10-QPeriod: Q1 FY2025

Bunge Global SA Quarterly Report for Q1 Ended Mar 31, 2025

Filed May 7, 2025For Securities:BG

Summary

Bunge Global SA (BG) reported net income attributable to Bunge shareholders of $201 million for the first quarter of 2025, a decrease from $244 million in the same period of 2024. Diluted earnings per share also declined to $1.48 from $1.68 year-over-year. This decline was primarily driven by lower segment EBIT, particularly in the Refined and Specialty Oils segment, which experienced reduced gross profit. Despite the decrease in net income, Bunge's total assets grew to $26.66 billion, and the company maintained a healthy working capital position of $8.84 billion. The company is progressing with its significant Viterra acquisition, having secured substantial financing and reduced acquisition financing commitments following divestitures. Bunge's operational performance reflects mixed segment results. The Agribusiness segment saw a 3% decrease in EBIT, largely due to lower gross profit in its merchandising and processing operations, impacted by price stabilization and supply/demand dynamics. The Refined and Specialty Oils segment experienced a significant 49% drop in EBIT, primarily due to lower margins in North America. The Milling segment's EBIT also decreased by 45% due to pressured milling margins. On a positive note, Corporate and Other EBIT improved significantly due to lower acquisition and integration costs related to the Viterra deal. The company's liquidity remains strong with substantial unused committed borrowing capacity.

Financial Highlights

55 data points
Beta

Revenue

$11.64B

5.1% Gross Margin

Net Income

$201.00M

1.7% Net Margin

EPS (Diluted)

$1.48

Total Assets

$26.66B

Cash & Equivalents

$3.25B

Free Cash Flow

-$595.00M

Financial Statements
Beta
Revenue$11.64B
Cost of Revenue$11.05B
Gross Profit$597.00M
SG&A Expenses$380.00M
Interest Expense$104.00M
Net Income$201.00M
EPS (Basic)$1.50
EPS (Diluted)$1.48
Shares Outstanding (Basic)134.06M
Shares Outstanding (Diluted)135.41M

Key Highlights

  • 1Net income attributable to Bunge shareholders decreased by 17.6% to $201 million in Q1 2025 compared to $244 million in Q1 2024.
  • 2Diluted EPS decreased to $1.48 in Q1 2025 from $1.68 in Q1 2024.
  • 3Total assets increased to $26.66 billion as of March 31, 2025, from $24.90 billion as of December 31, 2024.
  • 4Working capital stood at $8.84 billion as of March 31, 2025, showing an increase from both the prior quarter and the prior year.
  • 5The Refined and Specialty Oils segment EBIT saw a substantial decline of 49%, indicating margin pressures in this segment.
  • 6Bunge continues to progress with the Viterra acquisition, with financing secured and acquisition financing commitments reduced following divestitures.
  • 7Agribusiness segment EBIT decreased slightly by 3%, impacted by lower gross profit in processing and merchandising activities.

Frequently Asked Questions

The decrease in net income and earnings per share for the first quarter of 2025 was primarily driven by lower segment EBIT, particularly in the Refined and Specialty Oils segment, which experienced lower gross profit due to overall lower margins, especially in North America. Additionally, the Agribusiness segment's EBIT decreased due to lower gross profit in its merchandising and processing operations.

Bunge has secured $8.0 billion in acquisition debt financing for the Viterra acquisition. Following the issuance of $2.0 billion in Senior Notes and the divestment of 40% of its Spanish operating subsidiary, Bunge's acquisition financing commitment has been reduced to $5.8 billion. Bunge intends to use a portion of these funds to finance the cash consideration for the Viterra acquisition and repay related Viterra debt. The company's credit ratings have been reviewed and updated by major agencies, with some showing positive outlooks.

Performance varies by segment. The Agribusiness segment's EBIT decreased slightly due to lower gross profit, impacted by price stabilization and supply/demand dynamics. The Refined and Specialty Oils segment saw a significant EBIT decline due to lower margins. The Milling segment's EBIT also decreased due to competitive pricing. Corporate and Other EBIT improved, primarily due to reduced acquisition and integration costs related to the Viterra deal.

Total assets increased to $26.66 billion, driven by higher inventories and trade receivables. Working capital also increased to $8.84 billion, indicating a healthy liquidity position. Total debt increased to $6.72 billion, primarily due to higher short-term borrowings and the issuance of Senior Notes for the Viterra acquisition financing. Total Bunge shareholders' equity increased due to net income, favorable foreign exchange translation adjustments, and proceeds from the sale of a noncontrolling interest.