Adjusted EBITDA reached $85.8 million in 1Q26 driven by first quarter crushing record & full ethanol mix. The Fertilizers segment adds earnings momentum and future upside supported by higher urea prices.
Rhea-AI Summary
Adecoagro (NYSE:AGRO) reported 1Q26 Adjusted EBITDA of $85.8 million, driven mainly by record crushing and a full ethanol mix plus strong fertilizer performance after the Profertil acquisition.
Sugar, Ethanol & Energy Adjusted EBITDA reached $40.6 million, Fertilizers $52.5 million, while Food & Agriculture fell to $1.4 million. Pro forma Net Debt/LTM Adjusted EBITDA stood at 3.2x.
AI-generated analysis. Not financial advice.
Positive
- Consolidated 1Q26 Adjusted EBITDA of $85.8 million
- Sugar, Ethanol & Energy Adjusted EBITDA $40.6 million, up 36% year-over-year
- Crushing record of 2.2 million tons, a 49.1% increase versus 1Q25
- Fertilizers Adjusted EBITDA of $52.5 million, 4.3x 1Q25 on pro forma basis
- Urea sales up 67.8% year-over-year with average price $517/ton
- Pro forma Net Debt/LTM Adjusted EBITDA at 3.2x after Profertil payment
- International urea prices up ~55% since Feb. 28, 2026, supporting margins
Negative
- Food & Agriculture Adjusted EBITDA declined to $1.4 million from $16.6 million in 1Q25
- Sugar production cost increased to 12.9 cts/lb from 11.1 cts/lb in 1Q25
- Lower net sugar sales from reduced volumes and prices
- Higher U.S. dollar costs in Food & Agriculture due to carry-over stocks
News Market Reaction – AGRO
On the day this news was published, AGRO declined 3.11%, reflecting a moderate negative market reaction. Argus tracked a trough of -6.7% from its starting point during tracking. Our momentum scanner triggered 8 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $62M from the company's valuation, bringing the market cap to $1.95B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
AGRO fell 1.8% while peers were mixed: LND (+0.52), DOLE (+5.12), FDP (-2.9), ALCO (-1.46), LMNR (+0.93). This points to a stock-specific reaction rather than a broad farm-products move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Apr 29 | Annual filing | Neutral | -2.3% | Form 20-F filing and audited 2025 financial statements with the SEC. |
| Apr 23 | Dividend declaration | Positive | -3.7% | Announcement of a $17.5M cash dividend and per-share payout details. |
| Mar 16 | Results & acquisition | Positive | +14.2% | 2025 results and Profertil acquisition with strong pro forma EBITDA figures. |
| Dec 15 | Acquisition close | Positive | +6.5% | Completion of Profertil deal and expectations for higher sales and EBITDA. |
| Dec 12 | Equity offering | Negative | -3.4% | Pricing of $300M common share offering from an effective shelf registration. |
AGRO’s stock has tended to react positively to strategic growth events like acquisitions, but often trades lower around filings, offerings and even dividend announcements.
Over the last six months, Adecoagro has focused on growth and balance-sheet actions. In December 2025, it priced a $300M equity offering and completed the US$1.1B Profertil acquisition, with those acquisition headlines seeing positive price reactions. In March 2026, 2025 results highlighted pro forma Adjusted EBITDA of $467.2M. More routine items like the December 2025 offering, the April 2026 dividend declaration, and the April 2026 Form 20-F and 6-K filings drew negative next-day moves, underscoring some sensitivity to capital-raising and compliance news.
Market Pulse Summary
This announcement highlights significantly stronger Q1 2026 performance, with revenue of $398.7M, Adjusted EBITDA of $85.8M, and Fertilizers EBITDA of $52.5M supporting the new segment structure. At the same time, Food & Agriculture EBITDA fell to $1.4M and net debt increased to $1.63B, leaving leverage at 3.2x Net Debt/LTM Adjusted EBITDA. Investors may track fertilizer pricing, crushing volumes, segment margins, and future debt reduction versus growth investments across upcoming quarters.
Key Terms
adjusted ebitda financial
ifrs regulatory
non-gaap financial measures financial
cfr brazil technical
AI-generated analysis. Not financial advice.
Main highlights for the period:
- Strong year-over-year performance in our Fertilizers operations on higher production and prices. First-quarter crushing record in our Sugar, Ethanol & Energy operations and almost
100% ethanol mix. - Higher urea, ethanol and energy prices more than offset the decline in prices across the rest of our product portfolio, including sugar, peanut and rice.
- On a pro forma basis, Net Debt/LTM Adj. EBITDA stood at 3.2x, reflecting the full payment of the purchase price for our acquisition of Profertil, and working capital seasonality. Going forward, we intend to continue reducing our leverage ratio driven by higher expected Adjusted EBITDA generation, mainly from our Fertilizers operations.
Business Segment Redefinition
- As stated in our 2025 year-end Earnings Release, the Company reassessed and updated the Group's internal organizational structure following the acquisition of Profertil S.A. Effective January 1, 2026, the Company operates three reportable segments: the Sugar, Ethanol and Energy segment, the Fertilizers segment (which captures Profertil's results), and the Food & Agriculture segment. The latter includes the agricultural and related food activities that were previously managed and presented through separate verticals, including Crops, Rice and Dairy. These activities are now managed as one integrated value chain and evaluated based on overall segment operating performance. Comparative information will be recast to conform to the current presentation.
