2017 Half Year Results
Innovation and productivity savings partially offset weak market conditions
- Sales $6.9 billion: 2 percent lower compared with H1 2016
- Sales of new products up 33 percent1 compared with H1 2016
- EBITDA $1.7 billion: margin 24.2 percent (H1 2016: 24.9%)
- Productivity savings on track
Reported Financial Highlights
1st Half 2017 | 1st Half 2016 | Actual | CER1 | |
---|---|---|---|---|
$m | $m | % | % | |
Sales | 6,920 | 7,094 | -2 | -2 |
Net income | 928 | 1,064 | -13 | |
EBITDA | 1,675 | 1,767 | -5 | -9 |
Earnings per share2 | 12.32 | 12.69 | -3 |
1 At constant exchange rates
2 Excluding restructuring and impairment; EPS on a fully diluted basis
Erik Fyrwald, Chief Executive Officer, said:
“The first half of the year marked a historic moment in Syngenta’s history with the closing of the transaction with ChemChina. With the support of ChemChina, we are fully focused on our objectives of strengthening our leadership in Crop Protection and of becoming a strong number three in Seeds. We are ready to drive the determined execution of our new strategies for these businesses and have put in place a simplified organization aligned to best meeting the needs of our customers.
In the first half of 2017, despite adverse weather and low commodity prices, our sales in Europe, Africa and the Middle East and in North America were unchanged at constant exchange rates, with new products continuing to make a significant contribution. Our Latin America sales declined significantly again as the industry faces low commodity prices, and there are high channel inventories in Brazil. We continue to drive productivity and efficiency savings, partially offsetting the impact of the difficult market conditions on our profitability.
Looking ahead, we will be focused on profitable market share growth and on our ambition – to be the most collaborative and trusted team in agriculture, providing seeds and crop protection innovations to enhance the prosperity of farmers, wherever they are. In the first half of 2017, our innovations in Crop Protection enabled us to partially offset the impact of weak market conditions. Innovation is also a key driver for our Seeds business, and I am delighted that we recently received import approval in China for the Agrisure Duracade® trait. Obtaining the regulatory approval opens up new opportunities for our corn seed portfolio, giving US growers access to exciting new hybrids as well as the latest in corn rootworm technology.”
About Syngenta
Syngenta is a leading agriculture company helping to improve global food security by enabling millions of farmers to make better use of available resources. Through world class science and innovative crop solutions, our 28,000 people in over 90 countries are working to transform how crops are grown. We are committed to rescuing land from degradation, enhancing biodiversity and revitalizing rural communities. To learn more visit www.syngenta.com and www.goodgrowthplan.com. Follow us on Twitter® at www.twitter.com/Syngenta.
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