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Bunge Reports Third Quarter 2024 Results

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Bunge Global SA (NYSE: BG) reported Q3 2024 results with GAAP diluted EPS of $1.56, down from $2.47 in the prior year, and adjusted EPS of $2.29 versus $2.99. The company showed solid performance in Agribusiness and Refined and Specialty Oils, though results decreased year-over-year due to global margin environment. During Q3, Bunge repurchased $200 million of common shares, bringing YTD total to $600 million. The company adjusted its full-year EPS outlook to at least $9.25. Notable developments include closing the sale of the sugar & bioenergy joint venture and advancing Viterra integration planning.

Bunge Global SA (NYSE: BG) ha riportato i risultati del terzo trimestre 2024 con un utile per azione diluito GAAP di $1,56, in calo rispetto a $2,47 dell'anno precedente, e un utile per azione rettificato di $2,29 rispetto a $2,99. L'azienda ha mostrato una solida performance nel settore Agribusiness e negli Oli Raffinati e Speciali, anche se i risultati sono diminuiti rispetto all'anno scorso a causa dell'ambiente globale dei margini. Durante il terzo trimestre, Bunge ha riacquistato $200 milioni di azioni ordinarie, portando il totale da inizio anno a $600 milioni. L'azienda ha adeguato le previsioni del utile per azione per l'intero anno ad almeno $9,25. Sviluppi significativi includono la chiusura della vendita della joint venture nel settore zucchero e bioenergia e il progresso nella pianificazione dell'integrazione di Viterra.

Bunge Global SA (NYSE: BG) reportó resultados del tercer trimestre de 2024 con una utilidad por acción diluida GAAP de $1,56, una disminución respecto a los $2,47 del año anterior, y una utilidad por acción ajustada de $2,29 frente a $2,99. La compañía mostró un sólido desempeño en Agronegocios y en aceites refinados y especiales, aunque los resultados disminuyeron año tras año debido al entorno global de márgenes. Durante el tercer trimestre, Bunge recompró $200 millones de acciones ordinarias, llevando el total acumulado en el año a $600 millones. La empresa ajustó su pronóstico de utilidad por acción para el año completo a al menos $9,25. Desarrollos destacables incluyen el cierre de la venta de la empresa conjunta de azúcar y bioenergía y el avance en la planificación de integración de Viterra.

Bunge Global SA (NYSE: BG)는 2024년 3분기 결과를 보고하며 GAAP 기준 희석 주당 순이익이 $1.56로, 지난해 $2.47에서 감소했으며, 조정된 주당 순이익은 $2.29로 $2.99에 비해 하락했습니다. 회사는 농업 사업 및 정제 및 특수 오일 부문에서 안정적인 성과를 보였으나, 전 세계적인 마진 환경으로 인해 연도 간 결과는 감소했습니다. 3분기 동안 Bunge는 보통주를 $2억 달러어치 재매입하였고, 올해 누적 재매입 총액은 $6억 달러에 달합니다. 회사는 올해 주당 순이익 전망을 최소 $9.25로 조정했습니다. 주목할 만한 발전으로는 설탕 및 바이오에너지 합작 투자 매각 완료와 Viterra 통합 계획의 진전을 포함합니다.

Bunge Global SA (NYSE: BG) a publié ses résultats du troisième trimestre 2024 avec un bénéfice par action dilué GAAP de 1,56 $, en baisse par rapport à 2,47 $ l'année précédente, et un bénéfice par action ajusté de 2,29 $ contre 2,99 $. L'entreprise a montré une performance solide dans le secteur de l'agroalimentaire et des huiles raffinées et spéciales, bien que les résultats aient diminué d'une année sur l'autre en raison de l'environnement mondial des marges. Au cours du troisième trimestre, Bunge a racheté pour 200 millions de dollars d'actions ordinaires, portant le total cumulé depuis le début de l'année à 600 millions de dollars. L'entreprise a ajusté ses prévisions de bénéfice par action pour l'année complète à au moins 9,25 $. Parmi les développements notables, on trouve la clôture de la vente de la coentreprise de sucre et de bioénergie et l'avancement de la planification de l'intégration de Viterra.

Bunge Global SA (NYSE: BG) hat die Ergebnisse für das 3. Quartal 2024 bekannt gegeben, mit einem verwässerten GAAP-Gewinn pro Aktie von $1,56, was einem Rückgang von $2,47 im Vorjahr entspricht, und einem bereinigten Gewinn pro Aktie von $2,29 im Vergleich zu $2,99. Das Unternehmen zeigte eine solide Leistung im Agrarbereich sowie bei raffinierten und Spezialölen, obwohl die Ergebnisse im Jahresvergleich aufgrund des globalen Margenumfelds zurückgingen. Im 3. Quartal hat Bunge Aktien im Wert von $200 Millionen zurückgekauft, womit sich der Gesamtbetrag von Anfang des Jahres auf $600 Millionen beläuft. Das Unternehmen hat seine Prognose für den Gewinn je Aktie für das gesamte Jahr auf mindestens $9,25 angepasst. Zu den bemerkenswerten Entwicklungen gehören der Abschluss des Verkaufs des Joint Ventures für Zucker und Bioenergie sowie Fortschritte bei der Planung der Integration von Viterra.

Positive
  • Share repurchase program of $200M in Q3, totaling $600M YTD
  • Successful closure of BP Bunge Bioenergia joint venture sale
  • Higher merchandising results driven by improved performance in financial services
Negative
  • Q3 GAAP EPS declined 37% YoY to $1.56 from $2.47
  • Adjusted EPS decreased 23% YoY to $2.29 from $2.99
  • Lower results in North America, Asia and Europe softseeds operations
  • Reduced cash from operations to $847M from $1,860M YoY

Insights

Bunge's Q3 results reflect significant headwinds with $1.56 GAAP EPS, down from $2.47 year-over-year. The adjusted EPS of $2.29 vs $2.99 last year signals continued margin pressure across key segments. Core Agribusiness EBIT declined 30% to $322M, while Refined & Specialty Oils dropped 12% to $200M.

Notable positives include $200M in share repurchases during Q3 and successful completion of the BP Bunge Bioenergia sale. The revised full-year adjusted EPS guidance of at least $9.25 suggests management expects continued challenges in Q4. Operating cash flow deteriorated significantly to $847M from $1.86B last year, primarily due to lower earnings.

The pending Viterra merger remains a key strategic focus that could help diversify geographic and crop exposure, though integration execution will be crucial.

The global margin environment is creating significant pressure across Bunge's portfolio. While South America and Europe soy crush performed well, weakness in North America, Asia and Europe softseeds offset these gains. The merchandising segment showed improvement driven by financial services and ocean freight, but core processing margins remain challenged.

Regional performance divergence suggests shifting trade flows and market dynamics are impacting traditional geographic advantages. The 5.5% volume increase in Agribusiness to 19.9M metric tons indicates strong underlying demand, but the ability to capture margins has diminished. The reduction in full-year guidance reflects both macro headwinds and segment-specific challenges that may persist into 2024.

