Archer-Daniels-Midland Co ADM · USD

Segment and Geographic InformationThe Company’s operations are organized, managed, and classified into three reportable business segments: Ag Services and Oilseeds, Carbohydrate Solutions, and Nutrition. Each of these segments is organized based upon the nature of products and services offered. The Company’s remaining operations are not reportable segments, as defined by the applicable accounting standard, and are classified within either Corporate or Other Business. The reportable segments have been identified based on financial data utilized by the Chief Operating Decision Maker (CODM), which is the Company’s Chief Executive Officer, who is also the Company’s Chair of the Board. The CODM uses segment operating profit as the measurement of segment profit or loss. Separate financial information for the Company’s three reportable segments is evaluated by the CODM on a monthly basis to allocate resources and assess performance. The CODM does not use total assets by segment to make decisions regarding resources; therefore, the total asset disclosure by segment has not been included. Segment operating profit is based on net sales less identifiable operating expenses. Also included in segment operating profit is equity in (loss) earnings of affiliates based on the equity method of accounting. Specified items and certain corporate items are not allocated to the Company’s individual business segments because operating performance of each business segment is evaluated by the CODM exclusive of these items.The Ag Services and Oilseeds segment includes global activities related to the origination, merchandising, transportation, and storage of agricultural raw materials, as well as the crushing and processing of oilseeds, including soybeans and soft seeds such as cottonseed, sunflower seed, canola, rapeseed, and flaxseed. The segment produces and markets vegetable oils and oilseed protein meals used by food, feed, energy, and industrial customers. Crude and partially refined vegetable oils are sold to third parties, including renewable diesel manufacturers, or further processed into salad oils, margarine, shortening, biodiesel, glycols, and other food and industrial products. Oilseed protein meals are primarily sold as ingredients for commercial livestock and poultry feeds. The segment is also a major supplier of peanuts and peanut‑derived ingredients and manufactures cotton cellulose pulp in North America for chemical, paper, and other industrial markets.

RevenuesThe following tables present revenue disaggregated by timing of recognition and reportable segments and subsegments for the years ended December 31, 2025, 2024, and 2023 (in millions).

Debt Financing ArrangementsThe Company’s long-term debt consisted of the following (in millions, except as noted):Debt InstrumentInterest RateFace AmountDue DateDecember 31, 2025December 31, 20241.000% Notes€650 million2025$— $672 2.500% Notes$1 billion2026999 999 7.500% Debentures$147 million 2027147 147 6.750% Debentures$103 million 2027103 103 6.625% Debentures$144 million 2029144 144 3.250% Notes$1 billion2030999 993 7.000% Debentures$160 million 2031165 161 2.900% Notes$750 million2032746 745 5.935% Debentures$336 million 2032341 337 4.500% Notes$500 million2033494 493 5.375% Debentures$432 million 2035427 426 6.450% Debentures$103 million 2038102 103 5.765% Debentures$297 million 2041297 297 4.535% Debentures$383 million 2042294 291 4.016% Debentures$371 million 2043269 266 3.750% Notes$408 million 2047403 403 4.500% Notes$600 million2049590 589 2.700% Notes$750 million2051733 732 6.950% Debentures$157 million 2097154 154 Other205 199 Total long-term debt including current maturities7,612 8,254 Current maturities(1,006)(674)Total long-term debt$6,606 $7,580 At December 31, 2025, the fair value of the Company’s long-term debt, excluding current portion, was $6.3 billion, as estimated using quoted market prices (a Level 2 measurement under applicable accounting standards), compared to a carrying value of $6.6 billion. The Company’s credit facilities and certain debentures require the Company to comply with specified financial and non-financial covenants including maintenance of minimum tangible net worth as well as limitations related to incurring liens, secured debt, and certain other financing arrangements. The Company was in compliance with these covenants as of December 31, 2025. The aggregate future maturities of long-term debt as of December 31, 2025 are as follows (in millions):Amount2026$1,006 2027266 2028— 2029145 20301,006 Thereafter5,442 Total estimated future maturities$7,865 At December 31, 2025, the Company had lines of credit, including the accounts receivable securitization programs described below, totaling $12.3 billion, of which $9.4 billion was unused. The Company had outstanding standby letters of credit and surety bonds at December 31, 2025 and 2024, totaling $1.2 billion and $1.4 billion, respectively. The Company has accounts receivable securitization programs (the “Programs”). The Programs provide the Company with up to $3.0 billion in funding resulting from the sale of accounts receivable.

