COMPASS MINERALS INTERNATIONAL INC

Loss-making salt/plant-nutrition miner with very high leverage and a recent restatement/material weakness.

Strengths

• Positive operating cash flow (OCF margin 15.9%, 63.6th pct)
• Advantaged salt assets (Goderich/Cote Blanche) and distribution network
• Adequate current ratio 2.15

Risks

• Loss year: net margin -6.4%, ROE -34% (25th), ROA -5.25% (43.8th pct)
• Distress-adjacent leverage: debt/equity 3.55 (100th pct)
• Material weaknesses in internal controls and a prior restatement; weather-dependent demand

Notable findings

• RestatementRisks Related to our Restatement and Internal Controls Management identified material weaknesses in the Company’s internal control over financial reporting that resulted in errors in financial stat 8-K ↗
• High leverageHigh leverage (debt/equity 3.55)
• Net lossNet loss (net margin -6.4%)
• Material weaknessRisks Related to our Restatement and Internal Controls Management identified material weaknesses in the Company’s internal control over financial reporting that resulted in errors in financial stat
• Customer concentration~63% of revenue from one customer/distributor — Highway deicing, including salt sold to chemical customers, constituted 63% of our fiscal 2025 Salt segment sales