ST. LOUIS--(BUSINESS WIRE)-- Bunge Global SA (NYSE: BG) today reported third quarter 2024 results

  • Q3 GAAP diluted EPS of $1.56 vs. $2.47 in the prior year; $2.29 vs. $2.99 on an adjusted basis excluding certain gains/charges and mark-to-market timing differences
  • Solid performances in Agribusiness and Refined and Specialty Oils; however, results were down from the prior year reflecting the current global margin environment
  • Continued to advance Viterra integration planning and other growth priorities, including closing the sale of the sugar & bioenergy joint venture
  • Repurchased $200 million of common shares during Q3, bringing the YTD total to $600 million
  • Adjusted full-year EPS outlook now expected to be at least $9.25

  • Overview

Greg Heckman, Bunge’s Chief Executive Officer, commented, “Our team delivered a strong third quarter, staying nimble and leveraging our global platform to capture opportunities against shifting market dynamics around the world. We made progress on key priorities, including closing the sale of the BP Bunge Bioenergia joint venture and delivering value to our shareholders through share repurchases. At the same time, we continued to advance integration planning for our announced combination with Viterra, and have made progress toward the remaining regulatory approvals.

“The third quarter has again proven the value of our global footprint, operating model and approach, which underscores the benefit of further diversification across geographies and crops that our combination with Viterra will bring.”

  • Financial Highlights

Three Months Ended

September 30,

 

Nine Months Ended

September 30,

(US$ in millions, except per share data)

 

2024

 

 

2023

 

 

 

2024

 

 

2023

 

Net income attributable to Bunge

$

221

 

$

373

 

 

$

535

 

$

1,627

 

Net income per share-diluted (6)

$

1.56

 

$

2.47

 

 

$

3.73

 

$

10.71

 

 

 

 

 

 

 

Mark-to-market timing differences (a)

$

0.16

 

$

0.14

 

 

$

1.91

 

$

(1.29

)

Certain (gains) & charges (b)

$

0.57

 

$

0.38

 

 

$

1.42

 

$

0.55

 

Adjusted Net income per share-diluted (c)(6)

$

2.29

 

$

2.99

 

 

$

7.06

 

$

9.97

 

 

 

 

 

 

 

Core Segment EBIT (c) (d)

$

539

 

$

711

 

 

$

1,437

 

$

2,674

 

Mark-to-market timing differences (a)

 

3

 

 

34

 

 

 

343

 

 

(261

)

Certain (gains) & charges (b)

 

19

 

 

(10

)

 

 

19

 

 

(29

)

Adjusted Core Segment EBIT (c)

$

561

 

$

735

 

 

$

1,799

 

$

2,384

 

 

 

 

 

 

 

Corporate and Other EBIT (c)

$

(138

)

$

(182

)

 

$

(421

)

$

(417

)

Certain (gains) & charges (b)

 

62

 

 

68

 

 

 

185

 

 

102

 

Adjusted Corporate and Other EBIT (c)

$

(76

)

$

(114

)

 

$

(236

)

$

(315

)

 

 

 

 

 

 

Non-core Segment EBIT (c) (e)

$

6

 

$

55

 

 

$

9

 

$

125

 

Certain (gains) & charges (b)

 

 

 

 

 

 

 

 

 

Adjusted Non-core Segment EBIT (c)

$

6

 

$

55

 

 

$

9

 

$

125

 

 

 

 

 

 

 

Total Segment EBIT (c)

$

407

 

$

584

 

 

$

1,025

 

$

2,382

 

Mark-to-market timing differences (a)

 

3

 

 

34

 

 

 

343

 

 

(261

)

Certain (gains) & charges (b)

 

81

 

 

58

 

 

 

204

 

 

73

 

Adjusted Total Segment EBIT (c)

$

491

 

$

676

 

 

$

1,572

 

$

2,194

 

(a)

 

Mark-to-market timing impact of certain commodity and freight contracts, readily marketable inventories ("RMI"), 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 and Net income attributable to Bunge. See Additional Financial Information for details.

(c)

 

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 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.

(d)

 

Core Segment earnings before interest and tax ("Core Segment EBIT") comprises the aggregate earnings before interest and tax (“EBIT”) of Bunge’s Agribusiness, Refined and Specialty Oils and Milling reportable segments, and excludes Bunge's Sugar & Bioenergy reportable segment and Corporate and Other activities.

(e)

 

Non-core Segment EBIT comprises Bunge’s Sugar & Bioenergy reportable segment EBIT, which reflects Bunge's share of the results of its 50/50 joint venture with BP p.l.c. On June 19, 2024, Bunge entered into a definitive share purchase agreement to sell its 50% ownership share in BP Bunge Bioenergia. Further, on October 1, 2024, the transaction closed in accordance with the terms of the share purchase agreement.

  • Third Quarter Results

Core Segments

Agribusiness

 

Three Months Ended

 

Nine Months Ended

(US$ in millions, except per share data)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Volumes (in thousand metric tons)

 

19,892

 

 

18,854

 

 

 

60,663

 

 

55,497

 

 

 

 

 

 

 

Net Sales

$

9,292

 

$

10,082

 

 

$

28,689

 

$

31,809

 

 

 

 

 

 

 

Gross Profit

$

392

 

$

645

 

 

$

1,135

 

$

2,450

 

 

 

 

 

 

 

Selling, general and administrative expense

$

(147

)

$

(145

)

 

$

(452

)

$

(428

)

 

 

 

 

 

 

Foreign exchange (losses) gains – net

$

20

 

$

(52

)

 

$

(81

)

$

(77

)

 

 

 

 

 

 

EBIT attributable to noncontrolling interests

$

4

 

$

(9

)

 

$

14

 

$

(29

)

 

 

 

 

 

 

Other income (expense) - net

$

79

 

$

36

 

 

$

188

 

$

54

 

 

 

 

 

 

 

Income (loss) from affiliates

$

(26

)

$

(14

)

 

$

(66

)

$

(19

)

 

 

 

 

 

 

Segment EBIT

$

322

 

$

461

 

 

$

738

 

$

1,951

 

Mark-to-market timing differences

 

25

 

 

21

 

 

 

394

 

 

(264

)

Certain (gains) & charges

 

19

 

 

(10

)

 

 

19

 

 

(29

)

Adjusted Segment EBIT

$

366

 

$

472

 

 

$

1,151

 

$

1,658

 

 

 

 

 

 

 

Certain (gains) & charges, Net income (loss) attributable to Bunge

$

19

 

$

(9

)

 

$

19

 

$

(25

)

Certain (gains) & charges, Earnings per share

$

0.13

 

$

(0.06

)

 

$

0.13

 

$

(0.17

)

Processing (2)

 

Three Months Ended

 

Nine Months Ended

(US$ in millions)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Processing EBIT

$

219

$

430

 

 

$

521

$

1,653

 

Mark-to-market timing differences

 

53

 

(2

)

 

 

427

 

(281

)

Certain (gains) & charges

 

19

 

(4

)

 

 

19

 

(18

)

Adjusted Processing EBIT

$

291

$

424

 

 

$

967

$

1,354

 

Higher results in South America and Europe soy crush were more than offset by lower results in North America, Asia and Europe softseeds.

