Abstract of 2023 Annual Report of ADAMA Ltd.
Stock Code: 000553(200553) Stock Abbreviations: ADAMA A(B) Announcement No.2024-5
Abstract of the 2023 Annual Report of ADAMA Ltd.
I. Important Reminder
The Abstract is from the full text of the Annual Report. Investors are advised to read the full text of the Annual
Report published on the media designated by China Securities Regulatory Commission for having a round
understanding of the Company’s performance, financial status and future development plan.
All the directors attended the Board of Directors meeting to review the Annual Report.
Non-standard auditor report
□ Applicable √Not applicable
Plan approved by the Board of Directors for dividend distribution of ordinary shares or increasing the capital by
the transfer of capital reserves.
□Applicable √Not applicable
The Company does not plan to distribute cash or share dividends, nor plan to transfer capital reserve to equity
capital.
Plan approved by the Board of Directors for dividend distribution of preferred shares
□ Applicable √ Not applicable
II. Basic information about the Company
1. Company profile
Stock name ADAMA A, ADAMA B Stock code 000553, 200553
Stock exchange Shenzhen Stock Exchange
Securities Affairs Representative &
Contact Information Board Secretary
Investor Relations Manager
Name Guo Zhi Wang Zhujun
6/F, No.7 Office Building, No.10 Courtyard, Chaoyang Park South Road, Chaoyang
Address
District, Beijing
Tel. 010-56718110 010-56718110
E-mail irchina@adama.com irchina@adama.com
2. Main Business or Products during the Reporting Period
Main Business and Products
The Company is a global leader in crop protection, engaging in the development, manufacturing and
commercialization of a wide range of crop protection products, that are largely off-patent. The Company provides
solutions to farmers to combat weeds, insects and disease, and sells its products in over 100 countries, through
approximately 60 subsidiaries worldwide.
The Company’s main products are herbicides, insecticides and fungicide, which protect agricultural and other crops
against weeds, insects and disease, respectively. The Company also utilizes its expertise to adapt such products also
for the development, manufacturing and commercialization of similar products for non-agricultural purposes
(Consumer and Professional Solutions). In addition, the Company leverages its core capabilities in the agricultural
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Abstract of 2023 Annual Report of ADAMA Ltd.
and chemical fields and operates in several other non-agricultural areas, none of which, individually, is material for
the Company. These activities, collectively reported as Intermediates and Ingredients, include primarily, (a) the
manufacturing and marketing of dietary supplements, food colors, texture and flavor enhancers, and food
fortification ingredients; (b) fragrance products for the perfume, cosmetics, body care and detergents industries; (c)
the manufacturing of industrial products and (d) other non-material activities.
The Company's business model integrates end-customer access, regulatory expertise, state-of-the art global R&D,
production and formulation facilities, thereby providing the Company a significant competitive edge and allowing
it to launch new and differentiated products that meet local farmers and customer needs in key markets.
The Company's primary operations are global, spanning activities in North America, Latin America, Asia-Pacific
(including China) and Europe, Africa and the Middle East.
General crop protection market environment
Key commodity crop prices declined substantially during 2023 as weather conditions normalized and the global
crop supply situation improved. However, key commodity crop prices were still relatively high through 2023,
supporting planted area and investment in crops, leading to healthy demand, at the farmer level, of crop inputs,
including crop protection products. However, due to very high channel inventory across all geographies, channel
demand was weak during 2023. The high interest rate environment coupled with low prices of active ingredient
from China, also encouraged the just-in-time purchasing approach adopted by the channel. As a result, sales into
the channel declined sharply across the entire industry. Going into 2024, channel inventories have improved across
most geographies but they have still not normalized everywhere. The cost environment further improved in 2023 as
active ingredient prices in China continued to decline all through 2023 reaching low levels.
Market Competition and the Company’s Market Share
The global crop protection market is dominated by seven multinational companies, including the Group, five of
which are originator companies. In the past decade, a number of mergers and acquisitions were completed among
the largest players in the crop protection industry. Nonetheless, the crop protection industry as a whole is relatively
decentralized, with a number of local manufacturers competing in each country against the global multinational
companies. The Group believes that entry barriers for the crop protection market are relatively high, although they
vary from region to region.
