Cereal Crops in The United States August 2021: Marketline Industry Profile

MarketLine Industry Profile
Cereal Crops in the United States

August 2021
Reference Code: 0072-2600
Publication Date: August 2021
Primary NAICS: 1111
Secondary NAICS: 111140,111160
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Industry Profiles
1. Executive Summary
1.1. Market value

The United States cereal crops industry grew by 24.4% in 2020 to reach a value of $85.3 billion.
1.2. Market value forecast

In 2025, the United States cereal crops industry is forecast to have a value of $81.6 billion, a decrease of
4.4% since 2020.
1.3. Market volume

The United States cereal crops industry grew by 1.7% in 2020 to reach a volume of 472 million tonnes.
1.4. Market volume forecast

In 2025, the United States cereal crops industry is forecast to have a volume of 493 million tonnes, an
increase of 4.4% since 2020.
1.5. Category segmentation

Maize is the largest segment of the cereal crops industry in the United States, accounting for 74.4% of the
industry's total value.
1.6. Geography segmentation

The United States accounts for 13.9% of the global cereal crops industry value.
1.7. Market rivalry

With the exception of produce quality, there is typically a lack of differentiation between produce from
different producers and players are typically extremely similar, which enhances rivalry.
1.8. Competitive Landscape

Industry Profiles
The majority of players in the US cereal crops industry are small to medium sized independent farms,
though large co-operative farming companies are present, which increases competition amongst players.
The leading players in the US tend to have similar operations, though some have a strong presence in other
segments, such as Cargill which also has a strong presence in the meat market. The US government
announced in July 2019 that it will pay American farmers impacted by the trade war with China between
$15 and $150 per acre in an aid package totaling $16bn. The existence of state subsidies reduces rivalry
within the industry for many types of produce by providing a guaranteed market for commodities. The US
industry market has stalled in the historic period intensifying rivalry somewhat, this is expected to worsen
in the forecast period as COVID-19 will cause a decline.

Industry Profiles
TABLE OF CONTENTS
1. Executive Summary 2
1.1. Market value ................................................................................................................................................2
1.2. Market value forecast ..................................................................................................................................2
1.3. Market volume.............................................................................................................................................2
1.4. Market volume forecast...............................................................................................................................2
1.5. Category segmentation................................................................................................................................2
1.6. Geography segmentation.............................................................................................................................2
1.7. Market rivalry...............................................................................................................................................2
1.8. Competitive Landscape ................................................................................................................................2
2. Market Overview 8
2.1. Market definition .........................................................................................................................................8
2.2. Market analysis ............................................................................................................................................8
3. Market Data 10
3.1. Market value ..............................................................................................................................................10
3.2. Market volume...........................................................................................................................................11
4. Market Segmentation 12
4.1. Category segmentation..............................................................................................................................12
4.2. Geography segmentation...........................................................................................................................13
5. Market Outlook 14
5.1. Market value forecast ................................................................................................................................14
5.2. Market volume forecast.............................................................................................................................15
6. Five Forces Analysis 16
6.1. Summary ....................................................................................................................................................16
6.2. Buyer power...............................................................................................................................................17
6.3. Supplier power ...........................................................................................................................................18
6.4. New entrants .............................................................................................................................................20

Industry Profiles
6.5. Threat of substitutes ..................................................................................................................................22
6.6. Degree of rivalry.........................................................................................................................................23
7. Competitive Landscape 25
7.1. Who are the leading players? ....................................................................................................................25
7.2. What strategies do leading players in the industry follow?.......................................................................25
7.3. What are the strengths of leading players? ...............................................................................................26
7.4. Has there been any significant M&A activity in recent years?...................................................................26
7.5. Have there been any joint ventures between leading players?.................................................................26
7.6. How has protectionism affected the industry?..........................................................................................27
8. Company Profiles 28
8.1. Archer Daniels Midland Co.........................................................................................................................28
8.2. CHS Inc. ......................................................................................................................................................32
8.3. Bunge Limited ............................................................................................................................................37
8.4. Cargill, Incorporated ..................................................................................................................................41
9. Macroeconomic Indicators 44
9.1. Country data ..............................................................................................................................................44
Appendix 46
Methodology ...........................................................................................................................................................46
9.2. Industry associations..................................................................................................................................47
9.3. Related MarketLine research .....................................................................................................................48
About MarketLine....................................................................................................................................................49

