AGCO, a company that designs, manufactures, and distributes agricultural solutions, recently reported its net global sales of approximately $3.2 billion for the fourth quarter of 2021.
The company increased earnings approximately 16.1% compared to the fourth quarter of 2020, according to a Feb. 8 report published by Business Wire.
“AGCO delivered record results in 2021 highlighted by significantly higher sales and margins compared to 2020,” Eric Hansotia, AGCO’s chairman, president and CEO, said in the report. “Our performance was fueled by improved global industry demand and focused execution by the AGCO team, who exceeded sales targets despite considerable supply chain challenges.”
Adjusted operating margins reached 9.1% of net sales due to the benefits of sales growth and pricing that helped to offset substantial inflationary cost pressures, Hansotia added.
“Our smart technology product lines are in strong demand and are driving productivity improvements for our customers and growth opportunities for AGCO," he said in the report.
The company’s net sales for 2021 were approximately $11.1 billion, an increase of approximately 21.7% compared to 2020, Business Wire reported.
In other fourth-quarter highlights, AGCO achieved a 51.6% advantage in sales in South America, 4.3% in Europe, and 15% in Asia, the report stated. It also generated approximately $683 million in cash flow operations and approximately $413 million in free cash flow in 2021.
AGCO’s net sales for 2022 are expected to exceed $12 billion, according to the report.