Adecoagro posts earnings miss, revenue below estimates

Latin American agribusiness company Adecoagro SA reported earnings that fell short of expectations, with a per-share miss of $0.64 and revenue below analyst estimates for the quarter.

The company, which operates in Argentina, Brazil and Uruguay, disclosed its results after market close on Wednesday. Adjusted earnings per share (EPS) came in at $0.06, compared with the $0.70 expected by analysts surveyed by Refinitiv. Revenue totaled $237.8 million, missing the $250.2 million estimate.

Adecoagro attributed the underperformance to lower crop prices and reduced volumes, particularly in its sugar and ethanol segment. The company noted that sugar prices declined by approximately 10% year-over-year, while ethanol prices fell by around 5% over the same period. Operational challenges, including adverse weather conditions in key growing regions, were also cited as contributing factors.

Despite the revenue shortfall, Adecoagro maintained its full-year guidance, reaffirming its outlook for adjusted EBITDA in the range of $250 million to $300 million. The company emphasized its focus on cost discipline and operational efficiency to mitigate the impact of market volatility.

Shares of Adecoagro, listed on the New York Stock Exchange under the ticker AGRO, were down 3.2% in after-hours trading following the release of the results.