Industry Profiles
LIST OF TABLES
Table 1: United States cereal crops industry value: $ billion, 2016–20 10
Table 2: United States cereal crops industry volume: million tonnes, 2016–20 11
Table 3: United States cereal crops industry category segmentation: $ billion, 2020 12
Table 4: United States cereal crops industry geography segmentation: $ billion, 2020 13
Table 5: United States cereal crops industry value forecast: $ billion, 2020–25 14
Table 6: United States cereal crops industry volume forecast: million tonnes, 2020–25 15
Table 7: Archer Daniels Midland Co: key facts 28
Table 8: Archer Daniels Midland Co: Annual Financial Ratios 29
Table 9: Archer Daniels Midland Co: Key Employees 30
Table 10: Archer Daniels Midland Co: Key Employees Continued 31
Table 11: CHS Inc.: key facts 32
Table 12: CHS Inc.: Annual Financial Ratios 34
Table 13: CHS Inc.: Key Employees 35
Table 14: CHS Inc.: Key Employees Continued 36
Table 15: Bunge Limited: key facts 37
Table 16: Bunge Limited: Annual Financial Ratios 39
Table 17: Bunge Limited: Key Employees 40
Table 18: Cargill, Incorporated: key facts 41
Table 19: Cargill, Incorporated: Key Employees 43
Table 20: United States size of population (million), 2016–20 44
Table 21: United States gdp (constant 2005 prices, $ billion), 2016–20 44
Table 22: United States gdp (current prices, $ billion), 2016–20 44
Table 23: United States inflation, 2016–20 44
Table 24: United States consumer price index (absolute), 2016–20 45
Table 25: United States exchange rate, 2016–20 45

Industry Profiles
LIST OF FIGURES
Figure 1: United States cereal crops industry value: $ billion, 2016–20 10
Figure 2: United States cereal crops industry volume: million tonnes, 2016–20 11
Figure 3: United States cereal crops industry category segmentation: % share, by value, 2020 12
Figure 4: United States cereal crops industry geography segmentation: % share, by value, 2020 13
Figure 5: United States cereal crops industry value forecast: $ billion, 2020–25 14
Figure 6: United States cereal crops industry volume forecast: million tonnes, 2020–25 15
Figure 7: Forces driving competition in the cereal crops industry in the United States, 2020 16
Figure 8: Drivers of buyer power in the cereal crops industry in the United States, 2020 17
Figure 9: Drivers of supplier power in the cereal crops industry in the United States, 2020 18
Figure 10: Factors influencing the likelihood of new entrants in the cereal crops industry in the United States, 202020
Figure 11: Factors influencing the threat of substitutes in the cereal crops industry in the United States, 2020 22
Figure 12: Drivers of degree of rivalry in the cereal crops industry in the United States, 2020 23

Industry Profiles
2. Market Overview
2.1. Market definition

The cereal crops sector consists of the production of maize, wheat, rice (paddy) & barley. The 'other' segment
consists of other cereal crops such as sorghum, oats, millet, triticale, rye, mixed grain, buckwheat, canary seed and
fonio.
Production volumes are provided in tonnes and values are calculated at producer prices.
All market data and forecasts are represented in nominal terms (i.e., without adjustment for inflation) and all
currency conversions used in the creation of this report have been calculated using constant 2020 annual average
exchange rates.
Forecast figures presented in this report are calculated using crisis scenarios for the market. The length of the
pandemic and restrictions introduced by various countries are still difficult to predict. Many governments had
introduced the national lockdowns and temporarily banned sales of products that are deemed "non-essential". As
the length of the pandemic and its impact on this market is not certain, the data used in this report has been
modeled taking forecast impacts on national economics into consideration.
For the purposes of this report, the global market consists of North America, South America, Europe, Asia-Pacific,
Middle East, South Africa and Nigeria.
North America consists of Canada, Mexico, and the United States.
South America comprises Argentina, Brazil, Chile, Colombia, and Peru.
Europe comprises Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Greece, Ireland, Italy,
Netherlands, Norway, Poland, Portugal, Russia, Spain, Sweden, Switzerland, Turkey, and the United Kingdom.
Scandinavia comprises Denmark, Finland, Norway, and Sweden.
Asia-Pacific comprises Australia, China, Hong Kong, India, Indonesia, Kazakhstan, Japan, Malaysia, New Zealand,
Pakistan, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam.
Middle East comprises Egypt, Israel, Saudi Arabia, and United Arab Emirates.
2.2. Market analysis

