|For Immediate Release||CONTACT:|
|Thursday, July 30, 2020||Greg Peterson|
|Vice President, Investor Relations|
AGCO REPORTS SECOND QUARTER RESULTS
DULUTH, GA – July 30 – AGCO, Your Agriculture Company (NYSE: AGCO), a worldwide manufacturer and distributor of agricultural equipment and solutions, reported its results for the second quarter ended June 30, 2020. Net sales for the second quarter were approximately $2.0 billion, a decrease of approximately 17.2% compared to the second quarter of 2019. Reported net income was $0.93 per share for the second quarter of 2020 and adjusted net income, excluding a non-cash impairment charge and restructuring expenses, was $1.11 per share. These results compare to reported and adjusted net income of $1.82 per share for the second quarter of 2019. Excluding unfavorable currency translation impacts of approximately 3.9%, net sales in the second quarter of 2020 decreased approximately 13.2% compared to the second quarter of 2019.
Net sales for the first six months of 2020 were approximately $3.9 billion, a decrease of approximately 10.9% compared to the same period in 2019. Excluding unfavorable currency translation impacts of approximately 3.8%, net sales for the first six months of 2020 decreased approximately 7.2% compared to the same period in 2019. For the first six months of 2020, reported net income was $1.78 per share, and adjusted net income, excluding a non-cash impairment charge and restructuring expenses was $1.97 per share. These results compare to reported net income of $2.66 per share, and adjusted net income, excluding restructuring expenses, of $2.68 per share for the first six months of 2019.
Second Quarter Highlights
•Reported regional sales results(1): Europe/Middle East (“EME”) (22.8)%, North America (10.2)%, South America (3.9)%, Asia/Pacific/Africa (“APA”) (8.2)%
•Constant currency regional sales results(1)(2): EME (20.4)%, North America (9.1)%, South America 21.2%, APA (4.1)%
•Regional operating margin performance: EME 8.1%, North America 11.6%, South America 3.1%, APA 9.5%
•Second quarter production in Europe and South America impacted by COVID-19 related supply chain disruptions. All factories returned to normal production during the second quarter.
•Funding position stable with net debt below June 2019 levels
•Full-year outlook reestablished for net sales and net income per share
(1) As compared to second quarter 2019.
(2) Excludes currency translation impact. See reconciliation in appendix.
“AGCO’s priorities throughout the COVID-19 crisis continues to be the safety of our employees while serving our dealers and the world’s farmers as they maintain the global food supply,” stated Martin Richenhagen, AGCO’s Chairman, President and Chief Executive Officer. “We’ve had good success with these efforts to this point, and I would like to thank our employees around the world for finding innovative solutions to keep our business running effectively and to support our customers. Our second quarter results demonstrated strong execution as we overcame COVID-19 related production disruptions in Europe and South America in order to
The following information was filed by Agco Corp De (AGCO) on Thursday, July 30, 2020 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.