Merchandising (2)

 

Three Months Ended

 

Nine Months Ended

(US$ in millions)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Merchandising EBIT

$

103

 

$

31

 

 

$

217

 

$

298

 

Mark-to-market timing differences

 

(28

)

 

23

 

 

 

(33

)

 

17

 

Certain (gains) & charges

 

 

 

(6

)

 

 

 

 

(11

)

Adjusted Merchandising EBIT

$

75

 

$

48

 

 

$

184

 

$

304

 

Higher results were driven by improved performance in our financial services, ocean freight and global oils businesses more than offsetting lower results in global grains.

Refined & Specialty Oils

 

Three Months Ended

 

Nine Months Ended

(US$ in millions, except per share data)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Volumes (in thousand metric tons)

 

2,334

 

 

2,278

 

 

 

6,829

 

 

6,636

 

 

 

 

 

 

 

Net Sales

$

3,158

 

$

3,601

 

 

$

9,519

 

$

11,090

 

 

 

 

 

 

 

Gross Profit

$

338

 

$

352

 

 

$

1,012

 

$

1,027

 

 

 

 

 

 

 

Selling, general and administrative expense

$

(103

)

$

(98

)

 

$

(303

)

$

(291

)

 

 

 

 

 

 

Foreign exchange (losses) gains – net

$

(8

)

$

(2

)

 

$

(21

)

$

8

 

 

 

 

 

 

 

EBIT attributable to noncontrolling interests

$

(13

)

$

(6

)

 

$

(31

)

$

(17

)

 

 

 

 

 

 

Other income (expense) - net

$

(14

)

$

(19

)

 

$

(46

)

$

(50

)

 

 

 

 

 

 

Segment EBIT

$

200

 

$

227

 

 

$

611

 

$

677

 

Mark-to-market timing differences

 

(18

)

 

3

 

 

 

(32

)

 

(6

)

Certain (gains) & charges

 

 

 

 

 

 

 

 

 

Adjusted Segment EBIT

$

182

 

$

230

 

 

$

579

 

$

671

 

 

 

 

 

 

 

Certain (gains) & charges, Net income (loss) attributable to Bunge

$

 

$

 

 

$

 

$

 

Certain (gains) & charges, Earnings per share

$

 

$

 

 

$

 

$

 

Refined & Specialty Oils Summary

Higher results in Asia were more than offset by lower results in North and South America. Results in Europe were in line with last year.

Milling

 

Three Months Ended

 

Nine Months Ended

(US$ in millions, except per share data)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Volumes (in thousand metric tons)

 

961

 

 

890

 

 

 

2,806

 

 

2,555

 

 

 

 

 

 

 

Net Sales

$

407

 

$

479

 

 

$

1,189

 

$

1,484

 

 

 

 

 

 

 

Gross Profit

$

43

 

$

50

 

 

$

169

 

$

121

 

 

 

 

 

 

 

Selling, general and administrative expense

$

(25

)

$

(25

)

 

$

(74

)

$

(70

)

 

 

 

 

 

 

Other income (expense) - net

$

(1

)

$

(2

)

 

$

(4

)

$

(5

)

 

 

 

 

 

 

Segment EBIT

$

17

 

$

23

 

 

$

88

 

$

46

 

Mark-to-market timing differences

 

(4

)

 

10

 

 

 

(19

)

 

9

 

Certain (gains) & charges

 

 

 

 

 

 

 

 

 

Adjusted Segment EBIT

$

13

 

$

33

 

 

$

69

 

$

55

 

 

 

 

 

 

 

Certain (gains) & charges, Net income (loss) attributable to Bunge

$

 

$

 

 

$

 

$

 

Certain (gains) & charges, Earnings per share

$

 

$

 

 

$

 

$

 

Milling Summary

Slightly higher results in North America were more than offset by lower results in South America where high raw material costs pressured margins.

Corporate and Other

 

Three Months Ended

 

Nine Months Ended

(US$ in millions, except per share data)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Gross Profit

$

(2

)

$

(4

)

 

$

(7

)

$

(11

)

 

 

 

 

 

 

Selling, general and administrative expense

$

(161

)

$

(178

)

 

$

(494

)

$

(430

)

 

 

 

 

 

 

Foreign exchange (losses) gains – net

$

2

 

$

6

 

 

$

3

 

$

5

 

 

 

 

 

 

 

Other income (expense) - net

$

23

 

$

(7

)

 

$

74

 

$

34

 

 

 

 

 

 

 

Income (loss) from affiliates

$

 

$

 

 

$

1

 

$

(17

)

 

 

 

 

 

 

Corporate and Other EBIT

$

(138

)

$

(182

)

 

$

(421

)

$

(417

)

Certain (gains) & charges

 

62

 

 

68

 

 

 

185

 

 

102

 

Adjusted Corporate and Other EBIT

$

(76

)

$

(114

)

 

$

(236

)

$

(315

)

 

 

 

 

 

 

Certain (gains) & charges, Net income (loss) attributable to Bunge

$

62

 

$

67

 

 

$

185

 

$

109

 

Certain (gains) & charges, Earnings per share

$

0.44

 

$

0.44

 

 

$

1.29

 

$

0.72

 

Corporate

 

Three Months Ended

 

Nine Months Ended

(US$ in millions)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Corporate EBIT

$

(154

)

$

(155

)

 

$

(462

)

$

(381

)

Certain (gains) & charges

 

62

 

 

48

 

 

 

185

 

 

66

 

Adjusted Corporate EBIT

$

(92

)

$

(107

)

 

$

(277

)

$

(315

)

Other

 

Three Months Ended

 

Nine Months Ended

(US$ in millions)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Other EBIT

$

16

$

(27

)

 

$

41

$

(36

)

Certain (gains) & charges

 

 

20

 

 

 

 

36

 

Adjusted Other EBIT

$

16

$

(7

)

 

$

41

$

 

Corporate and Other Summary

The decrease in Corporate expenses was primarily driven by lower performance-based compensation. Higher Other results were related to Bunge Ventures and our captive insurance program.

Non-core Segments

Sugar & Bioenergy

 

Three Months Ended

 

Nine Months Ended

(US$ in millions, except per share data)

Sep 30, 2024

Sep 30, 2023

 

Sep 30, 2024

Sep 30, 2023

Net Sales

$

38

$

56

 

$

130

$

192

 

 

 

 

 

 

Gross Profit

$

1

$

2

 

$

3

$

4

 

 

 

 

 

 

Income (loss) from affiliates

$

6

$

53

 

$

8

$

119

 

 

 

 

 

 

Segment EBIT

$

6

$

55

 

$

9

$

125

Certain (gains) & charges

 

 

 

 

 

Adjusted Segment EBIT

$

6

$

55

 

$

9

$

125

 

 

 

 

 

 

Certain (gains) & charges, Net income (loss) attributable to Bunge

$

$

 

$

$

Certain (gains) & charges, Earnings per share

$

$

 

$

$

Sugar & Bioenergy Summary

Higher sugar and ethanol volumes were more than offset by higher operating costs and lower ethanol prices. Lower results also reflected foreign exchange translation losses on U.S. dollar denominated debt in the quarter compared to translation gains in the prior year.

