ADAMA Reports Results of Fourth Quarter and Full Year of 2021
Strong Q4 performance, driven by significant price increases and continued volume
growth, caps another record growth year for ADAMA and brings a marked
improvement in cash flow generation
Fourth Quarter 2021 Highlights
Sales up 17% to an all-time quarterly record-high of $1,337 million (RMB: +13%), driven by 14%
higher prices and 5% volume growth
Adjusted EBITDA up by 23%, reaching $207 million (RMB: +19%)
Reported net income up by 31% to $25 million (RMB: +26%); Adjusted net income of $54 million
Operating cash flow up $277 million to $372 million; Free cash flow up $282 million to $190
million
Full Year 2021 Highlights
Sales up 17% to a record-high of $4,813 million (RMB: +9%), driven by 12% volume growth and
4% higher prices
Adjusted EBITDA up 7%, reaching $671 million (RMB: +0%)
Reported net income of $25 million; Adjusted net income of $139 million
Operating cash flow up $418 million to $710 million; Free cash flow up $225 million to $75 million
BEIJING, CHINA and TEL AVIV, ISRAEL, March 30, 2022 – ADAMA Ltd. (the “Company”) (SZSE
000553), today reported its financial results for the fourth quarter and full year period ended
December 31, 2021.
Commenting on the results,
Ignacio Dominguez, President and CEO of ADAMA, said, “2021 was an outstanding year of
exceptional growth. Nevertheless, it was a very difficult year with many challenges, including
massive cost increases of raw materials and intermediates, as well as significantly higher shipping
and logistics costs and container shortages. These factors were in addition to the ongoing and
debilitating effects of the COVID-19 pandemic, including its intensification in December with the
onset of the Omicron wave. It is in these times of challenge and uncertainty that the true strength of
our business shines through, with not only strong sales growth, but also as we started to see in the
fourth quarter, significant price increases to compensate for the higher cost environment. As we face
yet another year of uncertainty, this time emanating from massive geopolitical volatility, we remain
focused on supporting our people and our customers as they navigate through this difficult time.
Indeed, I am deeply humbled by the great spirit and courage shown by our colleagues in Ukraine, as
well as our other leaders across the region, who are supporting the team and their families in every
way they can."
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Table 1. Financial Performance Summary
As Reported Adjustments Adjusted
USD (m) Q4 Q4 Q4 Q4 Q4 Q4
% Change % Change
2021 2020 2021 2020 2021 2020
Revenues 1,337 1,141 +17% - - 1,337 1,141 +17%
Gross profit 379 330 +15% 33 5 412 335 +23%
% of sales 28.4% 28.9% 30.8% 29.4%
Operating income (EBIT) 110 63 +73% 33 44 143 107 +33%
% of sales 8.2% 5.5% 10.7% 9.4%
Income before taxes 47 17 +183% 34 42 81 59 +37%
% of sales 3.5% 1.4% 6.0% 5.2%
Net income 25 19 +31% 29 33 54 52 +2%
% of sales 1.9% 1.7% 4.0% 4.6%
EPS
- USD 0.0108 0.0083 +31% 0.0231 0.0225 +3%
- RMB 0.0692 0.0547 +27% 0.1476 0.1489 -1%
EBITDA 188 154 +22% 19 14 207 168 +23%
% of sales 14.1% 13.5% 15.5% 14.7%
As Reported Adjustments Adjusted
USD (m) FY FY FY FY FY FY
% Change % Change
2021 2020 2021 2020 2021 2020
Revenues 4,813 4,128 +17% - - 4,813 4,128 +17%
Gross profit 1,311 1,173 +12% 101 50 1,412 1,223 +15%
% of sales 27.2% 28.4% 29.3% 29.6%
Operating income (EBIT) 291 251 +16% 134 143 425 394 +8%
% of sales 6.0% 6.1% 8.8% 9.6%
Income before taxes 85 83 +2% 134 142 219 225 -3%
% of sales 1.8% 2.0% 4.6% 5.5%
Net income 25 51 -52% 114 125 139 176 -21%
% of sales 0.5% 1.2% 2.9% 4.3%
EPS
- USD 0.0106 0.0213 -50% 0.0596 0.0734 -19%
- RMB 0.0676 0.1469 -54% 0.3843 0.5039 -24%
EBITDA 593 592 78 36 671 628 +7%
% of sales 12.3% 14.4% 13.9% 15.2%
Notes:
“As Reported” denotes the Company’s financial statements according to the Accounting Standards for Business Enterprises and the
implementation guidance, interpretations and other relevant provisions issued or revised subsequently by the Chinese Ministry of Finance
(the “MoF) (collectively referred to as “ASBE”). Note that in the reported financial statements, as a result of recent changes in the ASBE
guidelines [IAS 37], certain items in 2021 (specifically certain transportation costs and certain idleness charges) have been reclassified
from Operating Expenses to COGS, while in this release such items have not been so reclassified in order to maintain comparability
between the 2020 and 2021 financial periods. Please see the appendix to this release for further information.
Relevant income statement items contained in this release are also presented on an “Adjusted” basis, which exclude items that are of a
transitory or non-cash/non-operational nature that do not impact the ongoing performance of the business, and reflect the way the
Company’s management and the Board of Directors view the performance of the Company internally. The Company believes that
excluding the effects of these items from its operating results allows management and investors to effectively compare the true underlying
financial performance of its business from period to period and against its global peers. A detailed summary of these adjustments appears
in the appendix below.
The number of shares used to calculate both basic and diluted earnings per share in Q4 and FY 2020 is 2,334.5 million shares and
2,401.5 million shares, respectively. The number of shares used to calculate both basic and diluted earnings per share in Q4 and FY 2021
is 2,329.8 million shares, reflecting the repurchase and cancellation of 102.4 million shares from CNAC in July 2020 and repurchase and
cancellation of 14.3 million B shares during the second half of 2020.
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The general crop protection market environment
During the fourth quarter of 2021, crop prices of most of the major commodity crops remained
elevated, and even further increased, supporting strong crop protection demand in most regions.
This demand was also further supported by higher planted area in South America as planting
progressed there in the quarter.
On the whole, farmers continue to benefit from the high global crop prices. However, this benefit is
somewhat dampened by broad inflationary pressures they are experiencing across most of their
input costs, including seeds, fertilizers, crop protection, fuel and machinery.
During the quarter, availability of intermediates and active ingredients sourced from China improved
somewhat as the “Dual Control” energy saving measures in the country were relaxed, and
agrochemical production came back online. However, China agrochemical prices remained high and
COVID-19 restrictions and lockdowns continued to negatively impact agrochemical production and
logistics.