ADAMA is a leading company (in sales terms) among the crop-protection companies that focus on off-patent crop
protection solutions. The Company’s global crop protection market share was approximately 5.1% in 2023, based
on preliminary estimation made by AgBio Investor regarding total sales in the agrochemical industry, and 6.5% in
2022.
3. Main Accounting Data and Financial Indicators
(1) Main Accounting Data and Financial Indicators of the Latest Three Years
Whether the Company performed any retroactive adjustments to or restatement of its accounting data
√Yes □No
Reasons for Retroactive Adjustments or Restatement of the Accounting Data: Other reasons
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Abstract of 2023 Annual Report of ADAMA Ltd.
Unit: RMB’000
2022 2021
2023 Before After +/- (%) Before After
adjustment adjustment adjustment adjustment
Operating revenue (RMB’000) 32,779,456 37,381,915 37,381,915 -12.31% 31,038,605 31,038,605
Net profit attributable to the
(1,605,887) 609,391 609,391 -363.52% 157,397 157,397
shareholders (RMB’000)
Net profit attributable to the
shareholders, excluding
(1,851,491) 490,428 501,621 -469.1% 77,853 106,438
non-recurring profit and loss
(RMB’000)
Net cash flows from operating
2,617,877 940,745 940,745 178.28% 4,561,875 4,561,875
activities (RMB’000)
Basic EPS (RMB/share) (0.6893) 0.2616 0.2616 -363.49% 0.0676 0.0676
Diluted EPS (RMB/share) N/A N/A N/A N/A N/A N/A
Weighted average return on equity (7.13%) 2.76% 2.76% -9.89% 0.74% 0.74%
31.12.2022 31.12.2021
31.12.2023 Before After +/- (%) Before After
adjustment adjustment adjustment adjustment
Total assets (RMB’000) 55,405,803 57,980,489 57,980,489 -4.44% 50,235,308 50,235,308
Net assets attributable to the
21,924,475 23,124,655 23,124,655 -5.19% 21,075,083 21,075,083
shareholders (RMB’000)
Reason for retroactive adjustments: The Company recognized the non-recurring profit and loss items in accordance
with the “Explanatory Announcement No. 1 on Information Disclosure for Companies Offering their Securities to
the Public - Non-Recurring Profit and Loss (2023 Revised)” and made retrospective adjustments. The
implementation of this regulation has no significant impact on the non-recurring profit and loss in comparable
accounting periods.
(2) Main Accounting Data by Quarter
Unit: RMB’000
Q1 2023 Q2 2023 Q3 2023 Q4 2023
Operating revenue 8,610,576 8,642,625 7,406,903 8,119,352
Net profit attributable to the shareholders 83,273 (325,429) (800,317) (563,414)
Net profit attributable to the shareholders excluding
44,893 (343,038) (845,864) (707,482)
non-recurring profit and loss
Net cash flows from operating activities (2,905,168) 2,840,292 590,706 2,092,047
Any material differences between the financial indicators above or their summations and those which have been
disclosed in quarterly or semi-annual reports
□ Yes √ No
4. Shares and Shareholders
(1) Number of Common Shareholders and Preferred Shareholders with Vote Right Restored and
Shareholding Table of Top-10 Shareholders
Unit: share
Total Total number of
number of preferred stockholder
Total number
Total number of shareholders on the preferred with vote right
of shareholders
41,388 30th trading day before the disclosure 41,393 stockholde 0 restored on the 30th 0
at the reporting
date of the annual report r with vote trading day before the
period
right disclosure date of the
restored annual report
Shareholding of Top-10 Shareholders (Excluding Shares Lent for the Relending Financing)
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Abstract of 2023 Annual Report of ADAMA Ltd.