Cash Flow

 

Nine Months Ended

 

Sep 30, 2024

Sep 30, 2023

Cash provided by (used for) operating activities

$

847

$

1,860

Certain reconciling items to Adjusted funds from operations (4)

 

436

 

75

Adjusted funds from operations (4)

$

1,283

$

1,935

Cash provided by operations in the nine months ended September 30, 2024 was $847 million compared to $1,860 million in the same period last year. The reduction of cash from operations was primarily driven by lower reported net income. Adjusted funds from operations (FFO) was $1,283 million compared to $1,935 million in the prior year.(4)

Income Taxes

For the nine months ended September 30, 2024, income tax expense was $236 million compared to $495 million in the prior year. The decrease was primarily due to lower pre-tax income in 2024.

  • Outlook(5)

Taking into account year-to-date results, the current margin environment and forward curves, and the loss of income due to the sale of our ownership in the sugar & bioenergy joint venture, we now expect full-year 2024 adjusted EPS to be at least $9.25.

In Agribusiness, full-year results are forecasted to be up slightly from our previous outlook, reflecting the better than expected third quarter, but down compared to last year.

In Refined and Specialty Oils, full-year results are expected to be up from our previous outlook, but down compared to last year’s record performance.

In Milling, full-year results are expected to be down from our previous outlook reflecting the lower than expected third quarter, but up from last year.

In Corporate and Other, full-year results are expected to be similar to our previous outlook.

In Non-Core, full-year results are expected to be down considerably from our previous outlook due to the lower than expected third quarter and the loss of income from the sale of our ownership in the joint venture, which closed on October 1, 2024.

Additionally, the Company currently expects the following for 2024: an adjusted annual effective tax rate range of 22% to 24%; net interest expense in the range of $285 to $305 million; capital expenditures in the upper end of the range of $1.2 to $1.4 billion; and depreciation and amortization of approximately $450 million.

  • Conference Call and Webcast Details

Bunge Global SA’s management will host a conference call at 8:00 a.m. Eastern (7:00 a.m. Central) on Wednesday, October 30, 2024 to discuss the Company’s results.

Additionally, a slide presentation to accompany the discussion of results will be posted on www.bunge.com.

To access the webcast, go to “Events & Presentations” under “News & Events” in the “Investor Center” section of the company’s website. Select “Q3 2024 Bunge Global SA Conference Call” and follow the prompts. Please go to the website at least 15 minutes prior to the call to register and download any necessary audio software.

To listen to the call, please dial 1-844-735-3666. If you are located outside the United States or Canada, dial 1-412-317-5706. Please dial in five to 10 minutes before the scheduled start time. The call will also be webcast live at www.bunge.com.

A replay of the call will be available later in the day on October 30, 2024, continuing through November 30, 2024. To listen to it, please dial 1-877-344-7529 in the United States, 1-855-669-9658 in Canada, or 1-412-317-0088 in other locations. When prompted, enter confirmation code 3084987.

  • About Bunge

At Bunge (NYSE: BG), our purpose is to connect farmers to consumers to deliver essential food, feed and fuel to the world. With more than two centuries of experience, unmatched global scale and deeply rooted relationships, we work to strengthen global food security, increase sustainability where we operate, and help communities prosper. As the world’s leader in oilseed processing and a leading producer and supplier of specialty plant-based oils and fats, we value our partnerships with farmers to bring quality products from where they’re grown to where they’re consumed. At the same time, we collaborate with our customers to develop tailored and innovative solutions to meet evolving dietary needs and trends in every part of the world. Our Company has its registered office in Geneva, Switzerland and its corporate headquarters in St. Louis, Missouri. We have approximately 23,000 dedicated employees working across approximately 300 facilities located in more than 40 countries.

  • Website Information

We routinely post important information for investors on our website, www.bunge.com, in the "Investors" section. We may use this website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Accordingly, investors should monitor the Investors section of our website, in addition to following our press releases, U.S. Securities and Exchange Commission ("SEC") filings, public conference calls, presentations and webcasts. The information contained on, or that may be accessed through, our website is not incorporated by reference into, and is not a part of, this document.

  • Cautionary Statement Concerning Forward Looking Statements

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward looking statements to encourage companies to provide prospective information to investors. This press release includes forward looking statements that reflect our current expectations and projections about our future results, performance, prospects and opportunities. Forward looking statements include all statements that are not historical in nature. We have tried to identify these forward looking statements by using words including "may," "will," "should," "could," "expect," "anticipate," "believe," "plan," "intend," "estimate," "continue" and similar expressions. These forward looking statements are subject to a number of risks, uncertainties, assumptions and other factors that could cause our actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward looking statements. The following factors, among others, could cause actual results to differ from these forward looking statements:

  • the impact on our employees, operations, and facilities from the war in Ukraine and the resulting economic and other sanctions imposed on Russia, including the impact on us resulting from the continuation and/or escalation of the war and sanctions against Russia;
  • the effect of weather conditions and the impact of crop and animal disease on our business;
  • the impact of global and regional economic, agricultural, financial and commodities market, political, social and health conditions;
  • changes in government policies and laws affecting our business, including agricultural and trade policies, financial markets regulation and environmental, tax and biofuels regulation;
  • the impact of seasonality;
  • the impact of government policies and regulations;
  • the outcome of pending regulatory and legal proceedings;
  • our ability to complete, integrate and benefit from acquisitions, divestitures, joint ventures and strategic alliances, including without limitation Bunge’s pending business combination with Viterra Limited (“Viterra”);
  • the impact of industry conditions, including fluctuations in supply, demand and prices for agricultural commodities and other raw materials and products that we sell and use in our business, fluctuations in energy and freight costs and competitive developments in our industries;
  • the effectiveness of our capital allocation plans, funding needs and financing sources;
  • the effectiveness of our risk management strategies;
  • operational risks, including industrial accidents, natural disasters, pandemics or epidemics, wars and cybersecurity incidents;
  • changes in foreign exchange policy or rates;
  • the impact of our dependence on third parties;
  • our ability to attract and retain executive management and key personnel; and
  • other factors affecting our business generally.

The forward looking statements included in this release are made only as of the date of this release, and except as otherwise required by federal securities law, we do not have any obligation to publicly update or revise any forward looking statements to reflect subsequent events or circumstances.

You should refer to "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2023 filed with the SEC on February 22, 2024.

  • Additional Financial Information

Certain gains and (charges), quarter-to-date

The following table provides a summary of certain gains and (charges) that may be of interest to investors, including a description of these items and their effect on Net income (loss) attributable to Bunge, Earnings per share diluted and Segment EBIT for the three month periods ended September 30, 2024 and 2023.