Global energy prices remained high during the fourth quarter of 2021. In addition, global freight and
logistics costs remained significantly elevated during the quarter, and even further increased in
December as COVID-19 continued to disrupt port activity, coupled with high stay-at-home demand
brought on by the Omicron wave. Similarly, in-land logistics remained challenged as pandemic-
related restrictions continued to create frictions in domestic supply lines. Taken together, these
constraints have impacted both availability of shipping and transportation resources, as well as
significantly increased their costs, a dynamic widely observed across all international trade-related
industries.
The Company continues to actively manage its procurement and supply chain activities in order to
mitigate these higher procurement and logistics costs. It also endeavors to adjust its pricing
wherever market conditions allow, to compensate for these increased costs, the results of which
were apparent in Q4, and are continuing to be seen into the beginning of this year.
As the world continues to watch in horror the unfolding tragic and traumatic events in Ukraine, the
Company is doing everything possible to ensure the safety and security of its people, and stands
strongly in support of its employees, partners and customers. Although the Company is continuing to
support farmers in Ukraine, its business in the country is being impacted to a certain extent. At this
stage, the Company anticipates that its overall results for the first quarter of 2022 will not be
materially impacted, due to promising performance in other geographies. The Company is
continuously reviewing the situation on the ground and assessing the potential risks involved, and
will provide a further update in due course. At times like these, ADAMA is keenly aware of the
important role it plays in helping farmers to continue to grow their crops, in order to ensure global
food security.
China Operations Update
The Company's manufacturing site in Jingzhou, Hubei (ADAMA Sanonda) continues on its path of
gradually ramping up production following the completion of the Relocation & Upgrade program at
the site, progressively reducing the need for incurring additional procurement costs, and gradually
reducing idleness charges as production and utilization levels steadily increase.
As a result of the institution during 2021 of China's "Dual Control" energy restrictions as well as
certain regulatory inspections conducted at some industrial parks, the Company's manufacturing
facilities in Huai'An (ADAMA Anpon) and in Dafeng (ADAMA Huifeng), both in Jiangsu province,
were suspended for a number of weeks in September and October 2021. As the restrictions were
loosened in the following weeks, operations at these sites resumed, albeit initially at a more limited
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capacity, reaching normal operations by December. This temporary suspension caused an increase
in idleness costs during the quarter.
The energy restrictions and resulting widespread production suspensions contributed to a significant
increase in procurement costs of raw materials and intermediates, on top of the already high costs
seen in prior months in the face of strong underlying demand and relatively constrained supply.
Although these industry-wide supply shortages have started to alleviate somewhat in recent weeks,
the Company is expecting the high procurement costs seen in H2 2021 to continue to pose
challenges for its margins in the coming months as these inventories progress through the
Company's inventory cycle. The Company endeavors, wherever possible and supported by market
conditions, to increase prices in order to mitigate the impact of the higher costs.
In China, the Company is benefiting to some extent from the generally higher pricing environment in
the sales of its raw materials and intermediates, where it is seeing robust demand, driving the strong
performance in China in the fourth quarter.
Financial Highlights
Revenues in the fourth quarter grew by 17% (+13% in RMB terms) to $1,337 million, driven by a
significant 14% increase in prices, a trend which started in the third quarter and accelerated into the
fourth quarter. The markedly higher prices were complemented by continued volume growth (5%),
including the contribution of newly acquired companies, and only slightly moderated by the adverse
impact of exchange rate movements.
In the quarter, ADAMA delivered significant growth in Latin America, both in Brazil and across much
of the rest of the region. In Brazil, the Company benefited from the good soybean planting season,
as well as the strong farmer demand which supported higher prices, factors which are also
supporting growth throughout South and Central America. The Company continues to grow strongly
in Asia Pacific, led by a significant increase in sales in the quarter in China, with sales of its raw
materials and intermediates in the country benefiting from higher prices resulting from strong
demand in a generally supply-constrained environment. In North America, the Company saw a
pleasing performance in the fourth quarter, enjoying robust pre-season demand in both US and
Canadian agricultural markets as farmers order early in light of continued industry-wide concerns
around availability later in the season. Sales in the India, Middle-East & Africa region grew in the
quarter, led by a strong performance in India driven by new product launches in the country, as well
as South Africa, where the Company continues to benefit from favorable cropping conditions and
new product launches. The fourth quarter saw sales in Europe only slightly higher than the same
period last year, as growth across most of the region was largely offset by supply challenges, felt
mainly in France and Germany.
The continued robust growth in the quarter brought full year sales to a record-high of $4,813 million,
an increase of 17% (+9% in RMB terms), driven by 12% volume growth alongside 4% higher prices,
and further aided somewhat by stronger currencies.
Gross Profit reported in the fourth quarter increased 15% to $379 million (gross margin of 28.4%)
compared to $330 million (gross margin of 28.9%) in the same quarter last year, and was up 12% to
$1,311 million (gross margin of 27.2%) in the full year period compared to $1,173 million (gross
margin of 28.4%) last year.
The Company recorded certain extraordinary charges within its reported cost of goods
sold, totaling approximately $33 million in the fourth quarter (Q4 2020: $5 million) and
$101 million in the full year period (FY 2020: $50 million). These charges were largely
related to its continuing Relocation & Upgrade program, and include mainly (i) excess
procurement costs, both in quantity and cost terms, 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 (ii)
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elevated idleness charges largely related to suspensions at the facilities being relocated
and upgraded, as well as to the temporary suspension of the Jingzhou site in Q1 2020 at
the outbreak of COVID-19 in Hubei Province. For further details on these extraordinary
charges, please see the appendix to this release.
Excluding the impact of the abovementioned extraordinary items, adjusted gross profit in the fourth
quarter increased 23% to $412 million (30.8% of sales) compared to $335 million (gross margin of
29.4%) in the same quarter last year, and was up 15% to $1,412 million (gross margin of 29.3%) in
the full year period compared to $1,223 million (gross margin of 29.6%) last year.
In the quarter, the significantly higher gross profit and pleasing improvement in the adjusted gross
margin were largely driven by the markedly higher prices, complemented by continued volume
growth, which more than offset higher logistics, procurement and production costs as well as the
effect of the strong RMB and ILS, the Company's main production currencies.
In the full year period, the increased gross profit was driven by the higher prices, a trend which
started in the third quarter and accelerated into the fourth quarter, alongside the strong volume
increases seen in each of the four quarters of the year, as well as a net positive impact from portfolio
mix, and generally favorable currency movements. These combined to more than offset higher
logistics, procurement and production costs, which nevertheless resulted in a somewhat lower
adjusted gross margin over the full year period.
