ADAMA Reports $2.1 Billion H1 Sales, Net Profit Reaches $62 Million
18 August 2026, Israel: ADAMA reported its financial results for the second quarter and first half of 2026, with the company highlighting resilient performance despite continued pricing pressure in the global crop protection market.
For the second quarter ended June 30, 2026, ADAMA reported sales of $1.063 billion, down 3% from $1.092 billion a year earlier. In RMB terms, sales declined 7%. Adjusted gross profit fell 1% to $315 million, while adjusted gross margin improved to 29.6% from 29.1% in Q2 2025. Adjusted EBITDA increased 1% to $152 million, compared with $150 million a year earlier.
The company reported a net loss of $20 million for the quarter, narrowing from a $32 million loss in Q2 2025. Adjusted net profit stood at $4 million, compared with $6 million in the same quarter last year. Operating cash inflow was $242 million, while free cash inflow increased to $193 million from $176 million.
ADAMA Financial Performance
| Metric | Q2 2026 | Q2 2025 | Change | H1 2026 | H1 2025 | Change |
|---|---|---|---|---|---|---|
| Revenue / Sales ($ million) | 1,063 | 1,092 | -3% | 2,100 | 2,091 | 0% |
| Adjusted Gross Profit ($ million) | 315 | 318 | -1% | 632 | 620 | +2% |
| Adjusted Gross Margin | 29.6% | 29.1% | +0.5 pp | 30.1% | 29.7% | +0.4 pp |
| Reported Operating Income ($ million) | 63 | 55 | +14% | 173 | 125 | +38% |
| Adjusted Operating Income ($ million) | 89 | 85 | +4% | 176 | 180 | -2% |
| Reported Net Profit / (Loss) ($ million) | (20) | (32) | — | 62 | (11) | — |
| Adjusted Net Profit ($ million) | 4 | 6 | -33% | 63 | 49 | +28% |
| Reported EBITDA ($ million) | 148 | 130 | +14% | 330 | 273 | +21% |
| Adjusted EBITDA ($ million) | 152 | 150 | +1% | 302 | 310 | -3% |
| Operating Cash Inflow ($ million) | 242 | 271 | -11% | 100 | 242 | -59% |
| Free Cash Inflow ($ million) | 193 | 176 | +10% | 54 | 90 | -40% |
First-half sales remain stable
For the first six months of 2026, ADAMA reported sales of $2.10 billion, broadly unchanged from $2.091 billion in the first half of 2025. Sales declined 4% in RMB terms and 3% at constant exchange rates. Adjusted gross profit increased 2% to $632 million, with adjusted gross margin improving to 30.1% from 29.7%. Reported operating income rose 38% to $173 million from $125 million.
ADAMA reported a net profit of $62 million for the first half, compared with a net loss of $11 million in H1 2025. Adjusted net profit increased 28% to $63 million from $49 million. Adjusted EBITDA was $302 million, compared with $310 million in the first half of 2025, while the adjusted EBITDA margin stood at 14.4%, compared with 14.8% a year earlier.
Operating cash inflow was $100 million in H1 2026, compared with $242 million in H1 2025. Free cash inflow was $54 million, down from $90 million.
Crop protection market remains under pricing pressure
ADAMA said underlying crop protection demand remained healthy during the first half of 2026, supported by relatively low channel inventories. However, pricing remained under pressure due to lower farmer profitability and persistently low active ingredient prices, linked to structural production overcapacity in China.
The company said farmer profitability remained under pressure despite some easing in input costs, resulting in continued just-in-time purchasing behaviour. Crop commodity prices were expected to remain broadly stable at relatively normal levels, although geopolitical and weather-related risks, including El Niño, continued to create uncertainty.
Strategy focuses on selective growth and portfolio differentiation
ADAMA said it is continuing to implement the next phase of its strategy following the Fight Forward programme. The company is focusing on selective growth in markets, segments and product offerings where it sees opportunities to create value for customers and generate returns.
The strategy is centred on four areas: portfolio differentiation, strengthening commercial capabilities, developing a more competitive and flexible supply and manufacturing network, and improving organisational design, processes and systems.
The company said it remains focused on improving margins, generating cash, controlling costs and directing investment towards higher-return opportunities.