The US Cereal Crops industry has undergone tumultuous change through volatile yields and trade conditions.
While 2020 was a large growth year for the industry, adverse weather conditions are set to reduce the
competitiveness of US Cereal Crops.
The US Cereal Crops industry has faced various disturbances and sudden changes in recent years. In 2018, a trade
ware among the US and China greatly inhibited the US soybean market while the COVID-19 pandemic and
disruption to trade channels impacted upon US exports of cereal crops.
The US cereal crops industry had total revenues of $85.3bn in 2020, representing a compound annual growth rate
(CAGR) of 5.1% between 2016 and 2020. In comparison, the European and Asia-Pacific industries grew with
compound annual growth rate (CAGR)s of 7.1% and 3.3% respectively, over the same period, to reach respective
values of $73.2bn and $378.6bn in 2020.
While the CAGR for 2016-2020 indicates strong growth, this is skewed by a 24.4% growth in 2020. However, the
US Cereal Crops industry has struggled in the recent past owing to the uncertainty of trade between the US and
China and bad crop yields.

Industry Profiles
In 2017, the US experienced one of its worst spring yields since records began and wheat yield for the year was
down 12% year on year.
In the first half of 2019 alone, US agricultural exports to China were down $1.3bn, due to tariffs imposed on the
US.
On August 2019, in retaliation to US tariffs, China ordered state-owned enterprises to cease purchase of
agricultural products from the US. This threatened $9.1 bn in revenue for the US cereal crop industry.
Industry production volumes declined with a compound annual rate of change (CARC) of -2.3% between 2016 and
2020, to reach a total of 472 million tonnes in 2020. The industry's volume is expected to rise to 493 million tonnes
by the end of 2025, representing a CAGR of 0.9% for the 2020-2025 period.
Owing to the trade ware with China, demand for US Cereal Crops decreased. Farm bankruptcies increased as a
result of the trade war and agricultural equipment manufacturer Deere cut its profit forecast twice in 2019,
illustrating lower farm production as a result of the pandemic.
The Maize segment was the industry's most lucrative in 2020, with total revenues of $63.4bn, equivalent to 74.4%
of the industry's overall value. The Wheat segment contributed revenues of $9.3bn in 2020, equating to 10.9% of
the industry's aggregate value.
The high level of maize production in the US has been attributed to the copious subsidies of maize production in
the US since the First World War in the aftermath of which, drops in demand from Europe caused a price crash. In
the 1980s these subsidies were expanded to include crop insurance subsidies which greatly reduced the risk of
growing maize in the US. This led to the dominance of maize as the primary cereal crop in the US.
The performance of the industry is forecast to decline, with an anticipated CARC of -0.9% for the five-year period
2020 - 2025, which is expected to drive the industry to a value of $81.6bn by the end of 2025. Comparatively, the
European and Asia-Pacific industries will grow with CAGRs of 4.9% and 8.4% respectively, over the same period, to
reach respective values of $93.1bn and $565.7bn in 2025.
The US cereal crop industry is forecast to experience decline between 2020 and 2025. Droughts have impacted
crop yield forecasts for 2021, with many farm belt states including Iowa and Minnesota face low corn, soybean
and spring wheat crops. Famers in California have left fields fallow, where the land is sown but not planted upon.
In August 2021, California reduced the amount of water farmers were permitted to draw. This will acutely impact
cereal crops and not high-value crops such as almonds, wine and other fruit and vegetables.

Industry Profiles
3. Market Data
3.1. Market value

The United States cereal crops industry grew by 24.4% in 2020 to reach a value of $85.3 billion.
The compound annual growth rate of the industry in the period 2016–20 was 5.1%.
Table 1: United States cereal crops industry value: $ billion, 2016–20
Year $ billion € billion % Growth

2016 70.0 61.4
2017 67.8 59.4 (3.2%)
2018 72.6 63.7 7.2%
2019 68.6 60.1 (5.5%)
2020 85.3 74.8 24.4%
CAGR: 2016–20 5.1%

SOURCE: MARKETLINE MARKETLINE
Figure 1: United States cereal crops industry value: $ billion, 2016–20

Industry Profiles
3.2. Market volume

The United States cereal crops industry grew by 1.7% in 2020 to reach a volume of 472 million tonnes.
The compound annual rate of change of the industry in the period 2016–20 was -2.3%.
Table 2: United States cereal crops industry volume: million tonnes, 2016–20
Year million tonnes % Growth

2016 517.3
2017 483.9 (6.5%)
2018 483.6 (0.1%)
2019 464.2 (4.0%)
2020 472.0 1.7%
CAGR: 2016–20 (2.3%)

