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, /PRNewswire/ -- Adecoagro S.A. (NYSE: AGRO, Bloomberg: AGRO US, Reuters: AGRO.K), a leading sustainable production company in South America, announced today its results for the second quarter ended June 30, 2026. The financial information contained in this press release is based on consolidated interim financial statements presented in US dollars and prepared in accordance with International Financial Reporting Standards (IFRS) except for Non-IFRS measures.
Main highlights for the period:
Outperformance of our Fertilizers segment driven by higher production and stronger urea prices. In our Sugar, Ethanol and Energy segment, higher cane availability supported the increase in crushing volumes, while we continued to maximize ethanol production given the better margin and build inventories to profit from higher expected prices. Gross sales remained in-line with the previous year during both 2Q26 and 6M26, explained by a mixed performance in prices and volumes across our product portfolio. On a pro forma basis, Net Debt/LTM Adj. EBITDA was down to 3.0x, compared to 3.2x in 1Q26. Despite working capital seasonality, the growth in Adjusted EBITDA enabled us to continue with our deleveraging process, as expected. Going forward, we intend to continue reducing our leverage ratio driven by higher expected results. Fertilizers segment:
Adjusted EBITDA amounted to $121.2 million in 2Q26 and $173.8 million in 6M26. On a pro forma basis, these represent a 109.7% and 148.5% increase versus 2Q25 and 6M25, assuming that the Profertil acquisition had occurred on January 1, 2025.
(+) Greater urea production (21.6% higher than 2Q25) on higher number of operational days. Year-to-date production at 617 thousand tons of urea (15.9% more versus 6M25).
(+) Higher sales on greater urea prices ($699/ton in 2Q26 and $620/ton year-to-date, versus $444/ton in 2025).
(+) Lower cost of production supported by cost efficiencies and higher production, driving further margin expansion. Outlook
(+/-) After reaching its peak during the month of April (~$800/ton), driven by the conflict in Middle East, urea prices returned to mid-cycle levels. As of the date of this press release, CFR Brazil is trading at ~$480/ton on average.
(+) Due to better-than-expected prices captured in 6M26, we expect a strong Adjusted EBITDA in 2026, exceeding prior years.
Sugar, Ethanol & Energy segment:
Adjusted EBITDA amounted to $53.2 million in 2Q26 and $93.8 million in 6M26, 21.8% and 4.2% lower year-over-year, respectively.
(+) Crushing totaled 3.5 million tons in 2Q26 and 5.8 million tons in 6M26 (up 2.8% and 16.8% year-over-year, respectively) driven by greater cane availability on better yields (83 tn/ha in 6M26).
(+) Ethanol maximization (78% mix in 6M26) to capture better margins compared to sugar.
(-/+) Lower net sales on lower selling volumes and prices of sugar, coupled with lower ethanol volumes sold as we built-up inventories.
(-) Year-over-year losses in biological assets on lower Consecana prices, despite higher crushing.
(-/+) Cost of production stood at 10.4 cts/lb (versus 9.0 cts/lb in 6M25) despite higher crushing volume, driven by the appreciation of the Brazilian Real. Excluding FX impact, production cost expressed in local currency remained in line compared to 6M25. Outlook
(+) Crushing pace remains on track to meet our full-year crushing target. Assuming normal weather, we foresee low-double-digit growth in 2026 crushing volume versus 2025.
(+/-) We have 75% of our sugar production hedged at 15.7 cts/lb and 16% of next year's at 17.4 cts/lb.
(+) We have 41% of our year-to-date ethanol production stored in our tanks to profit from higher expected price.
Food & Agriculture segment:
Adjusted EBITDA reached $4.9 million in 2Q26, compared to $1.1 million in 2Q25. On a year-to-date basis, Adjusted EBITDA reached $6.2 million, 64.9% lower year-over-year.
(+) Higher grain production on better yields as we conclude the 2025/26 harvest season. Greater milk processing volume driven by higher cow productivity.
(-) Lower commodity prices (between 3% and 43% depending on the product), excluding soybean, as local prices benefited from the suspension of export taxes.
(-) Higher costs in U.S. dollar terms. Outlook
(+) We expect margins to improve in the coming quarters as we commercialize the new crop.
Non-Gaap Financial Measures: For a full reconciliation of non-gaap financial measures please refer to page 10 of our 2Q26 Earnings Release found on Adecoagro's website (ir.adecoagro.com)
Forward-Looking Statements: This press release contains forward-looking statements that are based on our current expectations, assumptions, estimates and projections about us and our industry. For a full definition of our Forward-Looking Statements, please refer to page 9 of our 2Q26 Earnings release.
To read the full 2Q26 earnings release, please access ir.adecoagro.com. A conference call to discuss 2Q26 results will be held on August 12, 2026, with a live webcast through the internet:
Conference Call
August 12, 2026
10 a.m. US EST
11 a.m. Buenos Aires
11 a.m. São Paulo
4 p.m. Luxembourg
To participate, please register at the link
Investor Relations Department
Emilio Gnecco
CFO
Victoria Cabello
IRO
Email: [email protected]
About Adecoagro:
Adecoagro is a leading sustainable production company in South America. Adecoagro owns 210.4 thousand hectares of farmland and several industrial facilities spread across the most productive regions of Argentina, Brazil and Uruguay, where it produces 1.3 million tons of fertilizers, 3.1 million tons of agricultural products and over 1 million MWh of renewable electricity.
SOURCE Adecoagro S.A.