Pledged or frozen
Number of shares held shares
Nature of Holding Number of
Name of shareholder subject to trading
shareholder percentage shares Status of Amo
moratorium
shares unt
State-owned -- -- --
Syngenta Group Co., Ltd. 78.47% 1,828,137,961
legal person
China Cinda Asset Management Co., State-owned -- -- --
1.34% 31,115,916
Ltd. legal person
Bosera Funds-China Merchants Bank- -- -- --
Bosera Funds Xincheng No.2 Others 0.28% 6,500,000
Collective Asset Management Plan
Hong Kong Securities Clearing Overseas -- -- --
0.27% 6,374,253
Company Ltd. (HKSCC) legal person
Domestic -- -- --
Wu Feng 0.27% 6,190,669
Individual
Bosera Funds-Postal Savings Bank- -- -- --
Bosera Funds Xincheng No.3 Others 0.26% 6,000,000
Collective Asset Management Plan
Zhu Shenglan Domestic -- -- --
0.25% 5,756,000
Individual
China Universal Fund-Industrial Bank- -- -- --
China Universal-Strategic
Others 0.19% 4,400,000
Enhancement No.3 Collective Asset
Management Plan
Qichun County State-owned Assets State-owned -- -- --
Operation Center 0.18% 4,169,266
legal person
Bosera Funds-Postal Savings Bank- -- -- --
Bosera Funds Xincheng No.4 Others 0.17% 4,000,000
Collective Asset Management Plan
Syngenta Group Co., Ltd. is not related party or acting-in-concert party as
prescribed in the Administrative Methods for Acquisition of Listed Companies
Explanation on associated relationship or/and persons to other shareholders. It is unknown to the Company whether shareholders
above are related parties or acting-in-concert parties as prescribed in the
Administrative Methods for Acquisition of Listed Companies.
Shareholder Wu Feng held 4,809,943 shares of the Company through a
common securities account and 1,380,726 shares of the Company through a
Particular about shareholder participate in the
credit collateral securities trading account, altogether 6,190,669 shares.
securities lending and borrowing business ( if any)
Shareholder Zhu Shenglan held 5,756,000 shares of the Company through a
credit collateral securities trading account.
Involvement of Top 10 Shareholders in Lending of Shares in the Relending Financing of Funds and Securities
□ Applicable √ Not Applicable
Change of the Top 10 Shareholders from the Previous Reporting Period
√ Applicable □ Not Applicable
Change of the Top 10 Shareholders from the Previous Reporting Period
Addition or Shares in General Shareholders’
Shares Lent for the Relending
Withdrawal Accounts, Credit Accounts and Lent for
Financing at the Ending Period
Shares the Relending Financing at the Ending
Full Name of the Shareholder and Amount not yet Returned
during the Period and Amount not yet Returned
Reporting Proportion of Proportion of
Total Total
Period the Total Equity the Total Equity
Zhu Shenglan Addition 0 0 5,756,000 0.25%
Qichun County State-owned Assets
Addition 0 0 4,169,266 0.18%
Operation Center
Bosera Funds-Postal Savings Bank- Addition 0 0 4,000,000 0.17%
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Abstract of 2023 Annual Report of ADAMA Ltd.
Bosera Funds Xincheng No.4
Collective Asset Management Plan
Wang Xiuqin Withdrawal 0 0 3,181,579 0.14%
Portfolio No.503 of National Social
Withdrawal 0 0 0 0
Security Fund
CITIC Securities - Huarong
Ruitong Equity Investment
Management Co., Ltd. - CITIC Withdrawal 0 0 0 0
Securities - Changfeng Single Asset
Management Plan
(2) Number of Preferred Shareholders and Shareholding Table of Top-10 Preferred Shareholders
□ Applicable √ Not applicable
None in the Reporting Period.
(3) Block Diagram of Equity and Control Relationship between the Company and Actual controller
5. Corporate Bonds on the Reporting Date
□ Applicable √ Not applicable
III. Important Matters
None.
For introduction to Company business during the reporting period, please refer to Section III. Management
Discussion and Analysis of the full text of 2023 Annual Report.
ADAMA Ltd.
Legal Representative：Steve Hawkins
March 27th, 2024
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