Figure 2: United States cereal crops industry volume: million tonnes, 2016–20

Industry Profiles
4. Market Segmentation
4.1. Category segmentation

Maize is the largest segment of the cereal crops industry in the United States, accounting for 74.4% of the
industry's total value.
The Wheat segment accounts for a further 10.9% of the industry.
Table 3: United States cereal crops industry category segmentation: $ billion, 2020
Category 2020 %
Maize 63.4 74.4%
Wheat 9.3 10.9%
Barley 2.5 2.9%
Rice 2.0 2.3%
Other 8.2 9.6%
Total 85.4 100.1%

Figure 3: United States cereal crops industry category segmentation: % share, by value, 2020

Industry Profiles
4.2. Geography segmentation

The United States accounts for 13.9% of the global cereal crops industry value.
Asia-pacific accounts for a further 61.9% of the global industry.
Table 4: United States cereal crops industry geography segmentation: $ billion, 2020
Geography 2020 %
Asia-pacific 378.6 61.9
United States 85.3 13.9
Europe 73.2 12.0
Rest Of The World 74.9 12.2
Total 612 100%

Figure 4: United States cereal crops industry geography segmentation: % share, by value, 2020

Industry Profiles
5. Market Outlook
5.1. Market value forecast

In 2025, the United States cereal crops industry is forecast to have a value of $81.6 billion, a decrease of 4.4%
since 2020.
The compound annual rate of change of the industry in the period 2020–25 is predicted to be -0.9%.
Table 5: United States cereal crops industry value forecast: $ billion, 2020–25
Year $ billion € billion % Growth

2020 85.3 74.8 24.4%
2021 82.6 72.5 (3.1%)
2022 76.5 67.1 (7.4%)
2023 76.5 67.1 0.0%
2024 78.1 68.5 2.2%
2025 81.6 71.5 4.4%
CAGR: 2020–25 (0.9%)

Figure 5: United States cereal crops industry value forecast: $ billion, 2020–25

Industry Profiles
5.2. Market volume forecast

In 2025, the United States cereal crops industry is forecast to have a volume of 493 million tonnes, an increase of 4.4%
since 2020.
The compound annual growth rate of the industry in the period 2020–25 is predicted to be 0.9%.
Table 6: United States cereal crops industry volume forecast: million tonnes, 2020–25
Year million tonnes % Growth

2020 472.0 1.7%
2021 484.7 2.7%
2022 489.3 1.0%
2023 492.9 0.7%
2024 492.6 (0.1%)
2025 493.0 0.1%
CAGR: 2020–25 0.9%

Figure 6: United States cereal crops industry volume forecast: million tonnes, 2020–25

Industry Profiles
6. Five Forces Analysis

The cereal crops market will be analyzed taking farming practices and producers as players. The key buyers will be
taken as wholesale dealers and food processing companies, and fertilizer and machinery providers as the key
suppliers.
6.1. Summary
Figure 7: Forces driving competition in the cereal crops industry in the United States, 2020
With the exception of produce quality, there is typically a lack of differentiation between produce from different
producers and players are typically extremely similar, which enhances rivalry.
Cereal grains form a staple part of most people’s diet, supplying carbohydrates, proteins, and fats. While in developing
nations, cereal grains constitute the majority of daily sustenance, in developed nations, cereal consumption varies, but
is still substantial.
Prices of cereal crops can fluctuate greatly depending on factors including speculation in agri-commodities, currency
exchange rate fluctuations, and stock levels. Due to the essential nature of cereal crops most is produced exclusively for
domestic consumption and is regulated as such.
The main suppliers within the industry include fertilizer providers, manufacturers of farming equipment, and labor and
land suppliers, among others. These suppliers are typically large in size due to the high costs and capital involved.
There are no viable substitutes for cereal crops due to the variety of uses of certain cereal crops, such as wheat; a
possible alternative for food processors is growing their own agricultural produce as a form of backward integration.