Operating expenses reported in the fourth quarter were $270 million (20.2% of sales) and $1,020
million (21.2% of sales) in the full year period, compared to $267 million (23.4% of sales) and $923
million (22.3% of sales) in the corresponding periods last year, respectively.
The Company recorded certain non-operational, mostly non-cash, charges within its
reported operating expenses, totaling approximately $1 million in the fourth quarter (Q4
2020: $39 million) and $33 million in the full year period (FY 2020: $93 million). These
charges include mainly (i) $4 million in Q4 2021 (Q4 2020: $8 million) and $23 million in
FY 2021 (FY 2020: $31 million) in non-cash amortization charges in respect of Transfer
assets received from Syngenta related to the 2017 ChemChina-Syngenta acquisition, (ii)
$6 million benefit in Q4 2021 (Q4 2020: $5 million) and $4 million benefit in FY 2021 (FY
2020: benefit of $12 million) in non-cash impacts related to incentive plans, and (iii) $2
million in Q4 2021 (Q4 2020: $3 million) and $13 million in FY 2021 (FY 2020: $11
million) 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&A-related costs.
The higher aggregate amount of non-operational charges in Q4 and FY 2020 then also
included $10 million and $45 million, respectively, in non-cash amortization charges
related to the legacy PPA of the 2011 acquisition of Adama Agricultural Solutions, which
have now largely finished, and $1 million and $11 million, respectively, in early
retirement expenses. For further details on these non-operational charges, please see
the appendix to this release.
Excluding the impact of the abovementioned non-operational charges, adjusted operating expenses
in the quarter and full year period were $269 million (20.1% of sales) and $986 million (20.5% of
sales), compared to $228 million (20.0% of sales) and $829 million (20.1% of sales) in the
corresponding periods last year, respectively.
The higher operating expenses in the quarter and the full year period largely reflect the strong
growth of the business and the additional operating expenses of the newly acquired companies,
together with significantly higher global logistics and shipping costs. In addition, in the full year,
alongside the many benefits the Company enjoys from the collaboration with other companies in the
Syngenta Group, most notably in commercial cross-sales as well as in the areas of procurement and
operations, ADAMA recorded certain related expenses. The Company also saw the impact on its
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operating expenses of generally stronger global currencies against the US dollar, as well that of the
generally inflationary environment being seen globally in recent quarters.
Operating income reported in the fourth quarter increased 73% to $110 million (8.2% of sales)
compared to $63 million (5.5% of sales) in the same quarter last year, and was up 16% to $291
million (6.0% of sales) in the full year period compared to $251 million (6.1% of sales) last year.
Excluding the impact of the abovementioned non-operational, mostly non-cash items, adjusted
operating income in the fourth quarter increased 33% to $143 million (10.7% of sales) compared to
$107 million (9.4% of sales) in the same quarter last year, and was up 8% to $425 million (8.8% of
sales) in the full year period compared to $394 million (9.6% of sales) last year.
EBITDA reported in the fourth quarter increased 22% to $188 million (14.1% of sales) compared to
$154 million (13.5% of sales) in the same quarter last year, and reached $593 million (12.3% of
sales) in the full year period, in line with the $592 million (14.4% of sales) recorded last year.
Excluding the impact of the abovementioned non-operational, mostly non-cash items, adjusted
EBITDA in the fourth quarter increased 23% to $207 million (15.5% of sales) compared to $168
million (14.7% of sales) in the same quarter last year, and was up 7% to $671 million (13.9% of
sales) in the full year period compared to $628 million (15.2% of sales) last year.
Financial expenses and investment income were $62 million in the fourth quarter and $206
million in the full year period, compared to $48 million and $169 million in the corresponding periods
last year, respectively. The higher financial expenses in the quarter and the full year period were
mainly driven by the net effect of the increase in the Israeli CPI on the ILS-denominated, CPI-linked
bonds, and higher non-cash charges related to put options in respect of minority interests. In the
fourth quarter, the Company also saw higher receivables securitization charges incurred in respect
of the markedly higher sales recorded in Brazil. In the full year, the higher financial expenses also
reflect increased hedging costs on the BRL, which were somewhat mitigated by the benefit from
hedges in respect of the RMB.
Taxes on income in the fourth quarter were $27 million and $79 million in the full year period,
compared to $7 million and $49 million in the corresponding periods last year, respectively. The
significantly higher tax expenses in the fourth quarter and over the full year period reflects the
incurring of higher taxes by the Company's high-growth selling entities in end-markets.
In the fourth quarter, the increase also reflects the largely non-cash impact on the value of non-
monetary tax assets of the less significant strengthening of the BRL in the fourth quarter of 2021
when compared to the same quarter in 2020, which then resulted in higher tax income in Q4 2020.
By contrast, over the full year period, the increased tax expenses seen in 2021 were partially
mitigated by the relatively lower weakening of the BRL during 2021 as compared to its more
significant weakening during 2020, which then resulted in relatively higher BRL-related tax expenses
during 2020.
Net income attributable to the shareholders of the Company reported in the fourth quarter was
$25 million (1.9% of sales) and $25 million (0.5% of sales) in the full year period, compared to $19
million (1.7% of sales) and $51 million (1.2% of sales) in the corresponding periods last year,
respectively.
Excluding the impact of the abovementioned extraordinary and non-operational charges, adjusted
net income in the fourth quarter was $54 million (4.0% of sales) and $139 million (2.9% of sales) in
the full year period, compared to $52 million (4.6% of sales) and $176 million (4.3% of sales) in the
corresponding periods last year, respectively.
Trade working capital at December 31, 2021 was $2,210 million compared to $2,357 million at the
same point last year. The marked reduction in working capital was due in large part to significantly
higher trade payables, reflecting higher purchases made in the fourth quarter in advance of the
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continued growth expected in 2022, as well as a certain lengthening of credit terms received. In
addition, the Company saw a reduction in its trade receivables, despite its strong growth in emerging
markets where customer credit terms are generally longer, due largely to improved collections and
increasing use of receivables securitization in Brazil. Against this, the Company is holding higher
inventory levels, due mainly to a shift in geographic and portfolio sales mix, the anticipation of further
volume growth in coming quarters in the face of uncertain supply conditions, the increase in
procurement and production costs, as well as the inclusion of recent acquisitions. Notwithstanding
the strong improvement in working capital levels seen during the fourth quarter, the Company
expects working capital to increase during the first half of 2022 back to the higher levels customarily
seen in the first half of the year, in support of the solid growth of the business.