(US$ in millions, except per share data)

Net Income (Loss)

Attributable to

Bunge

Earnings

Per Share

Diluted (6)

Segment

EBIT

Three Months Ended September 30,

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

 

 

 

 

 

 

Core Segments:

$

(19

)

$

9

 

$

(0.13

)

$

0.06

 

$

(19

)

$

10

 

Agribusiness

$

(19

)

$

9

 

$

(0.13

)

$

0.06

 

$

(19

)

$

10

 

Impairment of equity method investment

 

(19

)

 

 

 

(0.13

)

 

 

 

(19

)

 

 

Ukraine-Russia War

 

 

 

9

 

 

 

 

0.06

 

 

 

 

10

 

 

 

 

 

 

 

 

Refined and Specialty Oils

$

 

$

 

$

 

$

 

$

 

$

 

 

 

 

 

 

 

 

Milling

$

 

$

 

$

 

$

 

$

 

$

 

 

 

 

 

 

 

 

Corporate and Other:

$

(62

)

$

(67

)

$

(0.44

)

$

(0.44

)

$

(62

)

$

(68

)

Acquisition and integration costs

 

(62

)

 

(47

)

 

(0.44

)

 

(0.31

)

 

(62

)

 

(48

)

Impairment of equity method and other investments

 

 

 

(20

)

 

 

 

(0.13

)

 

 

 

(20

)

 

 

 

 

 

 

 

Non-core Segment:

$

 

$

 

$

 

$

 

$

 

$

 

Sugar & Bioenergy

$

 

$

 

$

 

$

 

$

 

$

 

 

 

 

 

 

 

 

Total

$

(81

)

$

(58

)

$

(0.57

)

$

(0.38

)

$

(81

)

$

(58

)

See Definition and Reconciliation of Non-GAAP Measures.

Core Segments

Agribusiness

EBIT for the three months ended September 30, 2024 included a $19 million impairment charge, in Income (loss) from affiliates, related to a minority investment in North America.

EBIT for the three months ended September 30, 2023 included a mark-to-market gain of $10 million, in Cost of goods sold, related to inventory recovered from our Mykolaiv and other facilities in Ukraine. The circumstances allowing for recovery of these inventories did not exist and were unforeseeable when the inventory reserves were initially recorded in 2022 in conjunction with the Ukraine-Russia war.

Corporate and Other

The following is a summary of acquisition and integration costs related to the announced business combination agreement with Viterra recorded in the Company's Condensed Consolidated Statements of Income (Loss).

 

Three Months Ended

(US$ in millions)

Sep 30, 2024

Sep 30, 2023

Cost of goods sold

$

(5

)

$

 

Selling, general and administrative expenses

 

(57

)

 

(48

)

Interest expense

 

(5

)

 

(1

)

Income tax (expense) benefit

 

5

 

 

2

 

Net income (loss)

$

(62

)

$

(47

)

EBIT for the three months ended September 30, 2023 included a $20 million impairment charge, in Other Income (expense) - net, related to the full impairment of a long-term investment held in Other non-current assets.

Certain gains and (charges), year-to-date

The following table provides a summary of certain gains and (charges) that may be of interest to investors, including a description of these items and their effect on Net income (loss) attributable to Bunge, Earnings per share diluted and Segment EBIT for the nine month periods ended September 30, 2024 and 2023.

 

 

 

 

 

 

 

(US$ in millions, except per share data)

Net Income (Loss)

Attributable to

Bunge

Earnings

Per Share

Diluted (6)

Segment

EBIT

Nine months ended September 30,

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

 

 

 

 

 

 

Core Segments:

$

(19

)

$

25

 

$

(0.13

)

$

0.17

 

$

(19

)

$

29

 

Agribusiness

$

(19

)

$

25

 

$

(0.13

)

$

0.17

 

$

(19

)

$

29

 

Impairment of equity method investment

 

(19

)

 

 

 

(0.13

)

 

 

 

(19

)

 

 

Ukraine-Russia War

 

 

 

25

 

 

 

 

0.17

 

 

 

 

29

 

 

 

 

 

 

 

 

Refined and Specialty Oils

$

 

$

 

$

 

$

 

$

 

$

 

 

 

 

 

 

 

 

Milling

$

 

$

 

$

 

$

 

$

 

$

 

 

 

 

 

 

 

 

Corporate and Other:

$

(185

)

$

(109

)

$

(1.29

)

$

(0.72

)

$

(185

)

$

(102

)

Acquisition and integration costs

 

(185

)

 

(73

)

 

(1.29

)

 

(0.48

)

 

(185

)

 

(66

)

Impairment of equity method and other investments

 

 

 

(36

)

 

 

 

(0.24

)

 

 

 

(36

)

 

 

 

 

 

 

 

Non-core Segment:

$

 

$

 

$

 

$

 

$

 

$

 

Sugar & Bioenergy

$

 

$

 

$

 

$

 

$

 

$

 

 

 

 

 

 

 

 

Total

$

(204

)

$

(84

)

$

(1.42

)

$

(0.55

)

$

(204

)

$

(73

)

Core Segments

Agribusiness

EBIT for the nine months ended September 30, 2024 included a $19 million impairment charge, in Income (loss) from affiliates, related to a minority investment in North America.

EBIT for the nine months ended September 30, 2023 included a mark-to-market gain of $29 million, in Cost of goods sold, related to inventory recovered from our Mykolaiv and other facilities in Ukraine. The circumstances allowing for recovery of these inventories did not exist and were unforeseeable when the inventory reserves were initially recorded in 2022 in conjunction with the Ukraine-Russia war.

Corporate and Other

The following is a summary of acquisition and integration costs related to the announced business combination agreement with Viterra recorded in the Company's Condensed Consolidated Statements of Income (Loss).

 

Nine Months Ended

(US$ in millions)

Sep 30, 2024

Sep 30, 2023

Cost of goods sold

$

(5

)

$

 

Selling, general and administrative expenses

 

(180

)

 

(66

)

Interest expense

 

(13

)

 

(12

)

Income tax (expense) benefit

 

13

 

 

5

 

Net income (loss)

$

(185

)

$

(73

)

EBIT for the nine months ended September 30, 2023 included a $20 million impairment charge, in Other Income (expense) - net, related to the full impairment of a long-term investment held in Other non-current assets.

EBIT for the nine months ended September 30, 2023 included a $16 million impairment charge, in Income (loss) from affiliates, related to a minority investment in Australian Plant Proteins, a start-up manufacturer of novel protein ingredients.