Industry Profiles
6.2. Buyer power
Figure 8: Drivers of buyer power in the cereal crops industry in the United States, 2020
Cereal grains are an important part of most people’s diet; they are eaten regularly and provide a large proportion of
energy and nutrient needs. Tight global supplies and an increasing world population mean there is always demand for
cereal grains. In developing nations, rice, wheat, millet, or maize constitute the majority of daily sustenance. In
developed nations such as the US, cereal consumption is more moderate and varied, but still substantial.
Industry players include large agri-business customers, smaller, privately-owned farms, and individual consumers with
small holdings. The major buyers of products requiring processing, such as cereal grain, are wholesale dealers and food
processing companies. Such buyers are usually large-sized companies such as Nestle, which are able to purchase in
bulk, boosting their power.
Prices of cereal crops can fluctuate greatly depending on factors including speculations in agri-commodities, currency
exchange rates fluctuations, and stock levels leaving the market open to price instability. The fact that prices are set on
the world stock exchanges increases the power of arable farmers against wholesale grain dealers and food processing
companies. Arable farmers often sell such produce through hedging, which protects their business from dramatic
reductions in grain prices. Additionally, the existence of such contracts may increase buyers’ switching costs if the
contracts are terminated early. However, hedging may also positively affect buyer power in the context of protection
from dramatically increasing grain prices e.g., due to unfavorable weather conditions.
Products in this industry are largely undifferentiated which increases buyer power. However, limited possibilities of
differentiation exist in certain cases, for products which are fair-trade, organic, or sourced domestically for example.
Some buyers may favor domestically grown products if there is an increasing consumer trend towards locally sourced,
seasonal, and organic agricultural products.
Overall, buyer power in the US cereal crops industry is moderate.

Industry Profiles
6.3. Supplier power
Figure 9: Drivers of supplier power in the cereal crops industry in the United States, 2020
The main suppliers within the cereal crops industry include fertilizer providers, manufacturers of farming equipment,
and labor and land suppliers, among others. Strong demand for farming in the US has led to growing demand for such
inputs, driving up supplier power.
Chemical control of crops, for example by using fungicides, helps to prevent fungal disease of cereals, which could
cause large yield losses. It is especially important in areas such as the North West of the United States, where mild,
damp autumns are ideal for fungal disease growth. Chemical control also allows cereal crops to be grown more
efficiently, with less competition from weeds.
Fertilizer products are typically manufactured and supplied by large chemical companies. High demand for such
products allows chemical companies to control prices, which are largely dependent upon the price of inputs into their
manufacturing processes. For example, the price of natural gas can significantly affect the price of nitrogen-based
fertilizers, such as ammonia and ammonium nitrate. However, fertilizer products are typically relatively simple
chemicals and thus lack differentiation, with a fairly consistent quality available from a large number of suppliers.
Alternatives include the use of animal waste as fertilizer or organic farming practices, which eliminate the use of
artificial fertilizer products. The increased demand for organic products in some countries may slightly reduce the
power of chemical companies.
The scale of suppliers such as Bayer – which in 2018 purchased agriculture giant Monsanto for $63bn and then retired
the company name after 117 years in business – strengthens supplier power considerably compared to those in related
industries. Legally speaking, large suppliers are very powerful. In 2013 Monsanto won a case at the US Supreme Court,
the conclusion of which stated that Monsanto had the legal right to stop farmers saving seeds from patented
genetically modified crops one season and planting them the next. Farmers have little choice in switching supply as
well. The other two large suppliers - Dow-DuPont and Syngenta-ChemChina – wield similar degrees of power as Bayer
now holds. However, further consolidation among seed and pesticide suppliers is unlikely.
Agricultural machinery manufacturers tend to be large sized companies and are usually global players with strong
reputations and brands. Such suppliers have established globally recognized brands. For example, John Deere
manufactures all its machinery, from tractors to lawnmowers, under the same name, creating a high level of brand
identification and loyalty. Due to varied requirements of different buyers, manufacturers are able to differentiate
themselves by offering products that cater to specific customer needs.

Industry Profiles
At the start of lockdown consumption of convenient products, such as beans, rice and pasta rose. While restaurants
were closed in many countries, the demand for grain products and pulses has done well in retail markets.
Lockdown has also impacted global trade for cereal crops with supply chains disrupted. For example, Russia and
Ukraine took protective measures and set export quotas for wheat. Meanwhile, Vietnam suspended new rice export
contracts. Lockdowns have often made export difficult, with countries such as Bolivia, a supplier of soybean and grains
and seeds like quinoa and chia, suffering.
Due to COVID-19 impacting global supply chains, external dependencies which are in place to minimize risk have
become a risk. This is due to an increasing number of countries reducing exports activity to secure the availability of
domestic products, which has strained the availability of certain commodities globally. This will likely cause cereal crop
stocks to fall as supply is unable to meet demand in the short term.
All these factors boost the supplier power within this industry, which is assessed as moderate overall.

