Company Quick10K Filing
Archer Daniels Midland
Price40.94 EPS2
Shares565 P/E19
MCap23,131 P/FCF-6
Net Debt4,621 EBIT1,714
TEV27,752 TEV/EBIT16
TTM 2019-09-30, in MM, except price, ratios
10-Q 2020-03-31 Filed 2020-05-01
10-K 2019-12-31 Filed 2020-02-18
10-Q 2019-09-30 Filed 2019-10-31
10-Q 2019-06-30 Filed 2019-08-01
10-Q 2019-03-31 Filed 2019-04-26
10-K 2018-12-31 Filed 2019-02-19
10-Q 2018-09-30 Filed 2018-11-06
10-Q 2018-06-30 Filed 2018-07-31
10-Q 2018-03-31 Filed 2018-05-01
10-K 2017-12-31 Filed 2018-02-16
10-Q 2017-09-30 Filed 2017-10-31
10-Q 2017-06-30 Filed 2017-08-01
10-Q 2017-03-31 Filed 2017-05-02
10-K 2016-12-31 Filed 2017-02-17
10-Q 2016-09-30 Filed 2016-11-01
10-Q 2016-06-30 Filed 2016-08-02
10-Q 2016-03-31 Filed 2016-05-03
10-K 2015-12-31 Filed 2016-02-19
10-Q 2015-09-30 Filed 2015-11-03
10-Q 2015-06-30 Filed 2015-08-04
10-Q 2015-03-31 Filed 2015-05-06
10-K 2014-12-31 Filed 2015-02-20
10-Q 2014-09-30 Filed 2014-11-05
10-Q 2014-06-30 Filed 2014-08-05
10-Q 2014-03-31 Filed 2014-05-02
10-K 2013-12-31 Filed 2014-02-26
10-Q 2013-09-30 Filed 2013-11-01
10-Q 2013-06-30 Filed 2013-08-07
10-Q 2013-03-31 Filed 2013-05-07
10-Q 2012-09-30 Filed 2012-11-05
10-K 2012-06-30 Filed 2012-08-27
10-Q 2012-03-31 Filed 2012-05-09
10-Q 2011-12-31 Filed 2012-02-06
10-Q 2011-09-30 Filed 2011-11-07
10-K 2011-06-30 Filed 2011-08-25
10-Q 2011-03-31 Filed 2011-05-10
10-Q 2010-12-31 Filed 2011-02-09
10-Q 2010-09-30 Filed 2010-11-08
10-K 2010-06-30 Filed 2010-08-30
10-Q 2010-03-31 Filed 2010-05-10
10-Q 2010-02-04 Filed 2010-02-08
8-K 2020-05-07 Shareholder Vote
8-K 2020-04-29 Earnings, Exhibits
8-K 2020-03-27 Exhibits
8-K 2020-01-29 Earnings, Exhibits
8-K 2019-11-06 Officers
8-K 2019-10-31 Earnings, Exhibits
8-K 2019-08-01 Earnings, Exhibits
8-K 2019-05-01 Amend Bylaw, Shareholder Vote, Exhibits
8-K 2019-04-26 Earnings, Exhibits
8-K 2019-03-25 Regulation FD, Exhibits
8-K 2019-02-05 Earnings, Exhibits
8-K 2018-12-03 Exhibits
8-K 2018-11-06 Earnings, Exhibits
8-K 2018-09-12 Exhibits
8-K 2018-07-31 Earnings, Exhibits
8-K 2018-05-03 Shareholder Vote
8-K 2018-05-01 Earnings, Exhibits
8-K 2018-02-06 Earnings, Exhibits

ADM 10Q Quarterly Report

Part I - Financial Information
Item 1. Financial Statements
Note 1. Basis of Presentation
Note 2. New Accounting Standards
Note 3. Pending Accounting Standards
Note 4. Revenues
Note 5. Fair Value Measurements
Note 6. Derivative Instruments and Hedging Activities
Note 7. Other Current Assets
Note 8. Accrued Expenses and Other Payables
Note 9. Debt and Financing Arrangements
Note 10. Income Taxes
Note 11. Leases
Note 12. Accumulated Other Comprehensive Income
Note 13. Other (Income) Expense - Net
Note 14. Segment Information
Note 15. Asset Impairment, Exit, and Restructuring Costs
Note 16. Sale of Accounts Receivable
Note 17. Subsequent Event
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations
Item 3. Quantitative and Qualitative Disclosures About Market Risk
Item 4. Controls and Procedures
Part II - Other Information
Item 1. Legal Proceedings
Item 1A. Risk Factors
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Item 6. Exhibits
EX-18 adm-ex182020331xq1.htm
EX-31.1 adm-ex3112020331xq1.htm
EX-31.2 adm-ex3122020331xq1.htm
EX-32.1 adm-ex3212020331xq1.htm
EX-32.2 adm-ex3222020331xq1.htm

Archer Daniels Midland Earnings 2020-03-31

Balance SheetIncome StatementCash Flow
45362718902012201420172020
Assets, Equity
25201510502012201420172020
Rev, G Profit, Net Income
3.52.10.7-0.8-2.2-3.62012201420172020
Ops, Inv, Fin