Cash Flow: Operating cash flow of $372 million was generated in the quarter and $710 million in the
full year period, compared to $95 million and $292 million generated in the corresponding periods
last year, respectively. The markedly stronger operating cash flow generated in both the fourth
quarter and full year periods reflects the higher reported operating income achieved in both periods
this year, alongside the abovementioned reduction in working capital during 2021 compared to its
expansion during the same periods in 2020.
Net cash used in investing activities was $136 million in the quarter and $525 million in the full year
period, compared to $141 million and $341 million in the corresponding periods last year,
respectively. The higher level of cash used in investing activities over the year largely reflects an
increase in investments in fixed assets, mainly driven by the payments for the upgrading of
manufacturing facilities in Israel and globally, as well as the payments for acquisitions.
The aforementioned operating and investing cash flow dynamics drove a significant improvement in
the Company's free cash flow generation, with free cash flow of $190 million being generated in the
fourth quarter compared to a net free cash outflow of $93 million in the same quarter last year, while
$75 million of free cash flow was generated over the full year period compared to $150 million
consumed over the course of last year.
Portfolio Development Update
In the fourth quarter, ADAMA continued to advance the development of its differentiated product
portfolio, launching multiple new products in markets across the globe. Of special note was the
launch in Europe of TIMELINE FX, a unique three-way spring foliar herbicide mixture providing
cross-spectrum protection for cereals against broadleaf and grass weeds. The Company continues
to strengthen its presence in the biologic space with the launch in Europe of VIGNEXEL, a plant
extract biostimulant for the treatment of abiotic stress in vines. In the Consumer & Professional
space, ADAMA launched SUPRADOTM, a product developed uniquely by the Company to address
Annual Bluegrass Weevil, a highly devastating pest affecting golf courses across the northeastern
U.S., as well as Neem Max cold-pressed neem oil, an innovative natural insecticide in the U.S.
consumer market.
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Table 2. Regional Sales Performance
Q4 2021 Q4 2020 Change Change FY 2021 FY 2020 Change Change
$m $m USD CER $m $m USD CER
Europe 247 246 +0.4% +3.4% 1,072 1,036 +3.5% +3.0%
North America 289 258 +11.7% +11.1% 917 776 +18.2% +17.4%
Latin America 456 374 +21.9% +25.8% 1,276 1,088 +17.3% +19.3%
Asia Pacific 221 159 +38.6% +36.4% 898 656 +36.8% +28.5%
Of which China 133 73 +80.8% +75.7% 513 324 +58.5% +50.8%
India, Middle East & Africa 125 104 +20.4% +20.7% 650 572 +13.7% +12.7%
Total 1,337 1,141 +17.2% +18.7% 4,813 4,128 +16.6% +15.4%
CER: Constant Exchange Rates
Europe: Sales were up by 3.4% in the fourth quarter and by 3.0% in the full year, in CER terms,
compared with the corresponding periods last year.
In the fourth quarter, the Company saw moderate growth in Europe, achieved despite the impact of
the COVID-19 Omicron wave hampering regular commercial activities, with growth across most of
the region being partially offset by supply challenges, mainly felt in France and Germany.
In US dollar terms, sales were higher by 0.4% in the quarter and by 3.5% in the full year, compared
to the corresponding periods last year, reflecting the net impact of the weaker currencies in the
quarter, contrasted with the somewhat stronger currencies over the full year.
North America: Sales were up by 11.1% in the fourth quarter and by 17.4% in the full year, in CER
terms, compared with the corresponding periods last year.
The pleasing performance in the fourth quarter reflects the robust pre-season demand seen in both
US and Canadian agricultural markets as farmers order early in light of continued industry-wide
concerns around availability later in the season.
In US dollar terms, sales in the region grew by 11.7% in the quarter and by 18.2% in the full year,
compared to the corresponding periods last year, reflecting the strengthening of the Canadian Dollar.
Latin America: Sales grew by 25.8% in the fourth quarter and by 19.3% in the full year, in CER
terms, compared to the corresponding periods last year.
Strong growth was seen in Brazil and across much of the rest of the region. In Brazil, the Company
benefited from the good soybean planting season, as well as the strong farmer demand which
supported higher prices. The Company commenced local production and commercialization in Brazil
of ARMERO, its new dual-mode fungicide containing the active ingredients Prothioconazole and
Mancozeb, benefiting from its new in-house production of Prothioconazole, a leading broad-
spectrum systemic fungicide. The Company also delivered pleasing growth in Paraguay following an
acquisition in the country in the fourth quarter of 2020, as well as in Central America and many other
countries in the wider region.
In US dollar terms, sales in the region grew by 21.9% in the quarter, and by 17.3% in the full year,
compared to the corresponding periods last year, reflecting the generally weaker average currency
levels that prevailed over the periods, in particular the BRL.
Asia-Pacific: Sales grew by 36.4% in the quarter and by 28.5% in the full year, in CER terms,
compared to the corresponding periods last year.
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The Company continues to grow strongly in Asia Pacific, led by a significant increase in sales in the
quarter in China. In China, the Company's sales of raw materials and intermediates, where it
continues to see strong demand, benefited from the higher pricing environment resulting from
general supply constraints. In addition, ADAMA continues to grow sales of its branded, formulated
portfolio, and was also bolstered by the acquisition of Huifeng during the year.
In the wider APAC region, the Company saw moderate growth in the quarter, with increases in the
Pacific region being balanced by somewhat softer performances in some east Asian markets, where
commercial activities continued to be hampered by COVID-related restrictions and supply
constraints.
In US dollar terms, sales in the region grew by 38.6% in the fourth quarter and by 36.8% in the full
year, compared to the corresponding periods last year, reflecting the impact of the strengthening of
regional currencies, most notably the Australian Dollar and Chinese Renminbi.
India, Middle East & Africa: Sales grew by 20.7% in the quarter and by 12.7% in the full year, in
CER terms, compared to the corresponding periods last year.
Growth in the quarter was led by a strong performance in India, driven by new product launches in
the country, including BARROZ, a leading tool for the control of stem borer in rice, as well as South
Africa, where the Company continues to benefit from favorable cropping conditions and new product
launches.
In US dollar terms, sales in the region grew by 20.4% in the quarter and by 13.7% in the full year,
compared to the corresponding periods last year, reflecting the impact of the somewhat weaker
currencies in the quarter contrasted with the strengthening of regional currencies over the full year
period, most notably the Israeli Shekel.