Industry Profiles
6.4. New entrants
Figure 10: Factors influencing the likelihood of new entrants in the cereal crops industry in the United States, 2020
The cost of entrance into the cereal crops industry typically involves the purchase of arable land, machinery and the
provision of working capital to sustain initial operations. The economies of scale provided by large scale farming
practices constitute a significant barrier to entry, as it is largely unviable for agribusinesses to build up from small scale
holdings.
However, the lucrative nature of farming means that loans for agribusiness are available, which eases the entrance of
players deemed suitably qualified. Cereal grains are relatively easy to grow, store, and transport. Furthermore, they are
not highly differentiated and therefore it is relatively easy for new producers to get their product to market. Brand
loyalty is virtually non-existent in this industry, which means buyers can source products without being influenced or
obligated to stock certain brands by consumer demand. This increases the likelihood of new entrants.
It is often considered important to keep a country free from dependence on foreign countries for its food supply; some
governments provide subsidies and support programs for agricultural producers. In the US, the Department of
Agriculture pays supplemental income to farmers for cereals, such as wheat or rice, in an effort to manage supply and
control prices.
The US is a major exporter of food with more than 2.2 million farms throughout the various states of the US.
Historically, the US has been associated with seed improvement such as hybridization and expanding the uses of crops
and the development of biofuels as an alternative fuel source. The recent developments in agricultural produce have
had an effect on the required agricultural products. Agricultural policies in the US tend to support farmers as these
have a favorable political representation in the US government. The federal government currently spends over $20bn a
year on subsidies and in December 2018, congress approved a five-year farm bill which will provide $867bn over the
next ten years.
With recent trade tariffs introduced by Trump in the US, trade deals with foreign countries are likely to be reduced and
could therefore place more demand on US farmers. Mexico already imports some $18.5bn of agriculture products
every year, making it one of the most important markets for US farmers, and renegotiations will seek to remove some
tariff protections around Canadian agricultural products. Some parts of the US agricultural industry have suffered of
late due to the impact of international tariffs. In response the Department of Agriculture announced initial aid will
consist of $4.7bn in payments to farmers of commodity foodstuffs. The nature of the trade disputes so far suggests the
trading environment for farmers could change rapidly.

Industry Profiles
The US, as is the case in many other countries, has legislation specific to food and to agricultural produce, this could
deter new entrants into this market. It is also a strong possibility that new entrants will be deterred from entering this
market as legislation and financial requirements are potentially going to become stricter due to the introduction of GM
crops. Insect-resistant, herbicide-tolerant crops have proliferated in the US. The Environmental Protection Agency (EPA)
regulates biopesticides, including Bt toxins, under the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA). If a
crop is genetically engineered to carry a gene for a Bt toxin, EPA requires the developer to verify that the toxin is safe
for the environment and conduct a food-safety analysis to ensure that the foreign protein is not allergenic. The Food
and Drug Administration (FDA) is responsible for regulating the safety of GM crops that are eaten by humans or
animals.
The US cereal crops industry has experienced declines in recent years, as global cereal prices continue to fall. In the US,
2017 saw the highest number of major hurricanes since 2005, leading to extensive damage to crops. What’s more,
flood waters damaged many cereal crops stored in bulk. 2017 was the most expensive hurricane season in US history.
Similarly, drought conditions in parts of the country earlier in the year had an impact on cereal crop production. The
unpredictability of the effect that climate can have on crop yields, particularly during hurricane season, is likely to
discourage newcomers. The industry managed to return to strong growth in 2018, signaling a more positive outlook but
was followed in 2019 by marginal decline.
Overall, the threat of new entrants is moderate.

Industry Profiles
6.5. Threat of substitutes
Figure 11: Factors influencing the threat of substitutes in the cereal crops industry in the United States, 2020
Cereal grains are grown in greater quantities and provide more food energy worldwide than any other type of crop;
they are therefore staple crops and form a core part of most people’s diet. Cereal grains supply one or more of the
three macronutrients needed for survival and health: carbohydrates, protein, and fat. As a result, there are no viable
substitutes for cereal crops for end-consumers. Food processors, however, are able to backward integrate into farming
should they so wish.
However, the switching costs incurred employing such a strategy are high: farming is time-consuming, requires some
degree of specialist knowledge, and incurs the cost of purchasing seeds, fertilizer, machinery etc. Food producers may
not have the land required to make this a viable option for them.
Geography is also important in cereal cultivation. There are many species and varieties of cereal crop, and these are
grown in different parts of the world. While ‘cool-season’ cereals grow well in moderate weather, ‘warm-season’
cereals prefer warmer climates. Wheat and barley for example, are found in temperate climates, such as North
America, while rice is a crop of the wet tropics. All of these plants have adaptations which enable them to survive and
grow well in particular environmental conditions. Additionally, cereal crops are annual plants and consequently one
planting yields one harvest.
Further, cereal crops have uses in various food groups. For example, wheat is an important raw material as it comprises
as an ingredient in foods such as porridge, crackers, biscuits, muesli, pasta, pies, pastries, doughnuts, gravy, pizza and
beer, foods which are widespread in North American diets.
Overall, the threat from substitutes is weak in this industry.