Document
8000000false--12-31Q120200000007084true1200000000 0000007084 2020-01-01 2020-03-31 0000007084 2020-04-30 0000007084 us-gaap:CommonStockMember 2020-01-01 2020-03-31 0000007084 us-gaap:DebtSecuritiesMember 2020-01-01 2020-03-31 0000007084 2019-01-01 2019-03-31 0000007084 2020-03-31 0000007084 2019-12-31 0000007084 2018-12-31 0000007084 2019-03-31 0000007084 us-gaap:NoncontrollingInterestMember 2020-01-01 2020-03-31 0000007084 us-gaap:CommonStockMember 2019-12-31 0000007084 us-gaap:RetainedEarningsMember 2019-01-01 2019-03-31 0000007084 us-gaap:NoncontrollingInterestMember 2020-03-31 0000007084 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-03-31 0000007084 us-gaap:CommonStockMember 2020-01-01 2020-03-31 0000007084 us-gaap:CommonStockMember 2019-03-31 0000007084 us-gaap:NoncontrollingInterestMember 2019-12-31 0000007084 us-gaap:NoncontrollingInterestMember 2019-01-01 2019-03-31 0000007084 us-gaap:RetainedEarningsMember 2020-01-01 2020-03-31 0000007084 us-gaap:CommonStockMember 2018-12-31 0000007084 us-gaap:RetainedEarningsMember 2019-03-31 0000007084 us-gaap:RetainedEarningsMember 2019-12-31 0000007084 us-gaap:NoncontrollingInterestMember 2018-12-31 0000007084 srt:ScenarioPreviouslyReportedMember 2019-12-31 0000007084 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-03-31 0000007084 us-gaap:RetainedEarningsMember 2018-12-31 0000007084 us-gaap:NoncontrollingInterestMember 2019-03-31 0000007084 us-gaap:RetainedEarningsMember 2020-03-31 0000007084 us-gaap:CommonStockMember 2019-01-01 2019-03-31 0000007084 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-12-31 0000007084 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2018-12-31 0000007084 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-01-01 2020-03-31 0000007084 us-gaap:CommonStockMember 2020-03-31 0000007084 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-01-01 2019-03-31 0000007084 srt:ScenarioPreviouslyReportedMember us-gaap:RetainedEarningsMember 2019-12-31 0000007084 us-gaap:AccountingStandardsUpdate201613Member 2019-12-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesMember us-gaap:TransferredOverTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesMember us-gaap:TransferredOverTimeMember 2020-01-01 2020-03-31 0000007084 adm:AnimalNutritionMember 2019-01-01 2019-03-31 0000007084 adm:CarbohydrateSolutionsMember 2019-01-01 2019-03-31 0000007084 adm:MarktoMarketProductsMember adm:AgServicesMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:NutritionMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AnimalNutritionMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:RefinedProductsandOtherMember 2019-01-01 2019-03-31 0000007084 adm:MarktoMarketProductsMember 2019-01-01 2019-03-31 0000007084 adm:MarktoMarketProductsMember adm:StarchesandsweetenersMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:CrushingMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:WildandSpecialtyIngredientsMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:StarchesandsweetenersMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:VCPMember 2019-01-01 2019-03-31 0000007084 adm:CrushingMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesandOilseedsMember us-gaap:TransferredOverTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:CrushingMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:MarktoMarketProductsMember adm:CrushingMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember 2019-01-01 2019-03-31 0000007084 adm:MarktoMarketProductsMember adm:CarbohydrateSolutionsMember 2019-01-01 2019-03-31 0000007084 adm:AgServicesandOilseedsMember 2019-01-01 2019-03-31 0000007084 adm:MarktoMarketProductsMember adm:RefinedProductsandOtherMember 2019-01-01 2019-03-31 0000007084 adm:MarktoMarketProductsMember adm:AgServicesandOilseedsMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesandOilseedsMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:VCPMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:WildandSpecialtyIngredientsMember 2019-01-01 2019-03-31 0000007084 adm:AgServicesMember 2019-01-01 2019-03-31 0000007084 adm:NutritionMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:RefinedProductsandOtherMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:CarbohydrateSolutionsMember 2019-01-01 2019-03-31 0000007084 adm:RefinedProductsandOtherMember 2019-01-01 2019-03-31 0000007084 us-gaap:AllOtherSegmentsMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:StarchesandsweetenersMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesandOilseedsMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:CarbohydrateSolutionsMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:NutritionMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:VCPMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember us-gaap:AllOtherSegmentsMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AnimalNutritionMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:StarchesandsweetenersMember 2019-01-01 2019-03-31 0000007084 adm:WildandSpecialtyIngredientsMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember us-gaap:AllOtherSegmentsMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesMember us-gaap:TransferredAtPointInTimeMember 2019-01-01 2019-03-31 0000007084 adm:NonMTMProductsandServicesMember us-gaap:TransferredOverTimeMember 2019-01-01 2019-03-31 0000007084 us-gaap:AllOtherSegmentsMember 2020-01-01 2020-03-31 0000007084 adm:MarktoMarketProductsMember adm:AgServicesMember 2020-01-01 2020-03-31 0000007084 adm:RefinedProductsandOtherMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:CrushingMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:CarbohydrateSolutionsMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:CarbohydrateSolutionsMember 2020-01-01 2020-03-31 0000007084 adm:MarktoMarketProductsMember adm:AgServicesandOilseedsMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesandOilseedsMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesandOilseedsMember us-gaap:TransferredOverTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:VCPMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NutritionMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:RefinedProductsandOtherMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:NutritionMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:StarchesandsweetenersMember 2020-01-01 2020-03-31 0000007084 adm:AgServicesandOilseedsMember 2020-01-01 2020-03-31 0000007084 adm:CarbohydrateSolutionsMember 2020-01-01 2020-03-31 0000007084 adm:MarktoMarketProductsMember adm:StarchesandsweetenersMember 2020-01-01 2020-03-31 0000007084 adm:MarktoMarketProductsMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:VCPMember 2020-01-01 2020-03-31 0000007084 adm:AnimalNutritionMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:StarchesandsweetenersMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:WildandSpecialtyIngredientsMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember us-gaap:TransferredOverTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:WildandSpecialtyIngredientsMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:RefinedProductsandOtherMember 2020-01-01 2020-03-31 0000007084 adm:VCPMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember us-gaap:AllOtherSegmentsMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:MarktoMarketProductsMember adm:CarbohydrateSolutionsMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:CrushingMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AnimalNutritionMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AnimalNutritionMember 2020-01-01 2020-03-31 0000007084 adm:StarchesandsweetenersMember 2020-01-01 2020-03-31 0000007084 adm:MarktoMarketProductsMember adm:RefinedProductsandOtherMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:NutritionMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember us-gaap:AllOtherSegmentsMember 2020-01-01 2020-03-31 0000007084 adm:AgServicesMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:AgServicesandOilseedsMember us-gaap:TransferredAtPointInTimeMember 2020-01-01 2020-03-31 0000007084 adm:CrushingMember 2020-01-01 2020-03-31 0000007084 adm:NonMTMProductsandServicesMember adm:WildandSpecialtyIngredientsMember 2020-01-01 2020-03-31 0000007084 adm:MarktoMarketProductsMember adm:CrushingMember 2020-01-01 2020-03-31 0000007084 us-gaap:FairValueInputsLevel3Member 2019-01-01 2019-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:CommodityDerivativeContractsLossesMember 2019-01-01 2019-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:InventoryRelatedPayablesMember 2019-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:CommodityDerivativeContractsLossesMember 2019-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:InventoryRelatedPayablesMember 2018-12-31 0000007084 us-gaap:FairValueInputsLevel3Member 2018-12-31 0000007084 us-gaap:FairValueInputsLevel3Member 2019-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:InventoryRelatedPayablesMember 2019-01-01 2019-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:CommodityDerivativeContractsLossesMember 2018-12-31 0000007084 adm:InventoriesCarriedAtMarketMember us-gaap:FairValueInputsLevel3Member 2020-03-31 0000007084 adm:CommodityDerivativeContractsGainsMember us-gaap:FairValueInputsLevel3Member 2020-01-01 2020-03-31 0000007084 adm:CommodityDerivativeContractsGainsMember us-gaap:FairValueInputsLevel3Member 2020-03-31 0000007084 us-gaap:FairValueInputsLevel3Member 2019-12-31 0000007084 adm:InventoriesCarriedAtMarketMember us-gaap:FairValueInputsLevel3Member 2019-12-31 0000007084 us-gaap:FairValueInputsLevel3Member 2020-01-01 2020-03-31 0000007084 adm:InventoriesCarriedAtMarketMember us-gaap:FairValueInputsLevel3Member 2020-01-01 2020-03-31 0000007084 adm:CommodityDerivativeContractsGainsMember us-gaap:FairValueInputsLevel3Member 2019-12-31 0000007084 us-gaap:FairValueInputsLevel3Member 2020-03-31 0000007084 adm:InventoriesCarriedAtMarketMember us-gaap:FairValueInputsLevel3Member 2019-01-01 2019-03-31 0000007084 adm:CommodityDerivativeContractsGainsMember us-gaap:FairValueInputsLevel3Member 2019-01-01 2019-03-31 0000007084 adm:CommodityDerivativeContractsGainsMember us-gaap:FairValueInputsLevel3Member 2018-12-31 0000007084 adm:InventoriesCarriedAtMarketMember us-gaap:FairValueInputsLevel3Member 2018-12-31 0000007084 adm:InventoriesCarriedAtMarketMember us-gaap:FairValueInputsLevel3Member 2019-03-31 0000007084 adm:CommodityDerivativeContractsGainsMember us-gaap:FairValueInputsLevel3Member 2019-03-31 0000007084 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:CommodityContractMember us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:CommodityContractMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:ForeignExchangeContractMember us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:CommodityContractMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:InterestRateContractMember us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 us-gaap:CommodityContractMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 srt:WeightedAverageMember adm:CommodityDerivativeContractsGainsMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 