安道麦B：2023年年度报告摘要（英文版）

安道麦股份有限公司2021年半年度报告摘要Abstract of 2023 Annual Report of ADAMALtd. 1 Stock Code: 000553(200553) Stock Abbreviations: ADAMAA(B) Announcement No.2024-5 Abstract of the 2023 Annual Report of ADAMALtd. I. Important Reminder The Abstract is from the full text of the Annual Report. Investors are advised to read the full text of the Annual Report published on the media designated by China Securities Regulatory Commission for having a round understanding of the Company’s performance, financial status and future development plan. All the directors attended the Board of Directors meeting to review the Annual Report. Non-standard auditor report □ Applicable √Not applicable Plan approved by the Board of Directors for dividend distribution of ordinary shares or increasing the capital by the transfer of capital reserves. □Applicable √Not applicable The Company does not plan to distribute cash or share dividends, nor plan to transfer capital reserve to equity capital. Plan approved by the Board of Directors for dividend distribution of preferred shares □ Applicable √ Not applicable II. Basic information about the Company 1. Company profile Stock name ADAMAA, ADAMABStock code 000553,200553 Stock exchange Shenzhen Stock Exchange Contact Information Board Secretary Securities Affairs Representative & Investor Relations Manager Name Guo Zhi Wang Zhujun Address 6/F, No.7 Office Building, No.10 Courtyard, Chaoyang Park South Road, Chaoyang District, Beijing Tel.010-56718110010-56718110 E-mail irchina@adama.com irchina@adama.com 2. Main Business or Products during the Reporting Period Main Business and Products The Company is a global leader in crop protection, engaging in the development, manufacturing and commercialization of a wide range of crop protection products, that are largely off-patent. The Company provides solutions to farmers to combat weeds, insects and disease, and sells its products in over 100 countries, through approximately 60 subsidiaries worldwide. The Company’s main products are herbicides, insecticides and fungicide, which protect agricultural and other crops against weeds, insects and disease, respectively. The Company also utilizes its expertise to adapt such products also for the development, manufacturing and commercialization of similar products for non-agricultural purposes (Consumer and Professional Solutions). In addition, the Company leverages its core capabilities in the agricultural Abstract of 2023 Annual Report of ADAMALtd. 2 and chemical fields and operates in several other non-agricultural areas, none of which, individually, is material for the Company. These activities, collectively reported as Intermediates and Ingredients, include primarily, (a) the manufacturing and marketing of dietary supplements, food colors, texture and flavor enhancers, and food fortification ingredients; (b) fragrance products for the perfume, cosmetics, body care and detergents industries; (c) the manufacturing of industrial products and (d) other non-material activities. The Company's business model integrates end-customer access, regulatory expertise, state-of-the art global R&D, production and formulation facilities, thereby providing the Company a significant competitive edge and allowing it to launch new and differentiated products that meet local farmers and customer needs in key markets. The Company's primary operations are global, spanning activities in North America, Latin America, Asia-Pacific (including China) and Europe, Africa and the Middle East. General crop protection market environment Key commodity crop prices declined substantially during 2023 as weather conditions normalized and the global crop supply situation improved. However, key commodity crop prices were still relatively high through 2023, supporting planted area and investment in crops, leading to healthy demand, at the farmer level, of crop inputs, including crop protection products. However, due to very high channel inventory across all geographies, channel demand was weak during 2023. The high interest rate environment coupled with low prices of active ingredient from China, also encouraged the