Industry Profiles
6.6. Degree of rivalry
Figure 12: Drivers of degree of rivalry in the cereal crops industry in the United States, 2020
Although large co-operative farming companies do exist, most players within the cereal crops are independent farms,
rated as small to medium sized businesses. However, the presence of large, consolidated corporations such as Archer
Daniels Midland, CHS Inc., Cargill, and Bunge ramps up rivalry significantly.
With the exception of produce quality, there is typically a lack of differentiation between produce from different
producers and players are typically extremely similar, which enhances rivalry. However, players do not tend to be
wholly reliant on the cereal crops industry, with many companies engaged in the growing of other agricultural products.
For example, Cargill is a producer and marketer of food, agricultural, financial, and industrial products, and services. The
large leading companies operating within this industry are geographically diversified, operating in a wide range of
country markets, thus protecting revenues from declines in any individual country. For example, Archer Daniels Midland
operates in around 160 countries across North America, South America, Europe, Middle East, Africa, and Asia Pacific.
The companies that experience the most intense rivalry are the smaller, more localized companies. Such competitors
will be largely dependent on the domestic industry, while facing competition from other small to medium sized
businesses, as well as the huge leading players operating in this industry.
The provision of state subsidies for agricultural land and crops production (such as through the Department of
Agriculture), reduces rivalry within the industry for many types of produce by providing a guaranteed market for
commodities.
The land, machinery, equipment, and other inputs into the cereal crops industry can be expensive. Operating and exit
costs are therefore high, particularly at the upper end of the industry. This drives up rivalry between players, as does
the decline seen in recent years.
A fall in industry value increased rivalry over 2017 – a situation exacerbated by a similar decline in volume. The drop in
industry value over recent years can be heavily attributed to slower world economic growth, a strong US dollar, lower
exports of high-value products, and falling prices for bulk commodities. Domestic buyers also looked for cheaper
imported alternatives due to the highly priced goods from the US market. The income of famers recently fell to a 12
year low following a succession of years in which revenues fell in large chunks. Figures released from the Department
for Agriculture revealed current incomes to be approximately half of the peak level in 2013, intensifying rivalry among
many farmers that are in financial difficulties.

Industry Profiles
Rivalry could be strengthened by an agreement between Argentina and Mexico signed in October 2017 which will see
Argentine wheat imported to Mexico. Although there is much uncertainty regarding what the deal will entail long-term
for US wheat farmers, many of whom export to Mexico, chances are they will be adversely impacted to some degree.
However, on September 30, 2018, the United States-Mexico-Canada Agreement was agreed after 14 months of
negotiation, pointing towards improving relations between the two countries, lowering rivalry.
Rivalry is assessed as strong overall.

Industry Profiles
7. Competitive Landscape
The majority of players in the US cereal crops industry are small to medium sized independent farms, though large
co-operative farming companies are present, which increases competition amongst players. The leading players in
the US tend to have similar operations, though some have a strong presence in other segments, such as Cargill
which also has a strong presence in the meat market. The US government announced in July 2019 that it will pay
American farmers impacted by the trade war with China between $15 and $150 per acre in an aid package totaling
$16bn. The existence of state subsidies reduces rivalry within the industry for many types of produce by providing
a guaranteed market for commodities. The US industry market has stalled in the historic period intensifying rivalry
somewhat, this is expected to worsen in the forecast period as COVID-19 will cause a decline.
7.1. Who are the leading players?