Income TaxesThe following table sets forth the geographic split of earnings before income taxes (in millions).Year Ended December 31 202520242023United States$(192)$656 $1,844 Foreign1,447 1,599 2,450 Total Earnings Before Income Taxes$1,255 $2,255 $4,294 Significant components of income tax expense are as follows (in millions):Year Ended December 31 202520242023Current expense (benefit) Federal$(102)$108 $291 State19 8 47 Foreign310 490 513 $227 $606 $851 Deferred (benefit) expense Federal(46)(99)(52)State(27)6 (10)Foreign28 (37)39 $(45)$(130)$(23)Income tax expense$182 $476 $828 Significant components of deferred tax liabilities and assets are as follows (in millions):December 31, 2025December 31, 2024Deferred tax liabilities Property, plant, and equipment$758 $808 Intangibles330 343 Right of use assets313 317 Equity in earnings of affiliates195 236 Debt exchange47 49 Reserves and other accruals28 133 Other36 30 $1,707 $1,916 Deferred tax assets Pension and postretirement benefits$85 $95 Inventories12 12 Lease liabilities320 323 Stock compensation22 36 Foreign tax loss carryforwards503 386 Foreign capital loss carryforwards45 41 State tax attributes32 23 US carryforwards113 196 Other81 111 Gross deferred tax assets1,213 1,223 Valuation allowances(292)(223)Net deferred tax assets$921 $1,000 Net deferred tax liabilities$786 $916 The net deferred tax liabilities are classified as follows: Non-current assets$349 $352 Non-current liabilities(1,135)(1,268) $(786)$(916)Net Operating Losses and Valuation AllowancesThe Company had $503 million and $386 million of tax assets related to net operating loss carryforwards of certain international subsidiaries at December 31, 2025 and 2024, respectively. As of December 31, 2025, approximately $436 million of these assets have no expiration date, and the remaining $67 million expire at various times through fiscal 2034. The annual usage of certain of these assets is limited to a percentage of taxable income of the respective foreign subsidiary for the year. The Company has recorded a valuation allowance of $233 million and $166 million against these tax assets at December 31, 2025 and 2024, respectively, due to the uncertainty of their realization.The Company had $45 million and $41 million of tax assets related to foreign capital loss carryforwards as of December 31, 2025 and 2024, respectively.

LeasesThe following table sets forth the amounts relating to the Company’s total lease cost and other information (in millions).Year Ended December 31202520242023Lease cost:Operating lease cost$430 $410 $390 Short-term lease cost105 135 126 Total lease cost$535 $545 $516 Other information:Operating lease liability principal payments$415 $397 $374 Right-of-use assets obtained in exchange for new operating lease liabilities$278 $437 $327 December 3120252024Weighted-average remaining lease term - operating leases (in years)77Weighted average discount rate - operating leases4.8 %4.5 % The aggregate future lease payments for operating leases as of December 31, 2025 are as follows (in millions): Undiscounted Cash Flows2026$357 2027294 2028241 2029175 2030118 Thereafter411 Total undiscounted minimum lease payments1,596 Less: Interest (1)(248)Lease liability$1,348 (1) Calculated using the implicit rate of the lease, if available, or the incremental borrowing rate that is appropriate for the tenor and geography of the lease.