Sugar, Ethanol & Energy segment:
- Adjusted EBITDA amounted to
$40.6 million 36.0% higher year-over-year.
(+) First-quarter crushing record of 2.2 million tons (49.1% increase versus 1Q25). Strong recovery in productivity leading to79.5% higher TRS per hectare year-over-year.
(+) Full ethanol maximization (96% mix) to capture greater margins compared to sugar.
(-) Lower net sales on lower selling volumes and prices of sugar, partially offset by higher ethanol prices.
(-) Despite greater crushing, our cost of production stood at 12.9 cts/lb (versus 11.1 cts/lb in 1Q25) driven by (i) the appreciation of the Brazilian Real; (ii) the anticipation of certain agricultural expenses that are typically concentrated later in the year; and (iii) lower cost dilution given lower TRS content per ton of cane crushed.
Outlook
(+) Crushing pace remains on track to meet our full-year crushing target. Assuming normal weather, we foresee low-double-digit growth in 2026's crushing volume versus 2025.
(+/-) As of this date, we have
Fertilizers segment:
- Adjusted EBITDA amounted to
$52.5 million
(+) Higher urea production (9.6% increase versus 1Q25) because of a higher number of operational days.
(+) Sales up by67.8% year-over-year on higher prices (urea average selling price of$517 $444
(+) Lower cost of production driven by (i) higher cost dilution due to the increase in production; coupled with (ii) lower gas costs as we conducted spot purchases to benefit from a more competitive price.
Outlook
(+) Since the start of the conflict in the
(+) We capture the upside in prices progressively as sales are executed. Given that most of our cost base —primarily natural gas—remains fixed, incremental revenues flow through EBITDA, driving margin expansion. As a result, we expect stronger-than-anticipated Adjusted EBITDA in 2026, with performance exceeding prior years.
Food & Agriculture segment:
- Adjusted EBITDA reached
$1.4 million $16.6 million
(-) Lower commodity prices (between4% and46% depending on the product).
(-) Higher costs inU.S. dollar terms, mostly related to carry-over stocks from the previous campaign.
(+/-) Harvesting activities are in progress (55% completed). Higher volumes of milk processed at our industrial facilities.
Outlook
(+) We foresee grains productivity to be in line with historical average, whereas we expect an increase in processed milk volume, as we launch new products under our retail brands. Margins should improve throughout the year as we harvest the new crop and conduct its sale.
Non-Gaap Financial Measures: For a full reconciliation of non-gaap financial measures please refer to page 10 of our 1Q26 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. These forward-looking statements can be identified by words or phrases such as "anticipate," "forecast", "believe," "continue," "estimate," "expect," "intend," "is/are likely to," "may," "plan," "should," "would," or other similar expressions.
The forward-looking statements included in this press release relate to, among others: (i) our business prospects and future results of operations; (ii) weather and other natural phenomena; (iii) developments in, or changes to, the laws, regulations and governmental policies governing our business, including limitations on ownership of farmland by foreign entities in certain jurisdictions in which we operate, environmental laws and regulations; (iv) the implementation of our business strategy; (v) the correlation between petroleum, ethanol and sugar prices; (vi) our plans relating to acquisitions, joint ventures, strategic alliances or divestitures, and to consolidate our position in different businesses; (vii) the efficiencies, cost savings and competitive advantages resulting from acquisitions; (viii) the implementation of our financing strategy, capital expenditure plan and expected shareholder distributions; (ix) the maintenance of our relationships with customers; (x) the competitive nature of the industries in which we operate; (xi) the cost and availability of financing; (xii) future demand for the commodities we produce; (xiii) international prices for commodities; (xiv) the condition of our land holdings; (xv) the development of the logistics and infrastructure for transportation of our products in the countries where we operate; (xvi) the performance of the South American and world economies; and (xvii) the relative value of the Brazilian Reais, the Argentine Peso, and the Uruguayan Peso compared to other currencies.
These forward-looking statements involve various risks and uncertainties. Although we believe that our expectations expressed in these forward-looking statements are reasonable, our expectations may turn out to be incorrect. Our actual results could be materially different from our expectations. In light of the risks and uncertainties described above, the estimates and forward-looking statements discussed in this press release might not occur, and our future results and our performance may differ materially from those expressed in these forward-looking statements due to, inclusive, but not limited to, the factors mentioned above. Because of these uncertainties, you should not make any investment decision based on these estimates and forward-looking statements.
The forward-looking statements made in this press release relate only to events or information as of the date on which the statements are made in this press release. We undertake no obligation to update any forward-looking statements to reflect events or circumstances after the date on which the statements are made or to reflect the occurrence of unanticipated events.
To read the full 1Q26 earnings release, please access ir.adecoagro.com. A conference call to discuss 1Q26 results will be held on May 12, 2026, with a live webcast through the internet:
Conference Call
May 12, 2026
9 a.m. US EST
10 a.m.
10 a.m. São Paulo
3 p.m.
To participate, please register at the link
Investor Relations Department
Emilio Gnecco
CFO
Victoria Cabello
IRO
Email: ir@adecoagro.com
About Adecoagro:
Adecoagro is a leading sustainable production company in
View original content:SOURCE Adeco Agropecuaria