{"id":476280,"date":"2021-04-14T09:06:52","date_gmt":"2021-04-14T13:06:52","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/adama-provides-net-income-estimate-for-q1-2021\/"},"modified":"2021-04-14T09:06:52","modified_gmt":"2021-04-14T13:06:52","slug":"adama-provides-net-income-estimate-for-q1-2021","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/adama-provides-net-income-estimate-for-q1-2021\/","title":{"rendered":"ADAMA Provides Net Income Estimate for Q1 2021"},"content":{"rendered":"<div class=\"xn-newslines\">\n<h2 class=\"xn-hedline\">Robust business growth expected to drive higher reported net profit<\/h2>\n<p class=\"xn-distributor\">PR Newswire<\/p>\n<\/p><\/div>\n<div class=\"xn-content\">\n<p>\n        <span class=\"xn-location\">TEL AVIV, Israel<\/span> and <span class=\"xn-location\">BEIJING<\/span>, <span class=\"xn-chron\">April 14, 2021<\/span> \/PRNewswire\/ &#8212; ADAMA Ltd. (the &#8220;Company&#8221;) (SZSE: 000553), today provided an estimate regarding its financial performance for the first quarter of 2021. <\/p>\n<div class=\"PRN_ImbeddedAssetReference\" id=\"DivAssetPlaceHolder1\">\n<p>\n          <a href=\"https:\/\/mma.prnewswire.com\/media\/799829\/Adama_Agricultural_Solutions_Logo.html\" target=\"_blank\" rel=\"nofollow noopener\"><br \/>\n            <img decoding=\"async\" src=\"https:\/\/mma.prnewswire.com\/media\/799829\/Adama_Agricultural_Solutions_Logo.jpg\" title=\"Adama Agricultural Solutions Ltd. (PRNewsfoto\/Adama Agricultural Solutions Ltd)\" alt=\"Adama Agricultural Solutions Ltd. (PRNewsfoto\/Adama Agricultural Solutions Ltd)\" \/><br \/>\n          <\/a>\n        <\/p>\n<\/p><\/div>\n<p>\n        <b>Sales<\/b>\n      <\/p>\n<p>ADAMA is expecting to report record-high first quarter sales, with estimated top-line growth of more than 13% (6% in RMB terms), driven by continued robust volume growth in almost all key regions.<\/p>\n<p>The Company is expecting to record strong growth in <span class=\"xn-location\">Asia Pacific<\/span>, both in <span class=\"xn-location\">China<\/span> and beyond. In <span class=\"xn-location\">China<\/span>, ADAMA saw significant growth in the quarter both from its branded, formulated portfolio, which was driven by higher cereal demand due to an increase in field crop planted areas and an early start to the Q2 season, as well as from its sales of raw materials and intermediates. Sales in the country were further bolstered by the inclusion of the Company&#8217;s recent acquisition of Jiangsu Huifeng&#8217;s domestic commercial crop protection business. <\/p>\n<p>In the rest of APAC, the Company benefited from favorable seasonal conditions to deliver strong growth, despite a slower recovery from COVID-19 challenges in <span class=\"xn-location\">Asia<\/span>. <\/p>\n<p>Continued positive weather conditions also supported robust growth in the <span class=\"xn-location\">India<\/span>, <span class=\"xn-location\">Middle-East<\/span> &amp; <span class=\"xn-location\">Africa<\/span> region. <\/p>\n<p>In <span class=\"xn-location\">North America<\/span>, a strong performance from the Company&#8217;s Consumer and Professional business drove growth in the region, benefiting from the reopening of the economy after COVID-19 related restrictions in 2020, and more than offset a somewhat softer performance in the US crop protection business. <\/p>\n<p>The Company continues its growth trajectory in <span class=\"xn-location\">Latin America<\/span>, driven by solid volume growth and good performance from recent product launches in the region, and despite somewhat lower sales in <span class=\"xn-location\">Brazil<\/span> following a strong end to the fourth quarter there last year. \u00a0<\/p>\n<p>Sales in <span class=\"xn-location\">Europe<\/span> are expected to be somewhat lower in the quarter, with growth in the south, where favorable market conditions drove good demand, being outweighed by a slow start to the season in the north and east, especially when compared to Q1 2020 which saw strong orders from distribution in anticipation of the COVID-related shutdowns that soon followed.<\/p>\n<p>\n        <b>Net Income<\/b>\n      <\/p>\n<p>Reported Net Income in the quarter is expected to be significantly improved against the loss recorded in the corresponding period last year. This improvement is driven by the strong sales growth, resulting in higher reported operating income, and is expected to be achieved despite somewhat higher financial expenses expected in the quarter.<\/p>\n<div class=\"prntal\">\n<table cellspacing=\"0\" cellpadding=\"0\" border=\"0\" class=\"prntblns\">\n<tr>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\"><br \/>\n                  <b>Reported<\/b><br \/>\n                  <b>\u00a0Net Income<\/b><br \/>\n                <\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\"><br \/>\n                  <b>Estimated Q1 2021<\/b><br \/>\n                <\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\"><br \/>\n                  <b>Q1 2020<\/b><br \/>\n                <\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Net income attributable to shareholders (USD millions)<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen3\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">22 \u2013 32<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen3\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">-2<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen4\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Earnings per share (USD)<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen4\">\n              \n            <\/td>\n<td class=\"prngen5\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">0.0094 \u2013 0.0137<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen4\">\n              \n            <\/td>\n<td class=\"prngen5\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">-0.0010<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Net income attributable to shareholders (RMB millions)<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen3\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">143 \u2013 207<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen3\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">-17<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen4\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Earnings per share (RMB)<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen4\">\n              \n            <\/td>\n<td class=\"prngen5\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">0.0612 \u2013 0.0890<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen4\">\n              \n            <\/td>\n<td class=\"prngen5\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">-0.0068<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<\/tr>\n<\/table><\/div>\n<p>The Company&#8217;s Reported Net Income in the first quarter of 2021 is expected to reflect around <span class=\"xn-money\">$32 million<\/span> (Q1 2020: <span class=\"xn-money\">$44 million<\/span>) of net expenses in respect of certain non-operational, mostly non-cash items, including mainly:<\/p>\n<p>\u00a0 i.\u00a0 Approximately <span class=\"xn-money\">$15 million<\/span> in Q1 2021 (Q1 2020: <span class=\"xn-money\">$15 million<\/span>) of Relocation &amp; Upgrade-related costs, including mainly (a) higher procurement costs incurred as the Company continued to fulfill demand for its products in order to protect its market position, through replacement sourcing at significantly higher costs from third-party suppliers; and (b) idleness charges largely related to suspensions at the facilities being relocated;<\/p>\n<p>\u00a0 ii.\u00a0 Approximately <span class=\"xn-money\">$8 million<\/span> in Q1 2021 (Q1 2020: <span class=\"xn-money\">$8 million<\/span>) in non-cash amortization charges in respect of Transfer assets received from Syngenta related to the 2017 ChemChina-Syngenta acquisition;<\/p>\n<p>\u00a0 iii.\u00a0 Approximately <span class=\"xn-money\">$3 million<\/span> in Q1 2021 (Q1 2020: <span class=\"xn-money\">$2 million<\/span>) in charges related mainly to the non-cash amortization of intangible assets created as part of the Purchase Price Allocation (PPA) on acquisitions, with no impact on the ongoing performance of the companies acquired, as well as other M&amp;A-related costs.<\/p>\n<p>Excluding the impact of the abovementioned non-operational, mostly non-cash items, the Company is expecting to deliver the following Adjusted Net Income:<\/p>\n<div>\n<table cellspacing=\"0\" cellpadding=\"0\" border=\"0\" class=\"prntblns\">\n<tr>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\"><br \/>\n                  <b>Adjusted<\/b><br \/>\n                  <b>\u00a0Net Income<\/b><br \/>\n                <\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\"><br \/>\n                  <b>Estimated Q1 2021<\/b><br \/>\n                <\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\"><br \/>\n                  <b>Q1 2020<\/b><br \/>\n                <\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Net income attributable to shareholders (USD millions)<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen3\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">54 \u2013 64<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen3\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">41<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen4\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Earnings per share (USD)<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen7\">\n              \n            <\/td>\n<td class=\"prngen5\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">0.0231 \u2013 0.0274<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen7\">\n              \n            <\/td>\n<td class=\"prngen5\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">0.0170<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Net income attributable to shareholders (RMB millions)<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen3\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">349 \u2013 414<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen3\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">289<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen4\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Earnings per share (RMB)<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen7\">\n              \n            <\/td>\n<td class=\"prngen5\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">0.1499 \u2013 0.1777<\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen7\">\n              \n            <\/td>\n<td class=\"prngen5\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">0.1182<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<td class=\"prngen6\">\n              \n            <\/td>\n<\/tr>\n<\/table><\/div>\n<p>\n        <i>Note: The Q1 2020 Adjusted Net Income shown above has been amended from that presented at the time to include additional adjustments in order to consistently reflect largely the treatment of Relocation &amp; Upgrade Program-related costs amongst other adjustments that the Company has deemed non-operational and one-time in nature.