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Dec 31, 2020

ADM Q4 2020 Earnings Report

Reported fourth quarter earnings of $1.22 per share and $1.21 per share on an adjusted basis, affirming earnings growth expectation for 2021.

Key Takeaways

ADM reported strong Q4 2020 results, with adjusted EPS up 49% excluding the prior-year impact of the retroactive biodiesel tax credit. The company expects growth in operating profit and EPS in 2021.

Q4 net earnings were $687 million; adjusted net earnings were $684 million.

Q4 adjusted EPS was up 49 percent excluding prior-year impact of retroactive biodiesel tax credit

Full-year reported EPS was $3.15; record adjusted EPS of $3.59

ADM expects growth in operating profit and EPS in 2021.

Total Revenue
$18B
Previous year: $16.3B
+10.1%
EPS
$1.21
Previous year: $1.42
-14.8%
Effective Tax Rate
8%
Previous year: 1%
+700.0%
Gross Profit
$1.35B
Previous year: $1.17B
+15.7%
Cash and Equivalents
$666M
Previous year: $852M
-21.8%
Free Cash Flow
-$1.14B
Previous year: -$2.08B
-45.3%
Total Assets
$33.6B
Previous year: $31.5B
+6.7%

ADM

ADM

ADM Revenue by Segment

Forward Guidance

Based on the continued delivery of drivers under our control and improving market conditions as the year progresses, ADM expects strong growth in segment operating profit and another record year of EPS in 2021.

Positive Outlook

  • Expect strong growth in segment operating profit in 2021.
  • Expect another record year of EPS in 2021.
  • Confident in another outstanding performance from Ag Services & Oilseeds in 2021 due to strong global demand for grains and oilseeds as well as meal and oils.
  • Carbohydrate Solutions business is well positioned to generate solid profit growth in 2021 as lockdown impacts dissipate.
  • The Nutrition team is expected to deliver solid revenue expansion and profit growth in 2021 based on current organic growth plans.

Revenue & Expenses

Visualization of income flow from segment revenue to net income