  • Consolidated Earnings Data (Unaudited)

 

Three Months Ended

September 30,

 

Nine Months Ended

September 30,

(US$ in millions, except per share data)

 

2024

 

 

2023

 

 

 

2024

 

 

2023

 

Net sales

$

12,908

 

$

14,227

 

 

$

39,566

 

$

44,604

 

Cost of goods sold

 

(12,136

)

 

(13,182

)

 

 

(37,254

)

 

(41,013

)

Gross profit

 

772

 

 

1,045

 

 

 

2,312

 

 

3,591

 

Selling, general and administrative expenses

 

(437

)

 

(447

)

 

 

(1,325

)

 

(1,220

)

Foreign exchange (losses) gains – net

 

14

 

 

(47

)

 

 

(101

)

 

(64

)

Other income (expense) – net

 

87

 

 

8

 

 

 

212

 

 

35

 

Income (loss) from affiliates

 

(20

)

 

39

 

 

 

(58

)

 

83

 

EBIT attributable to noncontrolling interest (a) (1)

 

(9

)

 

(14

)

 

 

(15

)

 

(43

)

Total Segment EBIT

 

407

 

 

584

 

 

 

1,025

 

 

2,382

 

Interest income

 

33

 

 

38

 

 

 

112

 

 

121

 

Interest expense

 

(127

)

 

(133

)

 

 

(358

)

 

(374

)

Income tax (expense) benefit

 

(89

)

 

(114

)

 

 

(236

)

 

(495

)

Noncontrolling interest share of interest and tax (a) (1)

 

(3

)

 

(2

)

 

 

(8

)

 

(7

)

Net income (loss) attributable to Bunge (1)

$

221

 

$

373

 

 

$

535

 

$

1,627

 

 

 

 

 

 

 

Net income (loss) attributable to Bunge shareholders - diluted (6)

$

1.56

 

$

2.47

 

 

$

3.73

 

$

10.71

 

Weighted–average shares outstanding - diluted (6)

 

142

 

 

151

 

 

 

144

 

 

152

 

(a) The line items "EBIT attributable to noncontrolling interest" and "Noncontrolling interest share of interest and tax" when combined, represent consolidated Net (income) loss attributable to noncontrolling interests and redeemable noncontrolling interests on a U.S. GAAP basis of presentation.

  • Condensed Consolidated Balance Sheets (Unaudited)

September 30,

 

December 31,

(US$ in millions)

 

2024

 

 

2023

Assets

 

 

 

Cash and cash equivalents

$

2,836

 

$

2,602

Trade accounts receivable, net

 

2,100

 

 

2,592

Inventories (a)

 

7,465

 

 

7,105

Other current assets

 

3,518

 

 

4,051

Total current assets

 

15,919

 

 

16,350

Property, plant and equipment, net

 

5,115

 

 

4,541

Operating lease assets

 

937

 

 

926

Goodwill and other intangible assets, net

 

840

 

 

887

Investments in affiliates

 

1,136

 

 

1,280

Other non-current assets

 

1,320

 

 

1,388

Total assets

$

25,267

 

$

25,372

 

 

 

 

Liabilities and Equity

 

 

 

Short-term debt

$

755

 

$

797

Current portion of long-term debt

 

663

 

 

5

Trade accounts payable

 

3,211

 

 

3,664

Current operating lease obligations

 

288

 

 

308

Other current liabilities

 

2,774

 

 

2,913

Total current liabilities

 

7,691

 

 

7,687

Long-term debt

 

4,777

 

 

4,080

Non-current operating lease obligations

 

595

 

 

566

Other non-current liabilities

 

1,046

 

 

1,224

Total liabilities

 

14,109

 

 

13,557

Redeemable noncontrolling interest

 

2

 

 

1

Total equity

 

11,156

 

 

11,814

Total liabilities, redeemable noncontrolling interest and equity

$

25,267

 

$

25,372

(a) Includes RMI of $6,195 million and $5,837 million at September 30, 2024 and December 31, 2023, respectively. Of the total RMI, $4,759 million and $4,242 million can be attributable to merchandising activities at September 30, 2024 and December 31, 2023, respectively.

  • Condensed Consolidated Statements of Cash Flows (Unaudited)

Nine Months Ended
September 30,

(US$ in millions)

 

2024

 

 

 

2023

 

Operating Activities

 

 

 

Net income (loss) (1)

$

558

 

 

$

1,677

 

Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities:

 

 

 

Impairment charges

 

36

 

 

 

56

 

Foreign exchange (gain) loss on net debt

 

39

 

 

 

(151

)

Depreciation, depletion and amortization

 

345

 

 

 

317

 

Share-based compensation expense

 

49

 

 

 

51

 

Deferred income tax expense (benefit)

 

(43

)

 

 

115

 

Results from affiliates

 

39

 

 

 

(100

)

Other, net

 

48

 

 

 

65

 

Changes in operating assets and liabilities, excluding the effects of acquisitions:

 

 

 

Trade accounts receivable

 

382

 

 

 

306

 

Inventories

 

(557

)

 

 

933

 

Secured advances to suppliers

 

146

 

 

 

(228

)

Trade accounts payable and accrued liabilities

 

(386

)

 

 

(690

)

Advances on sales

 

(179

)

 

 

(227

)

Net unrealized (gain) loss on derivative contracts

 

533

 

 

 

(247

)

Margin deposits

 

(152

)

 

 

(111

)

Recoverable and income taxes, net

 

(148

)

 

 

(19

)

Marketable securities

 

7

 

 

 

(17

)

Other, net

 

130

 

 

 

130

 

Cash provided by (used for) operating activities

 

847

 

 

 

1,860

 

Investing Activities

 

 

 

Payments made for capital expenditures

 

(887

)

 

 

(805

)

Proceeds from investments

 

739

 

 

 

21

 

Payments for investments

 

(872

)

 

 

(26

)

Settlement of net investment hedges

 

(4

)

 

 

(57

)

Proceeds from beneficial interest in securitized trade receivables

 

 

 

 

85

 

Proceeds from sales of businesses and property, plant and equipment

 

6

 

 

 

165

 

Proceeds from investments in affiliates

 

103

 

 

 

 

Payments for investments in affiliates

 

(23

)

 

 

(136

)

Other, net

 

(19

)

 

 

107

 

Cash provided by (used for) investing activities

 

(957

)

 

 

(646

)

Financing Activities

 

 

 

Net borrowings (repayments) of short-term debt

 

(6

)

 

 

416

 

Net proceeds (repayments) of long-term debt

 

1,284

 

 

 

121

 

Debt issuance costs

 

(24

)

 

 

(25

)

Repurchases of registered or common shares

 

(600

)

 

 

(466

)

Dividends paid to registered or common shareholders

 

(287

)

 

 

(287

)

Contributions from (Return of capital to) noncontrolling interest

 

41

 

 

 

40

 

Other, net

 

(32

)

 

 

(12

)

Cash provided by (used for) financing activities

 

376

 

 

 

(213

)

Effect of exchange rate changes on cash and cash equivalents, and restricted cash

 

 

 

 

40

 

Net increase (decrease) in cash and cash equivalents, and restricted cash

 

266

 

 

 

1,041

 

Cash and cash equivalents, and restricted cash - beginning of period

 

2,623

 

 

 

1,152

 

Cash and cash equivalents, and restricted cash - end of period

$

2,889

 

 

$

2,193

 

  • Definition and Reconciliation of Non-GAAP Measures

This earnings release contains certain "non-GAAP financial measures" as defined in Regulation G of the Securities Exchange Act of 1934. Bunge has reconciled these non-GAAP financial measures to the most directly comparable U.S. GAAP measures below. These measures may not be comparable to similarly titled measures used by other companies.

