Why did Yara's second-quarter core earnings fall short of expectations despite a 39% year-on-year rise in EBITDA?

Yara's second-quarter core earnings missed expectations because although EBITDA excluding special items rose 39% year-on-year to $906 million — driven by higher nitrogen prices boosting margins — this gain was partially offset by a $240 million reduction from lower volumes and product mix, as deliveries fell 17%; overall, the $906 million result was below the $1.13 billion analysts had expected.

What caused the decline in Yara's operating cash flow and how did farmer behavior contribute?

Yara's quarterly operating cash flow fell to $682 million from $878 million a year earlier due to delayed farmer purchases, which built up inventories; CEO Svein Tore Holsether explained that farmers postponed buying because fertilizer prices peaked when they had no immediate need for application, leading to reduced near-term demand and cash inflows.