just-in-time purchasing approach adopted by the channel. As a result, sales into the channel declined sharply across the entire industry. Going into 2024, channel inventories have improved across most geographies but they have still not normalized everywhere. The cost environment further improved in 2023 as active ingredient prices in China continued to decline all through 2023 reaching low levels. Market Competition and the Company’s Market Share The global crop protection market is dominated by seven multinational companies, including the Group, five of which are originator companies. In the past decade, a number of mergers and acquisitions were completed among the largest players in the crop protection industry. Nonetheless, the crop protection industry as a whole is relatively decentralized, with a number of local manufacturers competing in each country against the global multinational companies. The Group believes that entry barriers for the crop protection market are relatively high, although they vary from region to region. ADAMA is a leading company (in sales terms) among the crop-protection companies that focus on off-patent crop protection solutions. The Company’s global crop protection market share was approximately 5.1% in 2023, based on preliminary estimation made by AgBio Investor regarding total sales in the agrochemical industry, and 6.5% in 2022. 3. Main Accounting Data and Financial Indicators (1) Main Accounting Data and Financial Indicators of the Latest Three Years Whether the Company performed any retroactive adjustments to or restatement of its accounting data √Yes □No Reasons for Retroactive Adjustments or Restatement of the Accounting Data: Other reasons Abstract of 2023 Annual Report of ADAMALtd. 3 Unit: RMB’000 2023 2022 +/- (%) 2021 Before adjustment After adjustment Before adjustment After adjustment Operating revenue (RMB’000) 32,779,45637,381,91537,381,915 -12.31% 31,038,60531,038,605 Net profit attributable to the shareholders (RMB’000) (1,605,887) 609,391609,391 -363.52% 157,397157,397 Net profit attributable to the shareholders, excluding non-recurring profit and loss (RMB’000) (1,851,491) 490,428 501,621 -469.1% 77,853 106,438 Net cash flows from operating activities (RMB’000) 2,617,877940,745940,745178.28% 4,561,8754,561,875 Basic EPS (RMB/share) (0.6893) 0.26160.2616 -363.49% 0.06760.0676 Diluted EPS (RMB/share) N/A N/AN/AN/A N/A N/A Weighted average return on equity (7.13%) 2.76% 2.76% -9.89% 0.74% 0.74% 31.12.2023 31.12.2022 +/- (%) 31.12.2021 Before adjustment After adjustment Before adjustment After adjustment Total assets (RMB’000) 55,405,80357,980,48957,980,489 -4.44% 50,235,30850,235,308 Net assets attributable to the shareholders (RMB’000) 21,924,47523,124,65523,124,655 -5.19% 21,075,08321,075,083 Reason for retroactive adjustments: The Company recognized the non-recurring profit and loss items in accordance with the “Explanatory Announcement No.1 on Information Disclosure for Companies Offering their Securities to the Public - Non-Recurring Profit and Loss (2023 Revised)” and made retrospective adjustments. The implementation of this regulation has no significant impact on the non-recurring profit and loss in comparable accounting periods. (2) Main Accounting Data by Quarter Unit: RMB’000 Q12023 Q22023 Q32023 Q42023 Operating revenue 8,610,576 8,642,625 7,406,903 8,119,352 Net profit attributable to the shareholders 83,273 (325,429) (800,317) (563,414) Net profit attributable to the shareholders excluding non-recurring profit and loss 44,893 (343,038) (845,864) (707,482) Net cash flows from operating activities (2,905,168) 2,840,292590,7062,092,047 Any material differences between the financial indicators above or their summations and those which have been disclosed in quarterly or semi-annual reports □ Yes √ No 4. Shares and Shareholders (1) Number of Common Shareholders and Preferred Shareholders with Vote Right Restored and Shareholding Table of Top-10 Shareholders Unit: share Total number of shareholders at the reporting period 41,388 Total number of shareholders on the 30th trading day before the disclosure date of the annual report 41,393 Total number of preferred stockholder with vote right restored 0 Total number of preferred stockholder with vote right restored on the 30th trading day before the disclosure date of the annual report 0 Shareholding of Top-10 Shareholders (Excluding Shares Lent for the Relending Financing) Abstract of 2023 Annual Report of ADAMALtd. 