Total Segment EBIT and Adjusted Total Segment EBIT

Bunge uses segment earnings before interest and tax (“Segment EBIT”) to evaluate the operating performance of its individual segments. Segment EBIT excludes EBIT attributable to noncontrolling interests. Bunge also uses Core Segment EBIT, Non-core Segment EBIT, Corporate and Other EBIT and Total Segment EBIT to evaluate the operating performance of Bunge’s Core reportable segments, Non-core reportable segments and Total reportable segments together with Corporate and Other. Core Segment EBIT is the aggregate of the earnings before interest and taxes of each of Bunge’s Agribusiness, Refined and Specialty Oils, and Milling segments. Non-core Segment EBIT is the earnings before interest and taxes of Bunge’s Sugar & Bioenergy segment. Total Segment EBIT is the aggregate of the earnings before interest and taxes of Bunge’s Core and Non-core reportable segments, together with its Corporate and Other activities.

Adjusted Core Segment EBIT, Adjusted Non-Core Segment EBIT, Adjusted Corporate and Other EBIT and Adjusted Total Segment EBIT, are calculated by excluding temporary mark-to-market timing differences, as defined in note 3 below, and certain gains and (charges), as described in "Additional Financial Information" above, from Core Segment EBIT, Non-Core Segment EBIT, Corporate and Other EBIT, and Total Segment EBIT, respectively.

Core Segment EBIT, Non-core Segment EBIT, Corporate and Other EBIT, Total Segment EBIT, Adjusted Core Segment EBIT, Adjusted Non-core Segment EBIT, Adjusted Corporate and Other EBIT and Adjusted Total Segment EBIT are non-GAAP financial measures and are not intended to replace Net income (loss) attributable to Bunge, the most directly comparable U.S. GAAP financial measure. Bunge's management believes these non-GAAP measures are a useful measure of its operating profitability, since the measures allow for an evaluation of segment performance without regard to their financing methods or capital structure. For this reason, operating performance measures such as these non-GAAP measures are widely used by analysts and investors in Bunge's industries. These non-GAAP measures are not a measure of consolidated operating results under U.S. GAAP and should not be considered as an alternative to Net income (loss) or any other measure of consolidated operating results under U.S. GAAP.

Net Income (loss) attributable to Bunge to Adjusted Net Income (loss) attributable to Bunge

Adjusted Net Income (loss) excludes temporary mark-to-market timing differences, as defined in note 3 below, and certain gains and (charges), as described in "Additional Financial Information" above, and is a non-GAAP financial measure. This measure is not a measure of Net income (loss) attributable to Bunge, the most directly comparable U.S. GAAP financial measure. It should not be considered as an alternative to Net Income (loss) attributable to Bunge, Net Income (loss), or any other measure of consolidated operating results under U.S. GAAP. Bunge's management believes Adjusted Net income (loss) is a useful measure of the Company's profitability.

We also have presented projected Adjusted Net income per share for 2024. This information is provided only on a non-GAAP basis without reconciliation to projected Net Income per share for 2024, the mostly directly comparable U.S. GAAP measure. The most directly comparable GAAP measure has not been provided due to the inability to quantify certain amounts necessary for such reconciliation, including but not limited to potentially significant future market price movements over the remainder of the year.

Below is a reconciliation of Net income (loss) attributable to Bunge, to Total Segment EBIT, and Adjusted Total Segment EBIT:

 

Three Months Ended

September 30,

 

Nine Months Ended

September 30,

(US$ in millions)

 

2024

 

 

2023

 

 

 

2024

 

 

2023

 

Net income (loss) attributable to Bunge

$

221

 

$

373

 

 

$

535

 

$

1,627

 

Interest income

 

(33

)

 

(38

)

 

 

(112

)

 

(121

)

Interest expense

 

127

 

 

133

 

 

 

358

 

 

374

 

Income tax expense (benefit)

 

89

 

 

114

 

 

 

236

 

 

495

 

Noncontrolling interest share of interest and tax

 

3

 

 

2

 

 

 

8

 

 

7

 

Total Segment EBIT

$

407

 

$

584

 

 

$

1,025

 

$

2,382

 

 

 

 

 

 

 

Agribusiness EBIT

$

322

 

$

461

 

 

$

738

 

$

1,951

 

Refined and Specialty Oils EBIT

 

200

 

 

227

 

 

 

611

 

$

677

 

Milling EBIT

 

17

 

 

23

 

 

 

88

 

$

46

 

Core Segment EBIT

$

539

 

$

711

 

 

$

1,437

 

$

2,674

 

 

 

 

 

 

 

Corporate and Other EBIT

$

(138

)

$

(182

)

 

$

(421

)

$

(417

)

 

 

 

 

 

 

Sugar & Bioenergy EBIT

$

6

 

$

55

 

 

$

9

 

$

125

 

Non-Core Segment EBIT

$

6

 

$

55

 

 

$

9

 

$

125

 

 

 

 

 

 

 

Total Segment EBIT

$

407

 

$

584

 

 

$

1,025

 

$

2,382

 

Mark-to-market timing difference

 

3

 

 

34

 

 

 

343

 

 

(261

)

Certain (gains) & charges

 

81

 

 

58

 

 

 

204

 

 

73

 

Adjusted Total Segment EBIT

$

491

 

$

676

 

 

$

1,572

 

$

2,194

 

Below is a reconciliation of Net income (loss) attributable to Bunge, to Adjusted Net income (loss) attributable to Bunge:

 

Three Months Ended

September 30,

 

Nine Months Ended

September 30,

(US$ in millions, except per share data)

 

2024

 

2023

 

 

 

2024

 

2023

 

Net income (loss) attributable to Bunge

$

221

$

373

 

 

$

535

$

1,627

 

Adjustment for Mark-to-market timing difference

 

22

 

21

 

 

 

274

 

(196

)

Adjusted for Certain (gains) and charges:

 

 

 

 

 

Acquisition and integration costs

 

62

 

47

 

 

 

185

 

73

 

Impairment of equity method and other investments

 

19

 

20

 

 

 

19

 

36

 

Ukraine-Russia war

 

 

(9

)

 

 

 

(25

)

Adjusted Net income (loss) attributable to Bunge (a)

$

324

$

452

 

 

$

1,013

$

1,515

 

Weighted-average shares outstanding - diluted (b)(6)

 

142

 

151

 

 

 

144

 

152

 

Adjusted Net income (loss) per share - diluted (6)

$

2.29

$

2.99

 

 

$

7.06

$

9.97

 

(a) As of July 1, 2024, Bunge changed its methodology for calculating non-GAAP interim period Adjusted Effective Tax Rate (“Adjusted ETR”). This change has no impact on Bunge’s methodology for calculating the non-GAAP forecasted and actual annual Adjusted ETR. Management believes the new methodology is better aligned to the interim period US GAAP ETR calculation, and represents an improvement over the prior method, which calculated tax on items excluded from Adjusted Net Income (loss) attributable to Bunge on a discrete basis in each interim period. The cumulative YTD impact of the methodology change through June 30, 2024 was $19 million and is included in Adjusted Net income (loss) attributable to Bunge for the three months ended September 30, 2024.