srt:WeightedAverageMember us-gaap:FairValueInputsLevel3Member adm:CommodityDerivativeContractsLossesMember us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 srt:WeightedAverageMember us-gaap:FairValueInputsLevel3Member adm:InventoryRelatedPayablesMember us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 srt:WeightedAverageMember adm:InventoriesCarriedAtMarketMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 srt:WeightedAverageMember us-gaap:FairValueInputsLevel3Member adm:CommodityDerivativeContractsLossesMember us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 srt:WeightedAverageMember us-gaap:FairValueInputsLevel3Member adm:InventoryRelatedPayablesMember us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0000007084 srt:WeightedAverageMember adm:CommodityDerivativeContractsGainsMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 srt:WeightedAverageMember adm:InventoriesCarriedAtMarketMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:CommodityDerivativeContractsLossesMember 2020-01-01 2020-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:InventoryRelatedPayablesMember 2020-01-01 2020-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:InventoryRelatedPayablesMember 2019-12-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:CommodityDerivativeContractsLossesMember 2019-12-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:InventoryRelatedPayablesMember 2020-03-31 0000007084 us-gaap:FairValueInputsLevel3Member adm:CommodityDerivativeContractsLossesMember 2020-03-31 0000007084 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:CommodityContractMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:CommodityContractMember us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:InterestRateContractMember us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:ForeignExchangeContractMember us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:CommodityContractMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:CommodityContractMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2020-03-31 0000007084 us-gaap:NondesignatedMember 2020-03-31 0000007084 us-gaap:NondesignatedMember 2019-12-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CostOfSalesMember 2020-01-01 2020-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:InterestExpenseMember 2020-01-01 2020-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:OtherNonoperatingIncomeExpenseMember 2019-01-01 2019-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:OtherNonoperatingIncomeExpenseMember 2020-01-01 2020-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember 2019-01-01 2019-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:SalesMember 2019-01-01 2019-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:InterestExpenseMember 2019-01-01 2019-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:SalesMember 2020-01-01 2020-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember 2020-01-01 2020-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember us-gaap:CostOfSalesMember 2019-01-01 2019-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember 2020-03-31 0000007084 us-gaap:DesignatedAsHedgingInstrumentMember 2019-12-31 0000007084 us-gaap:NondesignatedMember us-gaap:SalesMember 2019-01-01 2019-03-31 0000007084 us-gaap:NondesignatedMember us-gaap:CostOfSalesMember 2019-01-01 2019-03-31 0000007084 us-gaap:NondesignatedMember us-gaap:CostOfSalesMember 2020-01-01 2020-03-31 0000007084 us-gaap:NondesignatedMember 2020-01-01 2020-03-31 0000007084 us-gaap:NondesignatedMember us-gaap:OtherNonoperatingIncomeExpenseMember 2019-01-01 2019-03-31 0000007084 us-gaap:NondesignatedMember us-gaap:OtherNonoperatingIncomeExpenseMember 2020-01-01 2020-03-31 0000007084 us-gaap:NondesignatedMember 2019-01-01 2019-03-31 0000007084 us-gaap:NondesignatedMember us-gaap:SalesMember 2020-01-01 2020-03-31 0000007084 us-gaap:InterestRateSwapMember us-gaap:FairValueHedgingMember 2020-03-31 0000007084 us-gaap:NetInvestmentHedgingMember 2019-12-31 0000007084 srt:MaximumMember adm:EthanolMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-03-31 0000007084 2019-01-01 2019-12-31 0000007084 srt:MinimumMember adm:EthanolMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-03-31 0000007084 adm:EthanolMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-03-31 0000007084 us-gaap:InterestRateSwapMember us-gaap:CashFlowHedgingMember 2020-03-31 0000007084 srt:MinimumMember adm:SoybeanMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-03-31 0000007084 srt:MinimumMember adm:CornMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-03-31 0000007084 srt:MaximumMember adm:CornMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-03-31 0000007084 srt:MaximumMember adm:SoybeanMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-03-31 0000007084 us-gaap:ForeignExchangeForwardMember us-gaap:NetInvestmentHedgingMember 2020-03-31 0000007084 us-gaap:CurrencySwapMember us-gaap:NetInvestmentHedgingMember 2020-03-31 0000007084 adm:SoybeanMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-01-01 2020-03-31 0000007084 us-gaap:InterestRateSwapMember us-gaap:FairValueHedgingMember 2019-12-31 0000007084 adm:EthanolMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-01-01 2020-03-31 0000007084 adm:CornMember us-gaap:DesignatedAsHedgingInstrumentMember 2020-01-01 2020-03-31 0000007084 us-gaap:NetInvestmentHedgingMember 2020-03-31 0000007084 us-gaap:CurrencySwapMember 2019-12-31 0000007084 us-gaap:CommercialPaperMember 2020-03-31 0000007084 adm:NotesThreePointTwentyFivePercentDuein2030Member 2020-03-27 0000007084 adm:NotesThreePointTwentyFivePercentDuein2030Member 2020-03-27 2020-03-27 0000007084 adm:NotesTwoPointSeventyFivePercentDuein2025Member 2020-03-27 2020-03-27 0000007084 adm:NotesTwoPointSeventyFivePercentDuein2025Member 2020-03-27 0000007084 us-gaap:LineOfCreditMember 2020-03-31 0000007084 adm:AccountsReceivableSecuritizationFacilityMember 2020-03-31 0000007084 2020-03-27 2020-03-27 0000007084 adm:ArgentineTaxAuthoritiesMember 2020-03-31 0000007084 us-gaap:SecretariatOfTheFederalRevenueBureauOfBrazilMember 2020-03-31 0000007084 us-gaap:TaxAndCustomsAdministrationNetherlandsMember 2020-03-31 0000007084 srt:MaximumMember 2020-03-31 0000007084 srt:MinimumMember 2020-03-31 0000007084 us-gaap:AccumulatedTranslationAdjustmentMember 2020-01-01 2020-03-31 0000007084 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2020-01-01 2020-03-31 0000007084 us-gaap:AccumulatedTranslationAdjustmentMember 2020-03-31 0000007084 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-01-01 2020-03-31 0000007084 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-12-31 0000007084 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2020-03-31 0000007084 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2020-03-31 0000007084 us-gaap:AccumulatedTranslationAdjustmentMember 2019-12-31 0000007084 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2020-01-01 2020-03-31 0000007084 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-03-31 0000007084 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-12-31 0000007084 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-12-31 0000007084 us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-01-01 2019-03-31 0000007084 us-gaap:NonoperatingIncomeExpenseMember us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2020-01-01 2020-03-31 0000007084 us-gaap:CostOfSalesMember us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-01-01 2019-03-31 0000007084 us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-01-01 2019-03-31 0000007084 us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2020-01-01 2020-03-31 0000007084 us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-01-01 2020-03-31 0000007084 us-gaap:NonoperatingIncomeExpenseMember us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-01-01 2020-03-31 0000007084 us-gaap:SalesMember us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-01-01 2020-03-31 0000007084 us-gaap:CostOfSalesMember us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-01-01 2020-03-31 0000007084 us-gaap:NonoperatingIncomeExpenseMember us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-01-01 2019-03-31 0000007084 us-gaap:NonoperatingIncomeExpenseMember us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-01-01 2019-03-31 0000007084 us-gaap:SalesMember us-gaap:ReclassificationOutOfAccumulatedOtherComprehensiveIncomeMember us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-01-01 2019-03-31 0000007084 us-gaap:NonoperatingIncomeExpenseMember us-gaap:MaterialReconcilingItemsMember 2019-01-01 2019-03-31 0000007084 us-gaap:OperatingSegmentsMember us-gaap:AllOtherSegmentsMember 2020-01-01 2020-03-31 0000007084 us-gaap:IntersegmentEliminationMember adm:CarbohydrateSolutionsMember 2020-01-01 2020-03-31 0000007084 us-gaap:IntersegmentEliminationMember 2019-01-01 2019-03-31 0000007084 us-gaap:OperatingSegmentsMember adm:AgServicesandOilseedsMember 2019-01-01 2019-03-31 0000007084 us-gaap:IntersegmentEliminationMember adm:AgServicesandOilseedsMember 2019-01-01 2019-03-31 0000007084 us-gaap:OperatingSegmentsMember adm:CarbohydrateSolutionsMember 2020-01-01 2020-03-31 0000007084 us-gaap:IntersegmentEliminationMember adm:NutritionMember 2019-01-01 2019-03-31 0000007084 adm:AssetimpairmentrestructuringandsettlementMember us-gaap:MaterialReconcilingItemsMember 2020-01-01 2020-03-31 0000007084 us-gaap:NonoperatingIncomeExpenseMember us-gaap:MaterialReconcilingItemsMember 2020-01-01 2020-03-31 0000007084 us-gaap:CorporateNonSegmentMember 2019-01-01 2019-03-31 0000007084 us-gaap:OperatingSegmentsMember adm:AgServicesandOilseedsMember 2020-01-01 2020-03-31 0000007084 us-gaap:IntersegmentEliminationMember 2020-01-01 2020-03-31 0000007084 adm:AggregateSegmentMember 2019-01-01 2019-03-31 0000007084 us-gaap:IntersegmentEliminationMember adm:NutritionMember 2020-01-01 2020-03-31 0000007084 adm:HumanNutritionMember 2019-01-01 2019-03-31 0000007084 us-gaap:OperatingSegmentsMember adm:CarbohydrateSolutionsMember 2019-01-01 2019-03-31 0000007084 us-gaap:OperatingSegmentsMember us-gaap:AllOtherSegmentsMember 2019-01-01 2019-03-31 0000007084 adm:AssetimpairmentrestructuringandsettlementMember us-gaap:MaterialReconcilingItemsMember 2019-01-01 2019-03-31 0000007084 adm:HumanNutritionMember 2020-01-01 2020-03-31 0000007084 us-gaap:CorporateNonSegmentMember 2020-01-01 2020-03-31 0000007084 us-gaap:IntersegmentEliminationMember adm:AgServicesandOilseedsMember 2020-01-01 2020-03-31 0000007084 adm:AggregateSegmentMember 2020-01-01 2020-03-31 0000007084 us-gaap:OperatingSegmentsMember adm:NutritionMember 2019-01-01 2019-03-31 0000007084 us-gaap:OperatingSegmentsMember adm:NutritionMember 2020-01-01 2020-03-31 0000007084 us-gaap:IntersegmentEliminationMember adm:CarbohydrateSolutionsMember 2019-01-01 2019-03-31 0000007084 adm:AccountsReceivableSecuritizationFacilityMember adm:SecondPurchasersMember 2020-03-31 0000007084 adm:AccountsReceivableSecuritizationFacilityMember adm:FirstPurchasersMember 2020-03-31 xbrli:pure utreg:bu iso4217:USD utreg:gal xbrli:shares iso4217:USD xbrli:shares iso4217:EUR adm:assessment adm:segment