23 new products launched in first half
ADAMA continued to expand its differentiated product portfolio during the second quarter. The company launched 23 new products and received 54 new product registrations during the first half of 2026.
Among the products launched during Q2 were GALIL Nano in Brazil, a bifenthrin and imidacloprid suspension concentrate insecticide for soybean and corn; IZAVIA in India, combining chlorantraniliprole and emamectin benzoate; FERRABAIT in the UK; DOMAGO in India, a rice herbicide based on penoxsulam, pretilachlor and the safener fenclorim; and NOVALI in the US, combining pyroxasulfone with ADAMA’s Sesgama formulation technology.
New product registrations included BROVALIS and REXARO in India and ACTAVAN in Australia and New Zealand.
Regional performance mixed
ADAMA’s regional performance varied across markets. Sales in Europe, Africa and the Middle East increased 3% in Q2 to $324 million and rose 9% to $731 million in the first half. The company said the region faced dry weather, low disease pressure and a difficult spring season, along with farmer liquidity constraints and competitive pressure.
In North America, Q2 sales increased 2% to $281 million, while first-half sales rose 5% to $518 million. The US agricultural business experienced a slight decline in a competitive and price-sensitive crop protection market, while Canada recorded growth.
Latin America sales declined 3% in Q2 to $209 million and 3% in H1 to $353 million. In Brazil, higher volumes in key crops including soybean and corn were offset by lower market prices, weaker farmer profitability and increased competition.
In the rest of Latin America, sales increased in both periods, supported by higher volumes and commercial momentum, although pricing remained under pressure.
India records growth in local currency terms
In India, ADAMA said sales increased in constant exchange rate terms during both the second quarter and first half, supported by higher volumes and pricing. The company said commercial momentum continued despite uneven seasonal conditions, including delayed monsoon rainfall and El Niño-related effects on crop protection demand.
However, adverse foreign exchange movements resulted in broadly stable sales in US dollar terms.
In the wider Asia-Pacific region, sales declined 13% in Q2 and 12% in the first half. In Australia and New Zealand, stronger demand in southern and western Australia partly offset weaker conditions in northern Australia, where dry weather affected planting decisions and crop protection demand.
In China, sales declined as ADAMA reduced the manufacture and sale of certain basic chemicals and low-margin products. The decline was partly offset by higher sales of branded formulations supported by new product launches and increased market penetration.
Gross margins improve despite lower sales
ADAMA’s reported gross profit increased 1% in Q2 to $286 million, with reported gross margin rising to 26.9% from 26.0%. For the first half, reported gross profit increased 3% to $573 million, while reported gross margin improved to 27.3% from 26.6%.
Adjusted gross profit declined 1% in Q2 to $315 million, but adjusted gross margin improved to 29.6%. In H1, adjusted gross profit increased 2% to $632 million, with the adjusted gross margin reaching 30.1%.
The company attributed the improvement in margins primarily to favourable foreign exchange effects and an improved quality of business, which more than offset lower prices and modest cost increases. Higher volumes also supported the first-half gross profit improvement.
Cash generation remains a focus
ADAMA said its financial performance continued to be supported by efforts to improve operating efficiency and cash generation.
Reported operating income increased 14% in Q2 to $63 million and 38% in H1 to $173 million. Adjusted operating income increased 4% in Q2 to $89 million, while H1 adjusted operating income declined 2% to $176 million.
Reported EBITDA increased 14% in Q2 to $148 million and 21% in H1 to $330 million. Adjusted EBITDA increased 1% in Q2 to $152 million but declined 3% in H1 to $302 million.
The company generated $193 million in free cash inflow during Q2, compared with $176 million a year earlier. For the first half, free cash inflow stood at $54 million.
Gaël Hili, President and CEO of ADAMA, said the company had strengthened its financial and operational foundation over the past two years through greater financial discipline and operational efficiency.
He said volume growth was visible across most regions during the second quarter, while competitive market conditions, low farmer profitability and industry overcapacity continued to create pricing pressure. ADAMA’s pricing discipline supported improved price capture in several markets compared with earlier in the year.
Hili said the company remains focused on selective growth, disciplined execution, profitability improvement and cash generation as it works towards sustainable growth and long-term value creation.
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