Louis Dreyfus Company Reports Good Financial Results in 2021

Louis Dreyfus Company B.V. (LDC) has reported strong consolidated financial results for the year ended December 31, 2021, successfully fulfilling its key role of keeping essential agricultural supply chains moving safely, reliably and responsibly in a context of ongoing global challenges.

Net sales totaled US$49,6 billion, an increase of 47,7% compared to 2020, while Segment Operating Results increased 17,6% year over year to US$1,834 million, as the company further has leveraged its global presence and market intelligence to mitigate risks, deliver for customers and capture profitable origination and sales opportunities. This performance increased EBITDA to US$1,623 million, an increase of 22,6% compared to the same period in 2020.

“2021 was a very special year for LDC, in which we celebrated 170 years of history and opened a new chapter for the company, welcoming ADQ into our group of shareholders as a strategic partner in the pursuit of our long-term plans and strategy. ” said Margarita Louis-Dreyfus, President of the Supervisory Board. “It has also been another challenging year for our teams and partners around the world, to whom I am deeply grateful for their exceptional commitment, which has enabled business continuity and success even in a complex and rapidly changing context.”

With overall resilient demand for the key products marketed by the Group in 2021, both business segments contributed to LDC's strong operating results, which reached US$1,191 million for the Value Chain Segment (compared to US$1,003 million in 2020 ) and US$643 million for the Merchandising Segment (up from US$556 million in the previous year). All business platforms successfully navigated uncertain market conditions, ensuring profitable flows to meet demand, implementing successful hedging strategies and capitalizing on the recovery from the impacts of Covid-19 in certain sectors due to the easing of sanitary measures.

“In another year marked by the ongoing pandemic, freight shortages and port congestion, as well as climate challenges, LDC has once again navigated a complex environment to deliver for customers, while taking important steps forward in our strategic and sustainability roadmaps.” , said Michael Gelchie, CEO of LDC. “Our clear vision and agile mindset have underpinned our success over 170 years and continue to do so today as we pursue our growth ambitions, always with the safety and well-being of all those who work for and with us as top priority.”

As part of its commitment to help address increasingly urgent climate and other global sustainability challenges, LDC created a dedicated Carbon Solutions Platform in 2021 to accelerate the Group's decarbonization journey. This reflects the sectoral commitment, signed at the United Nations Climate Change Conference COP26, for accelerated action on deforestation and emissions, supporting the global drive towards a net-zero economy.

“Our progress in 2021 has further reinforced LDC’s leadership position as a key industry player for the future, while ensuring the future we shape is fair and sustainable, in line with our company’s purpose” , said Michael Gelchie. “Looking ahead, in light of the new geopolitical tensions and macroeconomic changes that will emerge in 2022, our role in providing essential products to the world's population is more important than ever. It remains our priority to fulfill this role safely, reliably and responsibly, working hand in hand with our teams and business partners around the world, to whom we are extremely grateful for their continued collaboration and support.”

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