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C.  20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2020
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from __________ to __________
Commission file number 1-44

admlogoprimaryrgb.jpg

ARCHER-DANIELS-MIDLAND COMPANY
(Exact name of registrant as specified in its charter)
Delaware
 
41-0129150
(State or other jurisdiction of incorporation or organization)
 
(I. R. S. Employer Identification No.)
 
 
 
 
77 West Wacker Drive, Suite 4600
 
 
Chicago,
Illinois
 
 60601
(Address of principal executive offices)
 
(Zip Code)
(312) 634-8100
(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading Symbol(s)
Name of each exchange on which registered
Common Stock, no par value
ADM
NYSE
1.000% Notes due 2025
 
NYSE
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.         Yes    No .
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes    No  .
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company.  See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large Accelerated Filer
Accelerated Filer
Emerging Growth Company
Non-accelerated Filer
Smaller Reporting Company
 
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.



Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes    No  .
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.
Common Stock, no par value – 555,496,210 shares
(April 30, 2020)

SAFE HARBOR STATEMENT

This Form 10-Q contains forward-looking information within the meaning of the Private Securities Litigation Reform Act of 1995 that is subject to risks and uncertainties that could cause actual results to differ materially from those projected, expressed, or implied by such forward-looking information.  Risks and uncertainties that could cause or contribute to such differences include, but are not limited to, those discussed in Item 1A, “Risk Factors” included in our Annual Report on Form 10-K for the year ended December 31, 2019, as may be updated in our subsequent Quarterly Reports on Form 10-Q. To the extent permitted under applicable law, the Company assumes no obligation to update any forward-looking statements as a result of new information or future events.