 

(b) There were less than 1 million anti-dilutive contingently issuable restricted stock units excluded from the weighted-average number of shares outstanding for each of the three and nine months ended September 30, 2024 and 2023.

Adjusted Annual Effective Tax Rate

Adjusted Annual Effective Tax Rate is calculated as projected Income tax expense for 2024 adjusted for projected income tax related to certain gains and charges and mark-to-market timing differences divided by projected income before income taxes adjusted by these same excluded items. This information is provided only on a non-GAAP basis without reconciliation to the projected Annual Effective Tax Rate, the most directly comparable U.S. GAAP measure, due to the inability to quantify the amounts necessary to calculate projected net income per share, as described above. The information necessary to prepare the comparable U.S. GAAP presentation could result in significant adjustments from Adjusted Annual Effective Tax Rate. The Adjusted Annual Effective Tax Rate is used by management and can be useful to investors to review the Company's consolidated effective tax rate on a consistent basis.

Adjusted Funds From Operations

Adjusted FFO is calculated by excluding from Cash provided by (used for) operating activities, foreign exchange gain (loss) on net debt, working capital changes, net (income) loss attributable to noncontrolling interests and redeemable noncontrolling interests, and mark-to-market timing differences after tax. Adjusted FFO is a non-GAAP financial measure and is not intended to replace Cash provided by (used for) operating activities, the most directly comparable U.S. GAAP financial measure. Bunge's management believes the presentation of this measure allows investors to view its cash generating performance using the same measure that management uses in evaluating financial and business performance and trends without regard to foreign exchange gains and losses, working capital changes and mark-to-market timing differences. This non-GAAP measure is not a measure of consolidated cash flow under U.S. GAAP and should not be considered as an alternative to Cash provided by (used for) operating activities, Net increase (decrease) in cash and cash equivalents, and restricted cash, or any other measure of consolidated cash flow under U.S. GAAP.

  • Notes

(1)

 

A reconciliation of Net income (loss) attributable to Bunge, to Net income (loss) is as follows:

 

Three months ended September 30,

Nine months ended September 30,

(US$ in millions)

 

2024

 

2023

 

 

2024

 

2023

Net income (loss) attributable to Bunge

$

221

$

373

 

$

535

$

1,627

EBIT attributable to noncontrolling interest

 

9

 

14

 

 

15

 

43

Noncontrolling interest share of interest and tax

 

3

 

2

 

 

8

 

7

Net income (loss)

$

233

$

389

 

$

558

$

1,677

(2)

 

The Processing business included in our Agribusiness segment consists of: global oilseed processing activities, which principally include the origination and crushing of oilseeds (including soybeans, canola, rapeseed and sunflower seed) into protein meals and vegetable oils; the distribution of oilseeds, oilseed products and fertilizer products through our port terminals and transportation assets (including trucks, railcars, barges and ocean vessels); fertilizer production; and biodiesel production, which is partially conducted through joint ventures.

 

 

The Merchandising business included in our Agribusiness segment primarily consists of: global grain origination activities, which principally include the purchasing, cleaning, drying, storing and handling of corn, wheat and barley at our network of grain elevators; global trading and distribution of grains and oils; logistical services for the distribution of these commodities to our customer markets through our port terminals and transportation assets (including trucks, railcars, barges and ocean vessels); and financial services and activities for customers from whom we purchase commodities, and other third parties.

(3)

 

Mark-to-market timing difference comprises the estimated net temporary impact resulting from unrealized period-end gains/losses associated with the fair valuation of certain forward contracts, RMI, and related futures contracts associated with our committed future operating capacity. The impact of these mark-to-market timing differences, which is expected to reverse over time due to the forward contracts, RMI, and related futures contracts being part of an economically-hedged position, is not representative of the operating performance of our business.

(4)

 

A reconciliation of Cash provided by (used for) operating activities to Adjusted funds from operations (FFO) is as follows:

 

Nine months ended September 30,

(US$ in millions)

 

2024

 

 

 

2023

 

Cash provided by (used for) operating activities​

$

847

 

 

$

1,860

 

Foreign exchange gain (loss) on net debt​

 

(39

)

 

 

151

 

Working capital changes​

 

224

 

 

 

170

 

Net (income) loss attributable to noncontrolling interests and redeemable noncontrolling interests​

 

(23

)

 

 

(50

)

Mark-to-Market timing difference, after tax​

 

274

 

 

 

(196

)

Adjusted FFO

$

1,283

 

 

$

1,935

 

(5)

 

We have not presented a comparable U.S. GAAP financial measure for any full-year 2024 outlook financial measures presented on an adjusted, non-GAAP basis because the information necessary for such presentation is unavailable at this time. The information necessary to prepare the comparable U.S. GAAP presentation could result in significant differences from the non-GAAP financial measures presented in this release. Please see “Definition and Reconciliation of Non-GAAP Measures” for more information.

(6)

 

On November 1, 2023, Bunge Global SA completed the change of its jurisdiction of incorporation of its group holding company from Bermuda to Switzerland (the "Redomestication"). The Redomestication, which was approved by Bunge Limited shareholders on October 5, 2023, was effected pursuant to a scheme of arrangement under Bermuda law. Each common share of Bunge Limited was cancelled in exchange for an equal number and par value of registered shares of Bunge Global SA (the "registered shares"). References to the terms "share," "common share," or "registered share" refer to Bunge Limited common shares prior to the Redomestication and Bunge Global SA registered shares after the Redomestication, unless otherwise specified.

 

Investor Contact:

Ruth Ann Wisener

Bunge Global SA

636-292-3014

ruthann.wisener@bunge.com



Media Contact:

Bunge News Bureau

Bunge Global SA

636-292-3022

news@bunge.com

Source: Bunge Global SA

FAQ

What was Bunge's (BG) Q3 2024 earnings per share?

Bunge reported Q3 2024 GAAP diluted EPS of $1.56 and adjusted EPS of $2.29.

How much did Bunge (BG) spend on share repurchases in Q3 2024?

Bunge repurchased $200 million of common shares in Q3 2024, bringing the year-to-date total to $600 million.

What is Bunge's (BG) full-year 2024 EPS guidance?

Bunge adjusted its full-year 2024 EPS outlook to be at least $9.25.

How did Bunge's (BG) operating cash flow perform in the first nine months of 2024?

Bunge's cash from operations decreased to $847 million in the first nine months of 2024, compared to $1,860 million in the same period last year.

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