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Bunge Reports Third Quarter 2020 Results

10/28/20

ST. LOUIS, Oct. 28, 2020 /PRNewswire/ -- Bunge Limited (NYSE:BG) today reported third quarter 2020 results.

  • Q3 GAAP EPS of $1.84 vs. $(10.57) in the prior year; $2.47 vs. $1.28 on an adjusted basis excluding certain gains/charges and mark-to-market timing differences
  • Strong results driven by outstanding execution across Bunge's global platform
  • Exceptional Agribusiness performance driven by oilseed processing, which benefited from higher margins and volumes
  • Edible Oils results better than expected; year to date results higher than prior year despite COVID-19 impacts
  • Increasing full-year adjusted EPS outlook to between $6.25 and $6.75 based on strong Q3 results and improving market trends

 

  • Overview

Greg Heckman, Bunge's Chief Executive Officer, commented, "Our team delivered a strong third quarter with outstanding execution across our global platform, leveraging improving market trends. We achieved record crush utilization and captured exceptionally strong margins while supporting our customers and maintaining measures to protect the health of our employees. These results, and our performance over the past few quarters, reflect the meaningful changes we've made to our operating model, portfolio and financial approach.

"Looking into next year, we expect many of the favorable trends to continue with demand for our products  remaining strong. We also expect additional global demand for vegetable oil from the growth of biofuels. With our strength in oilseed processing, in addition to our global origination and distribution capabilities, we believe we are well positioned to meet market demands and capitalize on this growth."

  • Financial Highlights

Quarter Ended

September 30,


Nine Months Ended

September 30,

US$ in millions, except per share data

2020

2019


2020

2019

Net income attributable to Bunge

$

262


$

(1,488)



$

594


$

(1,229)








Net income per common share-diluted

$

1.84


$

(10.57)



$

3.98


$

(8.87)








Mark-to-market timing difference (a)

$

0.85


$

(0.13)



$

0.97


$

(0.25)


Certain (gains) and charges (b)

$

(0.14)


$

11.30



$

0.32


$

11.50


Dilutive share basis difference - GAAP vs Adjusted (c)

$

—


$

0.68



$

—


$

0.69


Adjustment of redeemable noncontrolling interest (d)

$

(0.08)


$

—



$

(0.01)


$

—


Adjusted Net income per common share-diluted (e)

$

2.47


$

1.28



$

5.26


$

3.07








Core Segment EBIT (e) (f)

$

420


$

202



$

1,305


$

709


Mark-to-market timing difference (a)

161


(25)



186


(47)


Certain (gains) & charges (b)

—


110



—


123


Adjusted Core Segment EBIT (e)

$

581


$

287



$

1,491


$

785








Corporate and Other EBIT (e)

$

(92)


$

(99)



$

(274)


$

(77)


Certain (gains) & charges (b)

—


30



71


45


Adjusted Corporate and Other EBIT (e)

$

(92)


$

(69)



$

(203)


$

(32)








Non-core Segment EBIT (e) (g)

$

23


$

(1,543)



$

(112)


$

(1,567)


Certain (gains) & charges (b)

—


1,604



—


1,607


Adjusted Non-core Segment EBIT (e)

$

23


$

61



$

(112)


$

40








Total Segment EBIT (e)

$

351


$

(1,440)



$

919


$

(935)


Mark-to-market timing difference (a)

161


$

(25)



$

186


$

(47)


Total Certain (gains) & charges (b)

—


$

1,744



$

71


$

1,775


Adjusted Total Segment EBIT (e)

$

512


$

279



$

1,176


$

793










(a)

Mark-to-market timing impact of certain commodity and freight contracts, readily marketable inventories, and related hedges associated with committed future operating capacity. See note 3 in the Additional Financial information section of this release for details.

(b)

Certain (gains) & charges included in Total Segment EBIT. See Additional Financial Information for details.

(c)

Dilutive share basis difference - GAAP vs. Adjusted represents the impact of using different weighted-average common shares outstanding in the denominators of the respective GAAP and Adjusted EPS calculations. See note 4 in the Additional Financial information section of this release for for details.

(d)

Retained earnings impact associated with an adjustment to the carrying amount of the redeemable noncontrolling interest recorded in respect of our 70% ownership interest in Loders. See note 5 in the Additional Financial information section of this release for for details.

(e)

Core Segment EBIT, Adjusted Core Segment EBIT, Corporate and Other EBIT, Adjusted Corporate and Other EBIT, Non-core Segment EBIT, Adjusted Non-core Segment EBIT, Total Segment EBIT, Adjusted Total Segment EBIT, and Adjusted Net income per common share-diluted are non-GAAP financial measures. Reconciliations to the most directly comparable U.S. GAAP measures are included in the tables attached to this press release and the accompanying slide presentation posted on Bunge's website. 

(f)

Core Segment earnings before interest and tax ("Core Segment EBIT") comprises the a Back to Press releases 2020