PART I - FINANCIAL INFORMATION
ITEM 1.
FINANCIAL STATEMENTS
Archer-Daniels-Midland Company

Consolidated Statements of Earnings
(Unaudited)
 
Three Months Ended
March 31,
 
2020
 
2019
 
(In millions, except per share amounts)
 
 
 
 
Revenues
$
14,970

 
$
15,304

Cost of products sold
14,019

 
14,376

Gross Profit
951

 
928

 
 
 
 
Selling, general, and administrative expenses
664

 
659

Asset impairment, exit, and restructuring costs
41

 
11

Interest expense
83

 
101

Equity in (earnings) losses of unconsolidated affiliates
(140
)
 
(101
)
Interest income
(40
)
 
(49
)
Other (income) expense – net
(32
)
 
(8
)
Earnings Before Income Taxes
375

 
315

 
 
 
 
Income tax (benefit) expense
(16
)
 
81

Net Earnings Including Noncontrolling Interests
391

 
234

 
 
 
 
Less: Net earnings attributable to noncontrolling interests

 
1

 
 
 
 
Net Earnings Attributable to Controlling Interests
$
391

 
$
233

 
 
 
 
Average number of shares outstanding – basic
563

 
565

 
 
 
 
Average number of shares outstanding – diluted
564

 
566

 
 
 
 
Basic earnings per common share
$
0.69

 
$
0.41

 
 
 
 
Diluted earnings per common share
$
0.69

 
$
0.41

 
 
 
 
Dividends per common share
$
0.36

 
$
0.35


See notes to consolidated financial statements.




3




Archer-Daniels-Midland Company

Consolidated Statements of Comprehensive Income (Loss)
(Unaudited)
 
Three Months Ended
March 31,
 
2020
 
2019
 
(In millions)
 
 
 
 
Net earnings including noncontrolling interests
$
391

 
$
234

Other comprehensive income (loss):
 
 
 
Foreign currency translation adjustment
(241
)
 
(79
)
Tax effect
(42
)
 
(10
)
Net of tax amount
(283
)
 
(89
)
 
 
 
 
Pension and other postretirement benefit liabilities adjustment
4

 
7

Tax effect
(12
)
 
13

Net of tax amount
(8
)
 
20

 
 
 
 
Deferred gain (loss) on hedging activities
(82
)
 
(77
)
Tax effect
14

 
12

Net of tax amount
(68
)
 
(65
)
 
 
 
 
Unrealized gain (loss) on investments
6

 
(2
)
Tax effect
(2
)
 

Net of tax amount
4

 
(2
)
Other comprehensive income (loss)
(355
)
 
(136
)
Comprehensive income (loss) including noncontrolling interests
36

 
98

 
 
 
 
Less: Comprehensive income (loss) attributable to noncontrolling interests
4

 
1

 
 
 
 
Comprehensive income (loss) attributable to controlling interests
$
32

 
$
97


See notes to consolidated financial statements.





4




Archer-Daniels-Midland Company

Consolidated Balance Sheets
(In millions)
March 31, 2020
 
December 31, 2019
 
(Unaudited)
 
 
Assets
 
 
 
Current Assets
 
 
 
Cash and cash equivalents
$
4,734

 
$
852

Segregated cash and investments
5,098

 
4,458

Trade receivables
2,437

 
2,267

Inventories
8,830

 
9,170

Other current assets
5,047

 
4,600

Total Current Assets
26,146

 
21,347

 
 
 
 
Investments and Other Assets
 

 
 

Investments in and advances to affiliates
5,143

 
5,132

Goodwill and other intangible assets
5,194

 
5,476

Other assets
2,029

 
1,936

Total Investments and Other Assets
12,366

 
12,544

 
 
 
 
Property, Plant, and Equipment
 

 
 

Land and land improvements
585

 
592

Buildings
5,339

 
5,381

Machinery and equipment
18,934

 
19,005

Construction in progress
951

 
1,021

 
25,809

 
25,999

Accumulated depreciation
(15,926
)
 
(15,893
)
Net Property, Plant, and Equipment
9,883

 
10,106

Total Assets
$
48,395

 
$
43,997

 
 
 
 
Liabilities, Temporary Equity, and Shareholders’ Equity
 

 
 

Current Liabilities
 

 
 

Short-term debt
$
3,382

 
$
1,202

Trade payables
3,440

 
3,746

Payables to brokerage customers
5,778

 
5,022

Accrued expenses and other payables
4,209

 
3,757

Current maturities of long-term debt
508

 
7

Total Current Liabilities
17,317

 
13,734

 
 
 
 
Long-Term Liabilities
 

 
 

Long-term debt
8,613

 
7,672

Deferred income taxes
1,347

 
1,194

Other
2,071

 
2,114

Total Long-Term Liabilities
12,031

 
10,980

 
 
 
 
Temporary Equity - Redeemable noncontrolling interest
71

 
58

 
 
 
 
Shareholders’ Equity
 

 
 

Common stock
2,690

 
2,655

Reinvested earnings
19,026

 
18,958

Accumulated other comprehensive income (loss)
(2,764
)
 
(2,405
)
Noncontrolling interests
24

 
17

Total Shareholders’ Equity
18,976

 
19,225

Total Liabilities, Temporary Equity, and Shareholders’ Equity
$
48,395

 
$
43,997

 
 
 
 
See notes to consolidated financial statements.

5




Archer-Daniels-Midland Company

Consolidated Statements of Cash Flows
(Unaudited)
(In millions)
Three Months Ended
March 31,
 
2020
 
2019
Operating Activities
 
 
 
Net earnings including noncontrolling interests
$
391

 
$
234

Adjustments to reconcile net earnings to net cash provided by (used in) operating activities
 

 
 

Depreciation and amortization
245

 
245

Asset impairment charges
44

 
9

Deferred income taxes
64

 
39

Equity in earnings of affiliates, net of dividends
(115
)
 
(4
)
Stock compensation expense
51

 
43

Deferred cash flow hedges
(82
)
 
(77
)
Gains on sales of assets and businesses

 
(15
)
Other – net
241

 
(8
)
Changes in operating assets and liabilities
 

 
 

Segregated investments
17

 
28

Trade receivables
(251
)
 
34

Inventories
182

 
166

Deferred consideration in securitized receivables
(2,045
)
 
(1,778
)
Other current assets
(436
)
 
(495
)
Trade payables
(260
)
 
(260
)
Payables to brokerage customers
811

 
(27
)
Accrued expenses and other payables
488

 
(169
)
Total Operating Activities
(655
)
 
(2,035
)
 
 
 
 
Investing Activities
 

 
 

Purchases of property, plant, and equipment
(194
)
 
(198
)
Proceeds from sales of business and assets
7

 
18

Net assets of businesses acquired
(8
)
 
