AGCO, Your Agriculture Company, a worldwide manufacturer and distributor of agricultural equipment and solutions, reported its results for the first quarter ended March 31, 2022.
Net sales for the first quarter were approximately $2.7 billion, an increase of approximately 12.9% compared to the first quarter of 2021. Excluding unfavorable currency translation impacts of approximately 5.0%, net sales in the first quarter of 2022 increased approximately 17.9% compared to the first quarter of 2021. Reported net income was $2.03 per share for the first quarter of 2022, and adjusted net income(3), which excludes impairment charges, restructuring expenses and other related items, was $2.39 per share. These results compare to reported net income of $1.99 per share and adjusted net income, which excludes restructuring expenses, of $2.00 per share for the first quarter of 2021.
Highlights
- Reported regional sales results: Europe/Middle East (“EME”) +5.7%, North America +14.7%, South America +48.2%, Asia/Pacific/Africa (“APA”) +12.7%
- Constant currency regional sales results: EME +15.0%, North America +15.0%, South America +41.8%, APA +17.5%
- Regional operating margin performance: EME 11.6%, North America 7.8%, South America 12.9%, APA 15.1%
- Recorded impairment charges related to AGCO’s joint ventures in Russia
- Declared a variable special dividend of $4.50 per share payable in June and increased quarterly dividend by 20%
- Raised full-year outlook for net sales and net income per share
“AGCO delivered record first quarter sales and earnings as healthy farm economics continue to support robust global demand,” stated Eric Hansotia, AGCO’s Chairman, President and Chief Executive Officer. “Despite this elevated demand, supply chain constraints compounded by the impacts of the war in Ukraine continue to negatively influence our operations. Our results reflect substantial price increases to offset rising material costs, higher logistics expenses, and other manufacturing inefficiencies. Favorable farm fundamentals accompanied by heightened interest in AGCO’s precision ag solutions are supporting healthy order boards that remain well ahead of last year’s levels. We remain focused on minimizing the impact of supply chain disruptions and inflationary cost pressures to deliver strong full-year sales and earnings growth. In addition, our increased investments in premium technology, sustainable smart farming solutions and enhanced digital capabilities support our farmer-first strategy and position us for future growth.”
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For more information: 
Greg Peterson
AGCO
Tel.: +1 770-232-8229
greg.peterson@agcocorp.com