<\/i>\n      <\/p>\n<p>These estimations are preliminary and have not been audited or reviewed by the Company&#8217;s auditors. These estimations may change, inter alia, as a result of the further processing and analysis of the financial data that the Company will perform for the preparation of its financial statements which will be released on <span class=\"xn-chron\">April 28, 2021<\/span>.<\/p>\n<p>Investors are reminded to exercise caution when making investment decisions.<\/p>\n<p>\n        <b>About ADAMA<\/b>\n      <\/p>\n<p>ADAMA Ltd. (SZSE: 200553) is a global leader in crop protection, providing solutions to farmers across the world to combat weeds, insects and disease. ADAMA has one of the widest and most diverse portfolios of active ingredients in the world, state-of-the art R&amp;D, manufacturing and formulation facilities, together with a culture that empowers our people in markets around the world to listen to farmers and ideate from the field. This uniquely positions ADAMA to offer a vast array of distinctive mixtures, formulations and high-quality differentiated products, delivering solutions that meet local farmer and customer needs in over 100 countries globally. For more information, visit us at <u><a target=\"_blank\" href=\"http:\/\/www.adama.com\/\" rel=\"nofollow noopener\">www.ADAMA.com<\/a><\/u> and follow us on Twitter<sup>\u00ae<\/sup> at <u><a target=\"_blank\" href=\"https:\/\/twitter.com\/AdamaAgri\" rel=\"nofollow noopener\">@ADAMAAgri<\/a><\/u>.<\/p>\n<p>Logo &#8211; <a target=\"_blank\" href=\"https:\/\/mma.prnewswire.com\/media\/799829\/Adama_Agricultural_Solutions_Logo.jpg\" rel=\"nofollow noopener\">https:\/\/mma.prnewswire.com\/media\/799829\/Adama_Agricultural_Solutions_Logo.jpg<\/a><\/p>\n<p>\n        <b>Contact<\/b>\n      <\/p>\n<p>\n        <span class=\"xn-person\">Ben Cohen<\/span><br \/>\n        <br \/>Global Investor Relations<br \/>Email: <a target=\"_blank\" href=\"mailto:ir@adama.com\" rel=\"nofollow noopener\">ir@adama.com<\/a><\/p>\n<p>\n        <span class=\"xn-person\">Zhujun Wang<\/span><br \/>\n        <br \/>China Investor Relations<br \/>Email: <a target=\"_blank\" href=\"mailto:irchina@adama.com\" rel=\"nofollow noopener\">irchina@adama.com<\/a><\/p>\n<div class=\"PRN_ImbeddedAssetReference\" id=\"DivAssetPlaceHolder2\"><\/div>\n<p id=\"PURL\">\n        <img loading=\"lazy\" decoding=\"async\" title=\"Cision\" width=\"12\" height=\"12\" alt=\"Cision\" src=\"https:\/\/c212.net\/c\/img\/favicon.png?sn=LN42263&amp;sd=2021-04-14\" \/> View original content to download multimedia:<a id=\"PRNURL\" rel=\"nofollow\" href=\"http:\/\/www.prnewswire.com\/news-releases\/adama-provides-net-income-estimate-for-q1-2021-301268823.html\">http:\/\/www.prnewswire.com\/news-releases\/adama-provides-net-income-estimate-for-q1-2021-301268823.html<\/a><\/p>\n<p>SOURCE  ADAMA Ltd.<\/p>\n<\/p><\/div>\n<p>    <img decoding=\"async\" alt=\"\" src=\"https:\/\/rt.prnewswire.com\/rt.gif?NewsItemId=LN42263&amp;Transmission_Id=202104140903PR_NEWS_USPR_____LN42263&amp;DateId=20210414\" style=\"border:0px;width:1px;height:1px\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Robust business growth expected to drive higher reported net profit PR Newswire TEL AVIV, Israel and BEIJING, April 14, 2021 \/PRNewswire\/ &#8212; ADAMA Ltd. (the &#8220;Company&#8221;) (SZSE: 000553), today provided an estimate regarding its financial performance for the first quarter of 2021. Sales ADAMA is expecting to report record-high first quarter sales, with estimated top-line growth of more than 13% (6% in RMB terms), driven by continued robust volume growth in almost all key regions. The Company is expecting to record strong growth in Asia Pacific, both in China and beyond. In China, ADAMA saw significant growth in the quarter both from its branded, formulated portfolio, which was driven by higher cereal demand due to an increase in field crop &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.marketnewsdesk.com\/index.php\/adama-provides-net-income-estimate-for-q1-2021\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;ADAMA Provides Net Income Estimate for Q1 2021&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-476280","post","type-post","status-publish","format-standard","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>ADAMA Provides Net Income Estimate for Q1 2021 - Market Newsdesk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketnewsdesk.com\/index.php\/adama-provides-net-income-estimate-for-q1-2021\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"ADAMA Provides Net Income Estimate for Q1 2021 - Market Newsdesk\" \/>\n<meta property=\"og:description\" content=\"Robust business growth expected to drive higher reported net profit PR Newswire TEL AVIV, Israel and BEIJING, April 14, 2021 \/PRNewswire\/ &#8212; ADAMA Ltd. (the &#8220;Company&#8221;) (SZSE: 000553), today provided an estimate regarding its financial performance for the first quarter of 2021. Sales ADAMA is expecting to report record-high first quarter sales, with estimated top-line growth of more than 13% (6% in RMB terms), driven by continued robust volume growth in almost all key regions. The Company is expecting to record strong growth in Asia Pacific, both in China and beyond. 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(the &#8220;Company&#8221;) (SZSE: 000553), today provided an estimate regarding its financial performance for the first quarter of 2021. Sales ADAMA is expecting to report record-high first quarter sales, with estimated top-line growth of more than 13% (6% in RMB terms), driven by continued robust volume growth in almost all key regions. The Company is expecting to record strong growth in Asia Pacific, both in China and beyond. 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