(1,876
)
Proceeds from sales of marketable securities
5

 
50

Investments in and advances to affiliates
(3
)
 
(9
)
Investments in retained interest in securitized receivables
(1,271
)
 
(1,313
)
Proceeds from retained interest in securitized receivables
3,316

 
3,091

Other – net
1

 
(34
)
Total Investing Activities
1,853

 
(271
)
 
 
 
 
Financing Activities
 

 
 

Long-term debt borrowings
1,481

 

Long-term debt payments
(1
)
 
(4
)
Net borrowings (payments) under lines of credit agreements
2,188

 
1,309

Share repurchases
(112
)
 

Cash dividends
(203
)
 
(198
)
Other – net
(11
)
 
(42
)
Total Financing Activities
3,342

 
1,065

 
 
 
 
Increase (decrease) in cash, cash equivalents, restricted cash, and restricted cash equivalents
4,540

 
(1,241
)
Cash, cash equivalents, restricted cash, and restricted cash equivalents - beginning of period
2,990

 
3,843

Cash, cash equivalents, restricted cash, and restricted cash equivalents - end of period
$
7,530

 
$
2,602

 
 
 
 
Reconciliation of cash, cash equivalents, restricted cash, and restricted cash equivalents to the consolidated balance sheets
 
 
 
 
 
 
 
Cash and cash equivalents
$
4,734

 
$
926

Restricted cash and restricted cash equivalents included in segregated cash and investments
2,796

 
1,676

Total cash, cash equivalents, restricted cash, and restricted cash equivalents
$
7,530

 
$
2,602

 
 
 
 
Supplemental Disclosure of Noncash Investing Activity:
 
 
 
Retained interest in securitized receivables
$
2,105

 
$
1,831


See notes to consolidated financial statements.

6




Archer-Daniels-Midland-Company

Consolidated Statements of Shareholders’ Equity
(Unaudited)
 
Common Stock
 
Reinvested
Earnings
 
Accumulated
Other
Comprehensive
Income (Loss)
 
Noncontrolling
Interests
 
Total
Shareholders’
Equity
(In millions, except per share amounts)
Shares
 
Amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance, December 31, 2019
557

 
$
2,655

 
$
18,958

 
$
(2,405
)
 
$
17

 
$
19,225

Impact of ASC 326 (see Note 2)
 
 
 
 
(8
)
 
 
 
 
 
(8
)
Balance, January 1, 2020
557

 
$
2,655

 
$
18,950

 
$
(2,405
)
 
$
17

 
$
19,217

Comprehensive income
 

 
 

 
 

 
 

 
 

 
 

Net earnings
 
 
 

 
391

 
 

 

 
 

Other comprehensive income (loss)
 

 
 

 
 

 
(359
)
 
4

 
 

Total comprehensive income
 

 
 

 
 

 
 

 
 

 
36

Dividends paid - $0.36 per share
 

 
 

 
(203
)
 
 

 
 

 
(203
)
Share repurchases
(3
)
 
 
 
(112
)
 
 
 
 
 
(112
)
Stock compensation expense
1

 
51

 
 

 
 

 
 

 
51

Other


 
(16
)
 

 


 
3

 
(13
)
Balance, March 31, 2020
555

 
$
2,690

 
$
19,026

 
$
(2,764
)
 
$
24

 
$
18,976

 
 
 
 
 
 
 
 
 
 
 
 
Balance, December 31, 2018
559

 
$
2,560

 
$
18,527

 
$
(2,106
)
 
$
15

 
$
18,996

Comprehensive income
 

 
 

 
 

 
 

 
 

 
 

Net earnings
 
 
 

 
233

 
 

 
1

 
 

Other comprehensive income (loss)
 

 
 

 
 

 
(136
)
 

 
 

Total comprehensive income
 

 
 

 
 

 
 

 
 

 
98

Dividends paid - $0.35 per share
 

 
 

 
(198
)
 
 

 
 

 
(198
)
Stock compensation expense
1

 
43

 
 

 
 

 
 

 
43

Other

 
(19
)
 
(9
)
 

 
(1
)
 
(29
)
Balance, March 31, 2019
560

 
$
2,584

 
$
18,553

 
$
(2,242
)
 
$
15

 
$
18,910

 
 
 
 
 
 
 
 
 
 
 
 
See notes to consolidated financial statements.

7




Archer-Daniels-Midland Company

Notes to Consolidated Financial Statements
(Unaudited)
Note 1.
Basis of Presentation

The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these statements do not include all of the information and footnotes required by generally accepted accounting principles for audited financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three months ended March 31, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020.  For further information, refer to the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019.

Principles of Consolidation

The consolidated financial statements include the accounts of the Company and its subsidiaries.  All significant intercompany accounts and transactions have been eliminated.  The Company consolidates all entities, including variable interest entities (VIEs), in which it has a controlling financial interest. For VIEs, the Company assesses whether it is the primary beneficiary as defined under the applicable accounting standard. Investments in affiliates, including VIEs through which the Company exercises significant influence but does not control the investee and is not the primary beneficiary of the investee’s activities, are carried at cost plus equity in undistributed earnings since acquisition and are adjusted, where appropriate, for basis differences between the investment balance and the underlying net assets of the investee.  The Company’s portion of the results of certain affiliates and results of certain VIEs are included using the most recent available financial statements.  In each case, the financial statements are within 93 days of the Company’s year end and are consistent from period to period.

Reclassifications

Effective January 1, 2020, the Company started reporting its newly created dry mill ethanol subsidiary, Vantage Corn Processors (VCP), as a sub-segment within the Carbohydrate Solutions segment. VCP replaces the Bioproducts sub-segment which included the combined results of the Company’s corn dry and wet mill ethanol operations. The wet mill ethanol operations that were previously reported in Bioproducts are now included in the Starches and Sweeteners sub-segment. In addition to dry mill ethanol production, VCP will sell/broker ADM’s wet mill ethanol production as the sole marketer of ethanol produced at the Company’s facilities. The change does not have an impact on the total results of the Carbohydrate Solutions segment.

Effective July 1, 2019, the Company changed its segment reporting to reflect the creation of the combined Ag Services and Oilseeds segment. The former Origination and Oilseeds businesses were merged into a combined Ag Services and Oilseeds segment which enables the Company to better respond to market changes by integrating the supply and value chains and risk management, while delivering significant simplification and efficiency to the day-to-day business. As part of the Company’s efforts for a streamlined management structure, the combined segment is led by the former President of Oilseeds expanding his role to President of Ag Services and Oilseeds.

Prior period information in Notes 4 and 14 has been reclassified to conform to the current period segment presentation.

Segregated Cash and Investments

The Company segregates certain cash, cash equivalents, and investment balances in accordance with regulatory requirements, commodity exchange requirements, and insurance arrangements. These balances represent deposits received from customers of the Company’s registered futures commission merchant and commodity brokerage services, cash margins and securities pledged to commodity exchange clearinghouses, and cash pledged as security under certain insurance arrangements. Segregated cash and investments also include restricted cash collateral for the various insurance programs of the Company’s captive insurance business. To the degree these segregated balances are comprised of cash and cash equivalents, they are considered restricted cash and cash equivalents on the statement of cash flows.