Table 3. Revenues by operating segment
Fourth quarter sales by segment
Q4 2021 Q4 2020
% %
USD (m) USD (m)
Crop Protection 1,197 89.5% 1,032 90.5%
Intermediates and Ingredients 140 10.5% 109 9.5%
Total 1,337 100% 1,141 100%
Fourth quarter sales by product category
Q4 2021 Q4 2020
% %
USD (m) USD (m)
Herbicides 582 43.5% 477 41.8%
Insecticides 359 26.8% 316 27.7%
Fungicides 256 19.1% 240 21.0%
Intermediates and Ingredients 140 10.5% 109 9.5%
Total 1,337 100% 1,141 100%
Note: the sales split by product category is provided for convenience purposes only and is not representative of the way the Company is
managed or in which it makes its operational decisions.
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Full year sales by segment
FY 2021 FY 2020
% %
USD (m) USD (m)
Crop Protection 4,389 90.4% 3,738 90.6%
Intermediates and Ingredients 464 9.6% 389 9.4%
Total 4,813 100% 4,128 100%
Full year sales by product category
FY 2021 FY 2020
% %
USD (m) USD (m)
Herbicides 1,972 41.0% 1,707 41.4%
Insecticides 1,425 29.6% 1,174 28.5%
Fungicides 952 19.8% 857 20.8%
Intermediates and Ingredients 464 9.6% 389 9.4%
Total 4,813 100% 4,128 100%
Note: the sales split by product category is provided for convenience purposes only and is not representative of the way the Company is
managed or in which it makes its operational decisions.
Further Information
All filings of the Company, together with a presentation of the key financial highlights of the period,
can be accessed through the Company website at www.adama.com.
About ADAMA
ADAMA Ltd. 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&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
www.ADAMA.com and follow us on Twitter at @ADAMAAgri.
Contact
Rivka Neufeld Zhujun Wang
Global Investor Relations China Investor Relations
Email: ir@adama.com Email: irchina@adama.com
10
Abridged Adjusted Consolidated Financial Statements
The following abridged consolidated financial statements and notes have been prepared as described in Note 1 in this
appendix. While prepared based on the principles of Chinese Accounting Standards (ASBE), they do not contain all of the
information which either ASBE or IFRS would require for a complete set of financial statements, and should be read in
conjunction with the consolidated financial statements of both ADAMA Ltd. and Adama Agricultural Solutions Ltd. as filed
with the Shenzhen and Tel Aviv Stock Exchanges, respectively.
Relevant income statement items contained in this release are also presented on an “Adjusted” basis, which exclude items
that are of a one-time or non-cash/non-operational nature that do not impact the ongoing performance of the business, and
reflect the way the Company’s management and the Board of Directors view the performance of the Company internally.
The Company believes that excluding the effects of these items from its operating results allows management and
investors to effectively compare the true underlying financial performance of its business from period to period and against
its global peers.
Abridged Consolidated Income Statement for the Fourth Quarter
Q4 2021 Q4 2020 Q4 2021 Q4 2020
Adjusted1
USD (m) USD (m) RMB (m) RMB (m)
Revenues 1,337 1,141 8,550 7,555
Cost of Sales 918 804 5,870 5,324
Other costs 7 2 46 14
Gross profit 412 335 2,634 2,218
% of revenue 30.8% 29.4% 30.8% 29.4%
Selling & Distribution expenses 198 170 1,265 1,125
General & Administrative expenses 45 38 289 249
Research & Development expenses 25 19 161 128
Other operating expenses 1 1 5 7
Total operating expenses 269 228 1,719 1,508
% of revenue 20.1% 20.0% 20.1% 20.0%
Operating income (EBIT) 143 107 915 710
% of revenue 10.7% 9.4% 10.7% 9.4%
Financial expenses and investment income 62 48 398 319
Income before taxes 81 59 517 391
Taxes on Income 27 7 173 43
Net Income 54 52 344 348
Attributable to:
Non-controlling interest 0 0 0 0
Shareholders of the Company 54 52 344 348
% of revenue 4.0% 4.6% 4.0% 4.6%
Adjustments -29 -33 -182 -220
Reported Net income attributable to the
25 19 161 128
shareholders of the Company
% of revenue 1.9% 1.7% 1.9% 1.7%
Adjusted EBITDA 207 168 1,324 1,111
% of revenue 15.5% 14.7% 15.5% 14.7%
2
Adjusted EPS – Basic 0.0231 0.0225 0.1476 0.1489
– Diluted 0.0231 0.0225 0.1476 0.1489
2
Reported EPS – Basic 0.0108 0.0083 0.0692 0.0547
1
For an analysis of the differences between the adjusted income statement items and the income statement items as reported in the
financial statements, see below “Analysis of Gaps between Adjusted Income Statement and Income Statement in Financial Statements”.
2
The number of shares used to calculate both basic and diluted earnings per share in Q4 and FY 2020 is 2,334.5 million shares and
2,401.5 million shares, respectively. The number of shares used to calculate both basic and diluted earnings per share in Q4 and FY
2021 is 2,329.8 million shares, reflecting the repurchase and cancellation of 102.4 million shares from CNAC in July 2020 and
repurchase and cancellation of 14.3 million B shares during the second half of 2020.
11
– Diluted 0.0108 0.0083 0.0692 0.0547
Abridged Consolidated Income Statement for the Full Year
FY 2021 FY 2020 FY 2021 FY 2020
Adjusted3
USD (m) USD (m) RMB (m) RMB (m)
Revenues 4,813 4,128 31,039 28,445
Cost of Sales 3,377 2,886 21,779 19,897
Other costs 24 18 156 125
Gross profit 1,412 1,223 9,103 8,422
% of revenue 29.3% 29.6% 29.3% 29.6%
Selling & Distribution expenses 743 635 4,793 4,378
General & Administrative expenses 171 127 1,100 873
Research & Development expenses 78 70 502 478
Other operating expenses -5 -3 -33 -21
Total operating expenses 986 829 6,362 5,709
% of revenue 20.5% 20.1% 20.5% 20.1%
Operating income (EBIT) 425 394 2,742 2,714
% of revenue 8.8% 9.6% 8.8% 9.5%
Financial expenses and investment income 206 169 1,328 1,163
Income before taxes 219 225 1,414 1,551
Taxes on Income 79 49 511 341
Net Income 140 176 903 1,210
Attributable to:
Non-controlling interest 1 0 7 0
Shareholders of the Company 139 176 895 1,210
% of revenue 2.9% 4.3% 2.9% 4.3%
Adjustments -114 -125 -738 -857
Reported Net income attributable to the
25 51 157 353
shareholders of the Company
% of revenue 0.5% 1.2% 0.5% 1.2%
Adjusted EBITDA 671 628 4,328 4,329
% of revenue 13.9% 15.2% 13.9% 15.2%
4
Adjusted EPS – Basic 0.0596 0.0734 0.3843 0.5039
– Diluted 0.0596 0.0734 0.3843 0.5039
4
Reported EPS – Basic 0.0106 0.0213 0.0676 0.1469
– Diluted 0.0106 0.0213 0.0676 0.1469
3
For an analysis of the differences between the adjusted income statement items and the income statement items as reported in the
financial statements, see below “Analysis of Gaps between Adjusted Income Statement and Income Statement in Financial Statements”.
