exhaust Fluid (DEF) and urea with inhibitors, which are projected to add US$75 million to US$100 million in annual EBITDA by 2030.
“We are excited to have successfully completed trials for the production of AGU in Egypt with thyssenkrupp Uhde Fertilizer Technology (tk UFT) with plans to have exclusive rights for this new technology. This will enable us to create a fully integrated DEF value chain by entering into an agreement with DF Group for the supply of AGU,” El-Hoshy added.
Majority shareholder ADNOC continues to play a central role in Fertiglobe’s transformation, as demonstrated by the integration of US$15 million to US$21 million of run rate fixed cost savings and other optimisation initiatives by year end 2025. This is part of Fertiglobe’s new US$35 million cost reduction target, which includes reducing financing costs by US$10 million.
“Fertiglobe is strongly positioned for its next phase of growth and value creation, and I am confident in our ability to deliver on this strategy,” El-Hoshy concluded.