4 Name of shareholder Nature of shareholder Holding percentage Number of shares Number of shares held subject to trading moratorium Pledged or frozen shares Status of shares Amount Syngenta Group Co., Ltd. State-owned legal person 78.47% 1,828,137,961 -- -- -- China Cinda Asset Management Co., Ltd. State-owned legal person 1.34% 31,115,916 -- -- -- Bosera Funds-China Merchants Bank- Bosera Funds Xincheng No.2 Collective Asset Management Plan Others 0.28% 6,500,000 -- -- -- Hong Kong Securities Clearing Company Ltd. (HKSCC) Overseas legal person 0.27% 6,374,253 -- -- -- Wu Feng Domestic Individual 0.27% 6,190,669 -- -- -- Bosera Funds-Postal Savings Bank- Bosera Funds Xincheng No.3 Collective Asset Management Plan Others 0.26% 6,000,000 -- -- -- Zhu Shenglan Domestic Individual 0.25% 5,756,000 -- -- -- China Universal Fund-Industrial Bank-China Universal-Strategic Enhancement No.3 Collective Asset Management Plan Others 0.19% 4,400,000 -- -- -- Qichun County State-owned Assets Operation Center State-owned legal person 0.18% 4,169,266 -- -- -- Bosera Funds-Postal Savings Bank- Bosera Funds Xincheng No.4 Collective Asset Management Plan Others 0.17% 4,000,000 -- -- -- Explanation on associated relationship or/and persons Syngenta Group Co., Ltd. is not related party or acting-in-concert party as prescribed in the Administrative Methods for Acquisition of Listed Companies to other shareholders. It is unknown to the Company whether shareholders above are related parties or acting-in-concert parties as prescribed in the Administrative Methods for Acquisition of Listed Companies. Particular about shareholder participate in the securities lending and borrowing business ( if any) Shareholder Wu Feng held 4,809,943 shares of the Company through a common securities account and 1,380,726 shares of the Company through a credit collateral securities trading account, altogether 6,190,669 shares. Shareholder Zhu Shenglan held 5,756,000 shares of the Company through a credit collateral securities trading account. Involvement of Top 10 Shareholders in Lending of Shares in the Relending Financing of Funds and Securities □ Applicable √ Not Applicable Change of the Top 10 Shareholders from the Previous Reporting Period √ Applicable □ Not Applicable Change of the Top 10 Shareholders from the Previous Reporting Period Full Name of the Shareholder Addition or Withdrawal Shares during the Reporting Period Shares Lent for the Relending Financing at the Ending Period and Amount not yet Returned Shares in General Shareholders’ Accounts, Credit Accounts and Lent for the Relending Financing at the Ending Period and Amount not yet Returned Total Proportion of the Total Equity Total Proportion of the Total Equity Zhu Shenglan Addition 005,756,0000.25% Qichun County State-owned Assets Operation Center Addition 004,169,2660.18% Bosera Funds-Postal Savings Bank- Addition 004,000,0000.17% Abstract of 2023 Annual Report of ADAMALtd. 5 Bosera Funds Xincheng No.4 Collective Asset Management Plan Wang Xiuqin Withdrawal 003,181,5790.14% Portfolio No.503 of National Social Security Fund Withdrawal 0 0 00 CITICSecurities - Huarong Ruitong Equity Investment Management Co., Ltd. - CITIC Securities - Changfeng Single Asset Management Plan Withdrawal 0000 (2) Number of Preferred Shareholders and Shareholding Table of Top-10 Preferred Shareholders □ Applicable √ Not applicable None in the Reporting Period. (3) Block Diagram of Equity and Control Relationship between the Company and Actual controller 5. Corporate Bonds on the Reporting Date □ Applicable √ Not applicable III. Important Matters None. For introduction to Company business during the reporting period, please refer to Section III. Management Discussion and Analysis of the full text of 2023 Annual Report. ADAMALtd. Legal Representative：Steve Hawkins March 27th,2024