4
The number of shares used to calculate both basic and diluted earnings per share in Q4 and FY 2020 is 2,334.5 million shares and
2,401.5 million shares, respectively. The number of shares used to calculate both basic and diluted earnings per share in Q4 and FY
2021 is 2,329.8 million shares, reflecting the repurchase and cancellation of 102.4 million shares from CNAC in July 2020 and
repurchase and cancellation of 14.3 million B shares during the second half of 2020.
12
Abridged Consolidated Balance Sheet
Dec 31 Dec 31 Dec 31 Dec 31
2021 2020 2021 2020
USD (m) USD (m) RMB (m) RMB (m)
Assets
Current assets:
Cash at bank and on hand 913 592 5,819 3,864
Bills and accounts receivable 1,423 1,512 9,071 9,867
Inventories 1,843 1,585 11,750 10,338
Other current assets, receivables and
274 484 1,748 3,160
prepaid expenses
Total current assets 4,453 4,174 28,389 27,228
Non-current assets:
Fixed assets, net 1,599 1,223 10,192 7,981
Rights of use assets 73 74 464 484
Intangible assets, net 1,527 1,504 9,736 9,811
Deferred tax assets 113 118 723 774
Other non-current assets 115 80 732 523
Total non-current assets 3,427 3,000 21,847 19,573
Total assets 7,879 7,173 50,235 46,801
Liabilities
Current liabilities:
Loans and credit from banks and other
419 380 2,671 2,478
lenders
Bills and accounts payable 1,065 755 6,788 4,927
Other current liabilities 773 845 4,929 5,515
Total current liabilities 2,257 1,980 14,387 12,920
Long-term liabilities:
Loans and credit from banks and other
549 366 3,499 2,388
lenders
Debentures 1,223 1,238 7,797 8,078
Deferred tax liabilities 60 51 380 332
Employee benefits 124 99 792 646
Other long-term liabilities 361 154 2,304 1,004
Total long-term liabilities 2,317 1,908 14,773 12,447
Total liabilities 4,574 3,888 29,160 25,367
Equity
Total equity 3,306 3,285 21,075 21,434
Total liabilities and equity 7,879 7,173 50,235 46,801
13
Abridged Consolidated Cash Flow Statement for the Fourth Quarter
Q4 2021 Q4 2020 Q4 2021 Q4 2020
USD (m) USD (m) RMB (m) RMB (m)
Cash flow from operating activities:
Cash flow from operating activities 372 95 2,380 631
Cash flow from operating activities 372 95 2,380 631
Investing activities:
Acquisitions of fixed and intangible assets -123 -101 -786 -668
Proceeds from disposal of fixed and intangible assets 1 1 7 5
Acquisition of subsidiaries 0 -41 - -275
Other investing activities -15 0 -93 -
Cash flow used for investing activities -136 -141 -872 -938
Financing activities:
Receipt of loans from banks and other lenders 81 93 516 613
Repayment of loans from banks and other lenders -159 -262 -1,015 -1,733
Interest payment and other -47 -48 -302 -317
Dividends to shareholders - - - -
Other financing activities 30 8 193 56
Cash flow from (used for) financing activities -95 -209 -609 -1,381
Effects of exchange rate movement on cash and cash
1 6 -80 -171
equivalents
Net change in cash and cash equivalents 142 -248 819 -1,859
Cash and cash equivalents at the beginning of the period 762 836 4,940 5,694
Cash and cash equivalents at the end of the period 903 588 5,759 3,835
Free Cash Flow 190 -93 1,212 -613
14
Abridged Consolidated Cash Flow Statement for the Full Year
FY 2021 FY 2020 FY 2021 FY 2020
USD (m) USD (m) RMB (m) RMB (m)
Cash flow from operating activities:
Cash flow from operating activities 710 292 4,562 2,023
Cash flow from operating activities 710 292 4,562 2,023
Investing activities:
Acquisitions of fixed and intangible assets -402 -287 -2,589 -1,970
Proceeds from disposal of fixed and intangible assets 4 3 27 23
Acquisition of subsidiaries -101 -55 -655 -371
Other investing activities -26 -2 -166 -14
Cash flow used for investing activities -525 -341 -3,383 -2,332
Financing activities:
Receipt of loans from banks and other lenders 756 642 4,885 4,465
Repayment of loans from banks and other lenders -570 -502 -3,670 -3,405
Interest payment and other -117 -105 -755 -717
Dividends to shareholders -6 -2 -37 -11
Other financing activities 64 -26 414 -189
Cash flow from (used for) financing activities 128 8 837 143
Effects of exchange rate movement on cash and cash
2 10 -91 -319
equivalents
Net change in cash and cash equivalents 316 -31 1,924 -485
Cash and cash equivalents at the beginning of the period 588 619 3,835 4,320
Cash and cash equivalents at the end of the period 903 588 5,759 3,835
Free Cash Flow 75 -150 467 -990
15
Notes to Abridged Consolidated Financial Statements
Note 1: Basis of preparation
Basis of presentation and accounting policies: The abridged consolidated financial statements for the
quarters ended December 31, 2021 and 2020 incorporate the financial statements of ADAMA Ltd. and of all of
its subsidiaries (the “Company”), including Adama Agricultural Solutions Ltd. (“Solutions”) and its subsidiaries.
The Company has adopted the Accounting Standards for Business Enterprises (ASBE) issued by the Ministry
of Finance (the "MoF") and the implementation guidance, interpretations and other relevant provisions issued
or revised subsequently by the MoF (collectively referred to as “ASBE”). Note that in the reported financial
statements, as a result of recent changes in the ASBE guidelines (IAS 37), certain items in 2021 (specifically
certain transportation costs and certain idleness charges) have been reclassified from Operating Expenses to
COGS, while in this release such items have not been so reclassified in order to maintain comparability
between the 2020 and 2021 financial periods. See the notes to the financial statements for more details in this
regard.
