Abstract of 2022 Annual Report of ADAMA Ltd.
Stock Code: 000553(200553) Stock Abbreviations: ADAMA A(B) Announcement No.2023-10
Abstract of the 2022 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
understand 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. No disagreement was raised
by the directors, supervisors, and senior managements.
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
Whether increase the capital by the transfer of capital reserves
□Yes √No
The pre-plan of the dividend distribution approved by the meeting of the Board of Directors refers to the total
outstanding 2,329,811,766 shares of the Company as the basis for the distribution as cash dividend of RMB 0.27
(before tax) per 10 shares, to all the shareholders of the Company. No shares will be distributed as share dividend,
and no reserve will be transferred 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
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Abstract of 2022 Annual Report of ADAMA Ltd.
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 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 Europe, North America, Latin America, Asia-
Pacific (including China) and India, the Middle-East and Africa.
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 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.
General crop protection market environment
During 2022, crop prices reached record levels in May 2022, driven by tight stocks, adverse weather conditions and
the Ukraine-Russia conflict which disrupted the supply of commodities. Prices have since declined but are expected
to remain above pre-pandemic levels. The high crop prices drove strong farmer income, despite the higher cost
environment (fertilizer, chemicals, labor, energy) faced by farmers. As a result, crop protection demand stayed
strong in 2022 and farmers were able to absorb crop protection price increases. Going into 2023, crop protection
channel inventories in some regions are above average, which may dampen demand in the near future.
The cost environment has improved throughout the second half of 2022, as raw material and active ingredient prices
in China continued to decline, logistic prices normalized and energy prices eased. However, costs are still higher
than pre-pandemic levels, with some areas still experiencing especially high costs, like European co-formulants and
inland transportation.
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 6.5% in 2022, based
on AgBio Investor’s preliminary estimation of the global agrochemical industry in 2022 (compared with 6.0% in
2021).
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: Changes to the Accounting Policies
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Abstract of 2022 Annual Report of ADAMA Ltd.
Unit: RMB’000
2021 2020
2022 Before After +/- (%) Before After
adjustment adjustment adjustment adjustment
Operating revenue (RMB’000) 37,381,915 31,038,605 31,038,605 20.44% 28,444,833 28,444,833
Net profit attributable to the
609,391 157,397 157,397 287.17% 352,753 352,753
shareholders (RMB’000)
Net profit attributable to the
shareholders, excluding
490,428 77,853 77,853 529.94% 287,724 287,724
non-recurring profit and loss
(RMB’000)
Net cash flows from operating 940,745 4,561,875 4,561,875 -79.38% 2,023,015 2,023,015
activities (RMB’000)
Basic EPS (RMB/share) 0.2616 0.0676 0.0676 286.98% 0.1505 0.1505
Diluted EPS (RMB/share) N/A N/A N/A N/A N/A N/A
Weighted average return on equity 2.76% 0.74% 0.74% 2.02% 1.61% 1.61%
31.12.2021 31.12.2020
31.12.2022 Before After +/- (%) Before After
adjustment adjustment adjustment adjustment
Total assets (RMB’000) 57,980,489 50,235,308 50,235,308 15.42% 46,801,034 46,801,034
Net assets attributable to the 23,124,655 21,075,083 21,075,083 9.73% 21,353,752 21,353,752
shareholders (RMB’000)
Reason for retroactive adjustments: According to ASBE 22 - Financial Instruments Recognition and Measurement,
starting from 2022 the Group recorded the gain or loss from the disposal of derivative instruments in the “Gain(loss)
from Changes in Fair Value”. Before 2022, the Group recorded the abovementioned gain of loss in the “Investment
income, net”. The Company reclassified the “Gain(loss) from Changes in Fair Value” and the “Investment income,
net” in the corresponding period in 2021. Such change did not impact the operating results or net assets of the
reporting period.
(2) Main Accounting Data by Quarter
Unit: RMB’000
Q1 2022 Q2 2022 Q3 2022 Q4 2022
Operating revenue 9,015,991 9,779,837 9,281,986 9,304,101
Net profit attributable to the shareholders 427,652 304,446 36,046 (158,753)
Net profit attributable to the shareholders excluding non- 413,345 241,678 4,353 (168,948)
recurring profit and loss
Net cash flows from operating activities (1,813,846) 467,985 (212,839) 2,499,445
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
39,975 30th trading day before the disclosure 40,664 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
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Abstract of 2022 Annual Report of ADAMA Ltd.
Shareholding of Top-10 Shareholders
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
Portfolio No.503 of National Social -- -- --
Others 0.56% 13,000,000
Security Fund
CITIC Securities - Huarong Ruitong -- -- --
Equity Investment Management Co.,
Others 0.55% 12,885,900
Ltd. - CITIC Securities - Changfeng
Single Asset Management Plan
Hong Kong Securities Clearing Overseas -- -- --
0.46% 10,606,080
Company Ltd. (HKSCC) legal person
Domestic -- -- --
Wang Xiuqin 0.36% 8,487,715
Individual
Bosera Funds-China Merchants Bank- -- -- --
Bosera Funds Xincheng No.2 Others 0.28% 6,500,000
Collective Asset Management Plan
Bosera Funds-Postal Savings Bank- -- -- --
Bosera Funds Xincheng No.3 Others 0.26% 6,000,000
Collective Asset Management Plan
Wu Feng Domestic -- -- --
0.24% 5,479,915
Individual
China Universal Fund-Industrial Bank- -- -- --
China Universal-Strategic
Others 0.19% 4,400,000
Enhancement No.3 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 to other shareholders. It is unknown to the Company whether
Explanation on associated relationship or/and persons
shareholders above are related parties or acting-in-concert parties as
prescribed in the Administrative Methods for Acquisition of Listed
Companies.
Shareholder Wang Xiuqin held 616,261 shares through an ordinary securities
trading account and 7,871,454 shares through a credit collateral securities
Particular about shareholder participate in the trading account, thus holding a total of 8,487,715 shares of the Company.
securities lending and borrowing business ( if any) Shareholder Wu Feng held 3,967,889 shares through an ordinary securities
trading account and 1,512,026 shares through a credit collateral securities
trading account, thus holding a total of 5,479,915 shares of the Company.
(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
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Abstract of 2022 Annual Report of ADAMA Ltd.
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 2022 Annual Report.
ADAMA Ltd.
Legal Representative：Ignacio Dominguez
March 19th, 2023
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