AcquisitionsDuring the year ended December 31, 2025, the Company acquired Vandamme Hugaria Kft (“Vandamme”), a 700 metric ton/day non-genetically modified crush and extraction facility based in Hungary for an aggregate cash consideration of $125 million. This acquisition adds capabilities to the Company’s Ag Services and Oilseeds and Carbohydrate Solutions segments.The aggregate cash consideration, net of $28 million in cash acquired, was allocated as follows (in millions):VandammeWorking capital, net of cash acquired$24 Property, plant, and equipment27 Goodwill26 Other intangible assets (1)23 Deferred tax liabilities(3)Aggregate cash consideration, net of cash acquired$97 (1) Primarily represents customer lists with an expected useful life of 13 years.Goodwill recorded in connection with the acquisition is primarily attributable to the synergies expected to arise after the Company’s acquisition of the business. This goodwill is not expected to be deductible for tax purposes.The Company’s Consolidated Statements of Earnings for the year ended December 31, 2025 includes the post-acquisition results of the acquired business which were insignificant.

The Company faces significant and persistent cybersecurity risks due to: the breadth of geographies, networks, and systems ADM must defend against cybersecurity attacks, such as exploitation of vulnerabilities, ransomware, denial of service, supply chain attacks, or other similar threats; the attractiveness of the Company’s systems and processes to threat actors (including state-sponsored organizations) seeking to inflict harm on ADM or its customers; the substantial level of harm that could occur to the Company and its customers in case of a material cybersecurity incident; and ADM’s use of third-party products, services and components. ADM is committed to supporting the governance and oversight of cybersecurity risks and to implementing mechanisms, controls, technologies, and processes designed to help the Company assess, identify, and manage these risks.To date, the Company has not identified risks from cybersecurity threats, including as a result of previous cybersecurity incidents, that have materially affected or are reasonably likely to materially affect the Company, including its business strategy, results of operations, or financial condition. However, the Company is subject to ongoing risks from cybersecurity threats that could materially affect the Company, including its business strategy, results of operations, or financial condition, as further described in Item 1A. Risk Factors. Cybersecurity risks are included in the risk universe that the Company’s Enterprise Risk Management (ERM) function evaluates, with input from information security subject matter experts at the Company, to assess top risks to the enterprise. The ERM process provides input into our strategic planning process, such as development of action plans to address and mitigate identified risks. Integrating cybersecurity risk into the overall ERM process in this manner assists the Company in identifying, assessing, and managing material cybersecurity risks.The Company has a dedicated cybersecurity team that collaborates with compliance, privacy, legal, and other teams across the global organization to assess the risk landscape. ADM’s cybersecurity program is designed to be aligned with applicable industry standards and is assessed regularly by independent third-party auditors.

Legal ProceedingsThe Company is routinely involved in a number of actual or threatened legal actions, including those involving alleged personal injuries, employment law, product liability, intellectual property, environmental issues, alleged tax liability, and class actions. The Company also routinely receives inquiries from regulators and other government authorities relating to various aspects of its business, and at any given time, the Company has matters at various stages of resolution. The outcomes of these matters are not within the Company’s complete control and may not be known for prolonged periods of time. In some actions, claimants seek damages, as well as other relief including injunctive relief, that could require significant expenditures or result in lost revenues. In accordance with applicable accounting standards, the Company records a liability in its Consolidated Financial Statements for material loss contingencies when a loss is known or considered probable and the amount can be reasonably estimated. If the reasonable estimate of a known or probable loss is a range, and no amount within the range is a better estimate than any other, the minimum amount of the range is accrued. If a material loss contingency is reasonably possible but not known or probable, and can be reasonably estimated, the estimated loss or range of loss is disclosed in the notes to the Consolidated Financial Statements. When determining the estimated loss or range of loss, significant judgment is required to estimate the amount and timing of a loss to be recorded or disclosed. Estimates of probable losses resulting from litigation and governmental proceedings involving the Company are inherently difficult to predict, particularly when the matters are in early procedural stages, with incomplete facts or legal discovery; involve unsubstantiated or indeterminate claims for damages; potentially involve penalties, fines, disgorgement, or punitive damages; or could result in a change in business practice. The Company’s estimated loss or range of loss with respect to loss contingencies may change from time to time, and it is reasonably possible the Company will incur actual losses in excess of the amounts currently accrued and such additional amounts may be material.