The abridged consolidated financial statements contained in this release are presented in both Chinese
Renminbi (RMB), as the Company’s shares are traded on the Shenzhen Stock Exchange, as well as in United
States dollars ($) as this is the major currency in which the Company’s business is conducted. For the
purposes of this release, a customary convenience translation has been used for the translation from RMB to
US dollars, with Income Statement and Cash Flow items being translated using the quarterly average
exchange rate, and Balance Sheet items being translated using the exchange rate at the end of the period.
The preparation of financial statements requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of
the financial statements, and the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimated.
Note 2: Abridged Financial Statements
For ease of use, the financial statements shown in this release have been abridged as follows:
Abridged Consolidated Income Statement:
“Gross profit” in this release is revenue less costs of goods sold, taxes and surcharges, inventory
impairment and other idleness charges (in addition to those already included in costs of goods sold);
part of the idleness charges is removed in the Adjusted financial statements
“Other operating expenses” includes impairment losses (not including inventory impairment); gain
(loss) from disposal of assets and non-operating income and expenses
“Operating expenses” in this release differ from those in the formally reported financial statements in
that in in the reported financial statements, as a result of recent changes in the ASBE guidelines (IAS
37), certain items in 2021 (specifically certain transportation costs and certain idleness charges) have
been reclassified from Operating Expenses to COGS, while in this release such items have not been
so reclassified in order to maintain comparability between the 2020 and 2021 financial periods
“Financial expenses and investment income” includes net financing expenses; gains from changes in
fair value; and investment income (including share of income of equity accounted investees)
Abridged Consolidated Balance Sheet:
“Other current assets, receivables and prepaid expenses” includes financial assets held for trading;
financial assets in respect of derivatives; prepayments; other receivables; and other current assets
“Fixed assets, net” includes fixed assets and construction in progress
“Intangible assets, net” includes intangible assets and goodwill
“Other non-current assets” includes other equity investments; long-term equity investments; long-term
receivables; investment property; and other non-current assets
“Loans and credit from banks and other lenders” includes short-term loans and non-current liabilities
due within one year
“Other current liabilities” includes financial liabilities in respect of derivatives; payables for employee
benefits, taxes, interest, dividends and others; advances from customers and other current liabilities
“Other long-term liabilities” includes long-term payables, provisions, deferred income and other non-
16
current liabilities
17
Income Statement Adjustments
Q4 2021 Q4 2020 Q4 2021 Q4 2020
USD (m) USD (m) RMB (m) RMB (m)
Net Income (Reported) 25.8 19.3 165.0 127.7
Adjustments to COGS & Operating Expenses:
1. Amortization of Legacy PPA of 2011 acquisition of Solutions (non-cash) 0.3 10.2 1.6 67.7
2. Amortization of Transfer assets received and written-up due to 2017 ChemChina- 4.3 7.7 27.2 50.7
Syngenta transaction (non-cash)
3. Upgrade & Relocation related costs 29.6 21.4 189.7 142.1
4. Incentive plans (non-cash) -6.0 -4.7 -38.2 -31.1
5. Amortization of acquisition-related PPA (non-cash), other acquisition-related costs 5.2 2.9 33.7 19.1
6. Employee early retirement expenses - 0.5 - 3.3
7. Capital gain recognized on acquisition of control of an equity investee - - - -
8. Non-core assets impairment - - - -
9. Provisions in tax expenses related to prior years’ activities - 6.0 - 39.5
Total Adjustments to Operating Income (EBIT) 33.4 44.0 213.9 291.2
Total Adjustments to EBITDA 19.1 13.8 122.3 91.3
Adjustments to Financing Expenses
Revaluation of non-cash adjustment related to non-controlling interest 0.5 -1.5 3.4 -9.7
Adjustments to Taxes
1. Tax shield on Legacy PPA of 2011 acquisition of Solutions 0.0 1.7 0.3 11.5
3. Taxes related to restructuring costs 5.0 0.7 32.3 4.6
5. Deferred tax on amortization of acquisition-related PPA, other acquisition-related costs 0.9 0.5 5.8 3.3
9. Provisions in tax expenses related to prior years’ activities - 6.3 - 42.0
Total adjustments to Net Income 28.0 33.2 178.9 220.1
Net Income (Adjusted) 53.7 52.5 343.8 347.7
Total adjustments to Net Income attributable to the shareholders of the Company 28.5 - 182.5 -
18
FY 2021 FY 2020 FY 2021 FY 2020
USD (m) USD (m) RMB (m) RMB (m)
Net Income (Reported) 25.5 51.1 163.3 352.8
Adjustments to COGS & Operating Expenses:
1. Amortization of Legacy PPA of 2011 acquisition of Solutions (non-cash) 1.0 44.6 6.5 307.8
2. Amortization of Transfer assets received and written-up due to 2017 ChemChina- 23.1 30.6 149.2 211.4
Syngenta transaction (non-cash)
3. Upgrade & Relocation related costs 96.5 52.8 622.1 355.2
4. Incentive plans (non-cash) -4.5 -12.4 -28.5 -85.4
5. Amortization of acquisition-related PPA (non-cash), other acquisition-related costs 16.6 10.8 106.7 74.1
6. Employee early retirement expenses - 10.5 - 73.3
7. Capital gain recognized on acquisition of control of an equity investee - -8.5 - -59.0
8. Non-core assets impairment - 9.0 - 62.6
9. Provisions in tax expenses related to prior years’ activities 1.6 6.0 10.3 39.5
Total Adjustments to Operating Income (EBIT) 134.3 143.4 866.3 979.5
Total Adjustments to EBITDA 78.5 35.9 507.0 240.4
Adjustments to Financing Expenses
10. Revaluation of non-cash adjustment related to non-controlling interest 0.5 -0.7 3.4 -4.0
Adjustments to Taxes
1. Tax shield on Legacy PPA of 2011 acquisition of Solutions 0.2 7.6 1.1 52.3
3. Taxes related to restructuring costs 16.9 2.0 109.4 13.5
5. Deferred tax on amortization of acquisition-related PPA, other acquisition-related costs 2.7 1.5 17.6 10.2
9. Provisions in tax expenses related to prior years’ activities 0.4 6.3 2.5 42.0
Total adjustments to Net Income 114.6 125.3 739.4 857.4
Net Income (Adjusted) 140.1 176.4 902.7 1,210.2
Total adjustments to Net Income attributable to the shareholders of the Company 114.4 - 738.0 -
Notes:
1. Amortization of Legacy PPA of 2011 acquisition of Solutions (non-cash): Under ASBE, since the first combined reporting for Q3 2017, the
Company has inherited the historical “legacy” amortization charge that ChemChina previously was incurring in respect of its acquisition of
Solutions in 2011. This amortization is done in a linear manner on a quarterly basis, most of which will have been completed by the end of 2020.