8

Archer-Daniels-Midland Company

Notes to Consolidated Financial Statements (Continued)
(Unaudited)

Note 1.
Basis of Presentation (Continued)

Receivables

The Company records accounts receivable at net realizable value.  This value includes an allowance for estimated uncollectible accounts of $112 million and $110 million at March 31, 2020 and December 31, 2019, respectively, to reflect any loss anticipated on the accounts receivable balances including any accrued interest receivables thereon. Portions of this allowance are recorded in trade receivables, other current assets, and other assets. Long-term receivables recorded in other assets were not material to the Company’s overall receivables portfolio.

Effective January 1, 2020, the Company adopted Accounting Standards Codification (ASC) Topic 326, Financial Instruments - Credit Losses (Topic 326), and developed a new methodology for estimating uncollectible accounts. Under this methodology, receivables are pooled according to type, region, credit risk rating, and age. Each pool is assigned an expected loss co-efficient to arrive at a general reserve based on historical write-offs adjusted, as needed, for regional, economic, and other forward-looking factors. The Company minimizes credit risk due to the large and diversified nature of its worldwide customer base. ADM manages its exposure to counter-party credit risk through credit analysis and approvals, credit limits, and monitoring procedures.

The Company recorded bad debt expense in selling, general, and administrative expenses of $11 million in the three months ended March 31, 2020. There was no bad debt expense recorded in the three months ended March 31, 2019.

Inventory Valuation

Effective January 1, 2020, the Company changed the method of accounting for certain of its agricultural commodity inventories from the last-in, first-out (LIFO) method to market value in the Ag Services and Oilseeds segment. As of December 31, 2019, inventories accounted for using LIFO at the lower of cost or net realizable value represented approximately 10% of consolidated inventories. The Company believes market value is preferable because it: (i) conforms to the inventory valuation methodology used for the majority of ADM’s agricultural commodity inventories; (ii) enhances the matching of inventory costs with revenues and better reflects the current cost of inventory on the Company’s balance sheet; and (iii) provides better comparability with the Company’s peers.

The Company concluded that the accounting change does not have a material effect on prior periods’ financial statements and elected not to apply the change on a retrospective basis. As a result, the Company recorded a reduction in cost of products sold of $91 million ($69 million after tax, equal to $0.12 per diluted share) for the cumulative effect of the change in the three months ended March 31, 2020 with no impact to the statement of cash flows. The Company does not expect the change to have a material impact on its results for the year ending December 31, 2020.

If the Company had not made the accounting change, the effect of LIFO valuation on ADM’s operating results would have been a reduction in cost of products sold of $44 million ($33 million after tax, equal to $0.06 per diluted share) in the three months ended March 31, 2020 with no impact to the statement of cash flows.
 
Note 2.
New Accounting Standards

Effective January 1, 2020, the Company adopted the amended guidance of Topic 326, which is intended to improve financial reporting by requiring more timely recording of credit losses on loans and other financial instruments held by financial institutions and other organizations. The amended guidance replaces the prior “incurred loss” approach with an “expected loss” model and requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. The Company was required to adopt the amended guidance on a modified retrospective basis through a cumulative effect adjustment to retained earnings as of the beginning of the period of adoption. The Company evaluated its current methodology of estimating allowance for doubtful accounts and the risk profile of its receivable portfolio and developed a model that includes the qualitative and forecasting aspects of the “expected loss” model under the amended guidance. The Company finalized its assessment of the impact of the amended guidance and recorded a $8 million cumulative effect adjustment to retained earnings at January 1, 2020. For more information about the Company’s receivables, see Note 1.

Effective January 1, 2020, the Company adopted the amended guidance of ASC Topic 820, Fair Value Measurement, which modifies the disclosure requirements on fair value measurements. The adoption of this amended guidance did not impact the Company’s financial results.

9


Archer-Daniels-Midland Company

Notes to Consolidated Financial Statements (Continued)
(Unaudited)

Note 3.
Pending Accounting Standards

Effective December 31, 2020, the Company will be required to adopt the amended guidance of ASC Subtopic 715-20, Compensation - Retirement Benefits - Defined Benefit Plans - General, which modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. Early adoption is permitted. The adoption of this amended guidance will not impact the Company’s financial results.

Effective January 1, 2021, the Company will be required to adopt the amended guidance of ASC Topic 740, Income Taxes (Topic 740), which simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The amendments also improve consistent application of and simplify other areas of Topic 740. Early adoption is permitted. The Company has not yet completed its assessment of the impact of the amended guidance on the consolidated financial statements but does not expect the adoption of the amendments to have a significant impact on its financial results.

Through December 31, 2022, the Company has the option to adopt the amended guidance of ASC Topic 848, Reference Rate Reform, which provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The expedients and exceptions provided by the amended guidance do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, except for hedging relationships existing as of December 31, 2022, that an entity has elected certain optional expedients for and that are retained through the end of the hedging relationship.  The Company plans to adopt the expedients and exceptions provided by the amended guidance before the December 31, 2022 expiry date but has not yet completed its assessment of the impact on the consolidated financial statements.

Note 4.
Revenues

Revenue Recognition

The Company principally generates revenue from merchandising and transporting agricultural commodities and manufactured products used as ingredients in food, feed, energy, and industrial products. Revenue is measured based on the consideration specified in the contract with a customer, and excludes any sales incentives and amounts collected on behalf of third parties. The Company follows a policy of recognizing revenue at a single point in time when it satisfies its performance obligation by transferring control over a product or service to a customer. The majority of the Company’s contracts with customers have one performance obligation and a contract duration of one year or less. The Company applies the practical expedient in paragraph 10-50-14 of ASC 606, Revenue from Contracts with Customers (“Topic 606”) and does not disclose information about remaining performance obligations that have original expected durations of one year or less. For transportation service contracts, the Company recognizes revenue over time as the barge, ocean-going vessel, truck, rail, or container freight moves towards its destination in accordance with the transfer of control guidance of Topic 606. The Company recognized revenue from transportation service contracts of $117 million and $115 million for the three months ended March 31, 2020 and 2019, respectively. For physically settled derivative sales contracts that are outside the scope of Topic 606, the Company recognizes revenue when control of the inventory is transferred within the meaning of Topic 606 as required by ASC 610-20, Gains and Losses from the Derecognition of Nonfinancial Assets (“Topic 610-20”).
Shipping and Handling Costs

Shipping and handling costs related to contracts with customers for the sale of goods are accounted for as a fulfillment activity and are included in cost of products sold. Accordingly, amounts billed to customers for such costs are included as a component of revenues.
Taxes Collected from Customers and Remitted to Governmental Authorities
The Company does not include taxes assessed by governmental authorities that are (i) imposed on and concurrent with a specific revenue-producing transaction and (ii) collected from customers, in the measurement of transactions prices or as a component of revenues and cost of products sold.




