Syngenta reports mixed Q3 2024 financials citing poor weather and challenging market conditions

Syngenta Group, a leading agricultural technology firm, today disclosed its financial figures for the third quarter and the initial nine months of 2024. The company announced stable sales of $6.8 billion for the quarter, which, although flat compared to the same period last year, saw a 4 percent increase when adjusted for constant exchange rates (CER). Notably, the Group’s EBITDA in Q3 soared by 112 percent to $0.7 billion (159 percent at CER), a substantial rise from Q3 2023.

In contrast, the results for the first nine months painted a less rosy picture, with total sales declining by 12 percent year-on-year to $21.4 billion, and a 9 percent drop at CER. EBITDA for this period also fell by 23 percent to $2.7 billion, reflecting a 12 percent decrease at CER. The overall EBITDA margin shrank by 1.7 percentage points to 12.9 percent.

The company’s performance was heavily influenced by adverse weather conditions and sustained price pressures, particularly in Latin America, impacting the demand for crop protection products. Despite these challenges, Syngenta Group reported initial signs of market recovery, with inventories nearing normal levels and an optimistic outlook for recovery post-first half of 2025.

Syngenta Crop Protection experienced a slight decline in Q3 sales, attributed to adverse currency effects in Brazil, although there was underlying volume growth. Meanwhile, ADAMA faced a tougher quarter, with a 10 percent sales drop amid challenging conditions for suppliers of post-patent active ingredients. However, ADAMA managed to improve its margins through ongoing business enhancements.

The Seeds business segment reported a 3 percent increase in sales during the quarter, despite challenges such as weather and disease pressures in Argentina. Growth was particularly strong in the Chinese market, which saw an 11 percent increase in sales, driven by the launch of new seed varieties and robust demand for biologicals.