Syngenta Group releases results for the third quarter of 2023

Syngenta Group today announced its financial results for the third quarter of 2023. Its sales were US$6,8 billion, down 13% (-13% CER); in nine months, sales were US$24,3 billion, a drop of 6% compared to the previous year (-3% CER).

EBITDA in the third quarter was US$0,3 billion, a 68% drop compared to the previous year. In nine months, EBITDA was 22% lower (-20% CER) compared to 2022.

According to the company, EBITDA was significantly impacted by a weaker market in Brazil compared to 2022; and one-time correction of seed stocks in Brazil, in addition to the moment of receipt of royalties, brought forward to the second quarter.

Sales of Syngenta Crop Protection and Adama were lower compared to the first three quarters of the previous year. Crop protection in China continued to see strong growth in the first nine months of 2023, with a 16% increase in sales year-on-year, benefiting from the launch of new technologies. Syngenta Group's biological solutions grew 14% in sales compared to the first nine months of the previous year.

The seed business grew 3% to sales of US$3,3 billion in the first nine months of 2023. In Latin America, sales and profits were lower due "to a one-time inventory adjustment."

Syngenta Crop Protection Situation

Syngenta Crop Protection sales fell 9% to US$11,5 billion in the first nine months of 2023, amid continued inventory drawdowns in Brazil.

In the first nine months, sales in North America grew 2%; sales were 3% lower in Europe, Africa and the Middle East and 5% lower in Asia-Pacific (excluding China). Sales in China increased by 16%. Sales in Latin America fell 20% as distributors reduced inventories and prices for some products fell. At CER, business grew in all regions except Latin America.

Adama's situation

Adama sales fell 18%. They totaled US$4,2 billion in the first nine months of 2023.

In the first nine months, sales in Europe, Africa and the Middle East were 5% lower; sales in Latin America were 21% lower. Sales in North America were 23% lower; sales in Asia-Pacific (excluding China) were 16% lower. Sales in China were 25% lower, "largely due to weak demand for non-agricultural products".

Situation of Syngenta Seeds

Syngenta Seeds sales grew 3% to $3,3 billion in the first nine months of 2023, "driven by robust pricing."

Sales of agricultural crops in Europe, Africa and the Middle East grew 12%; North America 5%; Asia-Pacific (excluding China) 19%; and China 8%. Latin America fell 15%, mainly due to a one-time inventory adjustment in Brazil. Sales of vegetable seeds grew 3%.

Situation of the Syngenta China Group

Syngenta Group China, comprised of the Group's seed, crop protection, crop nutrition, MAP and digital activities in China, achieved sales of US$7,7 billion, an increase of 9%, in the first nine months of 2023.

Syngenta China Group's crop protection sales rose 3% in the first three quarters of the year. Seed sales grew 7%. Crop nutrition sales fell 3%.

In the first nine months of the year, MAP sales grew 25% to $3,3 billion. The number of MAP centers increased by 162 from the previous year, to a total of 727. MAP digital applications have reached 2,5 million registered users, providing online tools that help modernize farms across China.