2. Amortization of Transfer assets received and written-up due to 2017 ChemChina-Syngenta transaction (non-cash): The proceeds from
the Divestment of crop protection products in connection with the approval by the EU Commission of the acquisition of Syngenta by
ChemChina, net of taxes and transaction expenses, were paid to Syngenta in return for the transfer of a portfolio of products in Europe of
similar nature and economic value. Since the products acquired from Syngenta are of the same nature and with the same net economic value
as those divested, and since in 2018 the Company adjusted for the one-time gain that it made on the divested products, the additional
amortization charge incurred due to the written-up value of the acquired assets is also adjusted to present a consistent view of Divestment and
Transfer transactions, which had no net impact on the underlying economic performance of the Company. These additional amortization
charges will continue until 2032 but at a reducing rate, yet will still be at a meaningful level until 2028.
3. Upgrade & Relocation-related costs: These charges all relate to the multi-year Upgrade & Relocation program in China. As part of this
program, production assets located in the old production sites in Jingzhou and Huai’An are being relocated to the new sites, both in 2020 and
in the coming years. Since some of the older production assets may not be able to be relocated, some of these assets which are no longer
operational are being written off (or impaired), while for others, their economic life has been shortened and therefore will be depreciated over a
shorter period. Since these are older assets that were built many years ago and will be replaced by newer production facilities at the new sites,
and since the ongoing operations of the business will not be impacted thereby, the Company adjusts for the impact of all charges related to the
China Upgrade & Relocated program, which include mainly: (i) excess 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 (ii)
elevated idleness charges largely related to suspensions at the facilities being relocated as well as to the temporary suspensions of the
Jingzhou site in Q1 2020 (at the outbreak of COVID-19 in Hubei Province).
4. Incentive plans (non-cash): The Company granted its employees, who are mainly non-Chinese residents, a long-term incentive (LTI) in the
form of 'phantom' options, due to the complexity of granting Chinese-listed, equity-settled options to non-Chinese employees. As such, the
Company records an expense, or recognizes income, depending on the fluctuation in the Company’s share price, even though the Company
will not incur any cash impact prior to exercise of the phantom options. To neutralize the impact of such share price movements on the
measurement of the Company’s performance and expected employee compensation and to reflect the existing phantom options, in the
Company’s adjusted financial performance, the LTI is presented on an equity-settled basis in accordance with the value of the existing plan at
the grant date.
19
5. Amortization of acquisition-related PPA (non-cash) and other acquisition-related costs: 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&A-related costs.
6. Employee early retirement expenses: Provision for early retirement plan of employees at the Company’s Israeli manufacturing sites.
7. Capital gain recognized on acquisition of control of an equity investee: On 1 July 2020, the Company acquired the remaining 51% stake
in Alfa Agricultural Supplies, S.A., and in so doing, gained control over the company which previously was accounted for as an equity investee.
As a result of the change of consolidation scope, the Company recognized a one-time, non-cash, capital gain.
8. Non-core assets impairment: One-time, non-cash charge due to closure or impairment of peripheral, non-material assets
9. Provisions in tax expenses related to prior years’ activities: Provisions in respect of tax expenses related to activities of prior years.
10. Revaluation of non-cash adjustment related to non-controlling interest: Relates to put options issued to non-controlling interests as part
of historical business combinations which took place before January 1, 2010. The put options are presented as a liability at the present value of
the future exercise price. The revaluation of these put options in Solutions is recognized under IFRS to Goodwill, but due to the acquisition of
Solutions by the Company in 2017, which is treated from an accounting perspective as a “Business Combination Under Common Control”,
such revaluation is recorded as a profit or loss item in the financial reports of the Company. The revaluations of such put options have no
bearing on the ongoing performance of the Company and are therefore removed from the Adjusted performance figures.
Exchange Rate Data for the Company's Principal Functional Currencies
Dec 31 Q4 Average FY Average
2021 2020 Change 2021 2020 Change 2021 2020 Change
EUR/USD 1.132 1.227 (7.7%) 1.144 1.192 (4.1%) 1.183 1.139 3.8%
USD/BRL 5.581 5.197 (7.4%) 5.584 5.396 (3.5%) 5.395 5.156 (4.6%)
USD/PLN 4.060 3.758 (8.0%) 4.040 3.781 (6.9%) 3.862 3.900 1.0%
USD/ZAR 15.924 14.620 (8.9%) 15.739 15.648 (0.6%) 14.864 16.472 9.8%
AUD/USD 0.727 0.772 (5.9%) 0.729 0.731 (0.3%) 0.751 0.688 9.2%
GBP/USD 1.351 1.366 (1.1%) 1.348 1.321 2.1% 1.376 1.282 7.3%
USD/ILS 3.110 3.215 3.3% 3.155 3.333 5.4% 3.231 3.441 6.1%
USD LIBOR 3M 0.22% 0.24% (9.4%) 0.16% 0.22% (26.8%) 0.16% 0.65% (75.1%)
Dec 31 Q4 Average FY Average
2021 2020 Change 2021 2020 Change 2021 2020 Change
USD/RMB 6.376 6.525 (2.3%) 6.395 6.621 (3.4%) 6.451 6.993 (7.7%)
EUR/RMB 7.216 8.005 (9.9%) 7.315 7.894 (7.3%) 7.630 7.860 (2.9%)
RMB/BRL 0.875 0.796 (9.9%) 0.873 0.815 (7.1%) 0.836 0.747 (11.9%)
RMB/PLN 0.637 0.576 (10.6%) 0.632 0.571 (10.6%) 0.599 0.565 (5.9%)
RMB/ZAR 2.498 2.485 (0.5%) 2.461 2.444 (0.7%) 2.304 2.395 3.8%
AUD/RMB 4.633 5.040 (8.1%) 4.659 4.837 (3.7%) 4.844 4.746 2.1%
GBP/RMB 8.617 8.913 (3.3%) 8.623 8.744 (1.4%) 0.836 8.849 (90.5%)
RMB/ILS 0.488 0.493 1.0% 0.493 0.503 2.0% 0.501 0.565 11.4%
RMB LIBOR 3M 2.50% 2.76% (9.3%) 2.47% 2.94% (16.0%) 2.52% 2.40% 5.1%
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