10

Archer-Daniels-Midland Company

Notes to Consolidated Financial Statements (Continued)
(Unaudited)

Note 4.
Revenues (Continued)


Contract Liabilities

Contract liabilities relate to advance payments from customers for goods and services that the Company has yet to provide. Contract liabilities of $512 million and $604 million as of March 31, 2020 and December 31, 2019, respectively, were recorded in accrued expenses and other payables in the consolidated balance sheets. Contract liabilities recognized as revenues for the three months ended March 31, 2020 and 2019 were $282 million and $166 million, respectively.

Disaggregation of Revenues

The following tables present revenue disaggregated by timing of recognition and major product lines for the three months ended March 31, 2020 and 2019.

 
Three Months Ended March 31, 2020
 
Topic 606 Revenue
Topic 815(1)
Total
 
Point in Time
Over Time
Total
Revenue
Revenues
 
(In millions)
Ag Services and Oilseeds
 
 
 
 
 
Ag Services
$
851

$
117

$
968

$
5,958

$
6,926

Crushing
180


180

2,133

2,313

Refined Products and Other
518


518

1,322

1,840

Total Ag Services and Oilseeds
1,549

117

1,666

9,413

11,079

Carbohydrate Solutions
 
 
 
 
 
Starches and Sweeteners
1,240


1,240

410

1,650

Vantage Corn Processors
666


666


666

Total Carbohydrate Solutions
1,906


1,906

410

2,316

Nutrition
 
 
 
 
 
Human Nutrition
719


719


719

Animal Nutrition
752


752


752

Total Nutrition
1,471


1,471


1,471

 
 
 
 
 
 
Other Business
104


104


104

Total Revenues
$
5,030

$
117

$
5,147

$
9,823

$
14,970


 
 
 
 
 
 











11

Archer-Daniels-Midland Company

Notes to Consolidated Financial Statements (Continued)
(Unaudited)

Note 4.
Revenues (Continued)


 
Three Months Ended March 31, 2019
 
Topic 606 Revenue
Topic 815(1)
Total
 
Point in Time
Over Time
Total
Revenue
Revenues
 
(In millions)
Ag Services and Oilseeds
 
 
 
 
 
Ag Services
$
592

$
115

$
707

$
6,670

$
7,377

Crushing
171


171

2,178

2,349

Refined Products and Other
512


512

1,300

1,812

Total Ag Services and Oilseeds
1,275

115

1,390

10,148

11,538

Carbohydrate Solutions
 
 
 
 
 
Starches and Sweeteners
1,175


1,175

423

1,598

Vantage Corn Processors
805


805


805

Total Carbohydrate Solutions
1,980


1,980

423

2,403

Nutrition
 
 
 
 
 
Human Nutrition
674


674


674

Animal Nutrition
608


608


608

Total Nutrition
1,282


1,282


1,282

 
 
 
 
 
 
Other Business
81


81


81

Total Revenues
$
4,618

$
115

$
4,733

$
10,571

$
15,304

 
 
 
 
 
 

(1) Topic 815 revenue relates to the physical delivery or the settlement of the Company’s sales contracts that are accounted for as derivatives and are outside the scope of Topic 606.

Ag Services and Oilseeds

The Ag Services and Oilseeds segment generates revenue from the sale of commodities, from service fees for the transportation of goods, and from the sale of products manufactured in its global processing facilities. Revenue is measured based on the consideration specified in the contract and excludes any sales incentives and amounts collected on behalf of third parties. Revenue is recognized when a performance obligation is satisfied by transferring control over a product or providing service to a customer. For transportation service contracts, the Company recognizes revenue over time as the barge, ocean-going vessel, truck, rail, or container freight moves towards its destination in accordance with the transfer of control guidance of Topic 606. The amount of revenue recognized follows the contractually specified price which may include freight or other contractually specified cost components. For physically settled derivative sales contracts that are outside the scope of Topic 606, the Company recognizes revenue when control of the inventory is transferred within the meaning of Topic 606 as required by Topic 610-20.

Carbohydrate Solutions

The Carbohydrate Solutions segment generates revenue from the sale of products manufactured at the Company’s global corn and wheat milling facilities around the world. Revenue is recognized when control over products is transferred to the customer. Products are shipped to customers from the Company’s various facilities and from its network of storage terminals. The amount of revenue recognized is based on the consideration specified in the contract which could include freight and other costs depending on the specific shipping terms of each contract. For physically settled derivative sales contracts that are outside the scope of Topic 606, the Company recognizes revenue when control of the inventory is transferred within the meaning of Topic 606 as required by Topic 610-20.





12

Archer-Daniels-Midland Company

Notes to Consolidated Financial Statements (Continued)
(Unaudited)

Note 4.
Revenues (Continued)


Nutrition

The Nutrition segment sells specialty products including natural flavor ingredients, flavor systems, natural colors, animal nutrition products, and other specialty food and feed ingredients. Revenue is recognized when control over products is transferred to the customer. The amount of revenue recognized follows the contracted price or the mutually agreed price of the product. Freight and shipping are recognized as a component of revenue at the same time control transfers to the customer.

Other Business

Other Business includes the Company’s futures commission business whose primary sources of revenue are commissions and brokerage income generated from executing orders and clearing futures contracts and options on futures contracts on behalf of its customers. Commissions and brokerage revenue are recognized on the date the transaction is executed. Other also includes the Company’s captive insurance business which generates third party revenue through its proportionate share of premiums from third-party reinsurance pools. Reinsurance premiums are recognized on a straight-line basis over the period underlying the policy.

Note 5.
Fair Value Measurements

The following tables set forth, by level, the Company’s assets and liabilities that were accounted for at fair value on a recurring basis as of March 31, 2020 and December 31, 2019.
 
Fair Value Measurements at March 31, 2020
 

Quoted Prices in
 Active Markets
 for Identical
 Assets
 (Level 1)
 
Significant
 Other
 Observable
 Inputs
 (Level 2)
 
Significant 
Unobservable
Inputs
(Level 3)
 
Total
 
(In millions)
 
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
Inventories carried at market
$

 
$
3,642

 
$
1,938

 
$
5,580

Unrealized derivative gains:
 
 
 
 
 
 
 
Commodity contracts

 
482

 
391

 
873

Foreign currency contracts

 
439

 

 
439

Interest rate contracts

 
14

 

 
14

Cash equivalents
3,381

 

 

 
3,381

Marketable securities
2

 

 

 
2

Segregated investments
765

 

 

 
765

Deferred receivables consideration

 
496

 

 
496

Total Assets
$
4,148

 
$
5,073

 
$
2,329

 
$
11,550

 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
Unrealized derivative losses:
 
 
 
 
 
 
 
Commodity contracts
$

 
$
480

 
$