Archer Daniels Midland Company (ADM) is a leading player in the global industry and its main activities include
processing oilseeds, corn, wheat, and other agricultural commodities. The company also manufactures protein
meal, vegetable oil, corn sweeteners, flour, biodiesel, ethanol, and other value-added food and feed ingredients.
As of December 2019, the company had 480 crop procurement locations, 350 ingredient manufacturing facilities,
and approximately 55 innovation centers. In FY2019, the US, ADM's largest geographic market, accounted for
42.5% of the total revenues followed by Switzerland (20.1%), Cayman Islands (6.8%), Brazil (3.7%) Germany (3.1%)
and Other foreign countries (23.7%). In FY 2020, ADM reported revenues of $64.4bn and profits of $1.78bn.
CHS Inc. (CHS) is an integrated agricultural co-operative company offering grain, food, and energy resources and
operates at 466 locations through 44 business units dispersed throughout North America. It focuses on refining,
wholesaling, and retailing of petroleum products, and supply of crop nutrients, livestock feed, renewable fuels and
food ingredients. CHS also provides insurance and financial and risk management services and has operations
across the Americas, Europe, the Middle East and Africa, and Asia Pacific.
Cargill Inc. (Cargill) is a privately owned producer, distributor, and marketer of food, agricultural, financial
products, and industrial products. The company buys crops and stores and distributes them globally. It also
produces value added commodities for food, feed, and fuel, handles and process animals for protein products, and
also produces ingredients and protein products for consumer goods companies and distributors. In FY2020, Cargill
Inc recorded revenue of $114.6 bn, a 1% increase from 2019.
Bunge Limited (Bunge) is a food and agribusiness company that produces and sells edible oils, food and ingredients
and milling products. The company also produces and sells sugar and ethanol; and also blends and distributes
agricultural fertilizers. In FY2019, Europe accounted for 37.1% of the company’s total revenue, followed by the US
(22.2%), Asia-Pacific (19.5%), Brazil (12.6%), Canada (3.0%), Argentina (2.5%), and Rest of the World (3.0%). In
FY2020, Bunge recorded annual revenue of $41.4bn with 27% of Bunge’s operating capacity located in North
America.
7.2. What strategies do leading players in the industry follow?

One of the main strategies which leading players follow is investing in developing robust in-house research and
development (R&D) capabilities. Innovation-based strategies are vital in enabling players to stay abreast of the
changes in the industry and can provide an advantage by enabling them to launch products ahead of competition,
in addition to delivering advanced products and services to customers. Cargill's R&D team includes more than
1,500 research, development, applications, technical services, and intellectual property specialists working in more
than 200 locations. The company had nine global innovation facilities including Animal Nutrition Innovation
Centers, Asia Innovation Center, Biotechnology Development Center, Cargill ONE Innovation Center, European
Food Innovation Center, Latin America Innovation Center, Minneapolis R&D and Innovation Centers, Specialty Oils
Innovation Center, and Wichita Innovation Center.

Industry Profiles
Bunge also has robust research and development (R&D) capabilities. The company's R&D activities are focused on
improvement of its existing products and development of new and innovative products based on the changing
market trends and preferences. Process improvements will drive growth and add value to its core business
operations. In the food and ingredients business, the company has 17 research and development centers globally,
dedicated to supporting product development and enhancement. Through its corporate venture capital unit,
Bunge Ventures, the company invests in start-ups and other early-stage companies, which are developing new
technologies. In FY2018, Bunge spent $15 million on R&D.
7.3. What are the strengths of leading players?

One of the major strengths of leading player Bunge is that it has geographically diversified operations, operating in
Europe, the US, Brazil, Argentina, Asia Pacific, Canada, and rest of the world. Bunge links the world's agricultural
producing regions with the largest and most promising markets for grains, oilseeds, and other food products. The
company focuses on areas of high growth, such as South America and Asia, and large, high-value markets,
including the US and Europe. In FY2019, Europe accounted for 37.1% of the company’s total revenue, followed by
the US (22.2%), Asia-Pacific (19.5%), Brazil (12.6%), Canada (3.0%), Argentina (2.5%), and Rest of the World (3.0%).
Bunge's broad geographic presence helps it to serve a diverse set of customers which mitigates business risks. It
also safeguards the company from economic downturns in a particular geographic region.
Unlike Bunge, CHS derives most of its revenues from the US and is highly dependent on this market. It derived a
majority part of its revenues from the US in FY2019 (87.4% from North America). A high dependence on the US
can negatively impact CHS' revenues and profits considering the fact that its competitors like Archer Daniels
Midland and Bunge have a well-diversified geographical base. The company's limited geographical presence,
therefore, is a disadvantage, while its competitors enjoy benefits such as economies of scale, growth
opportunities, and risk diversification due to their global operations.
One of the strengths of CHS is that it operates a strong operational network. The company has 18 river warehouse
terminals and other non-owned storage facilities located throughout the US. The company operates at 466
locations through 44 business units dispersed throughout Colorado, Idaho, Illinois, Iowa, Kansas, Michigan,
Minnesota, Montana, Nebraska, North Dakota, Oklahoma, Oregon, South Dakota, Texas, Washington, Wisconsin,
and Canada. It also owns six propane terminals, four asphalt terminals, seven refined product terminals and three
lubricants blending and packaging facilities along with owning and leasing a fleet of liquid and pressure trailers and
tractors.
7.4. Has there been any significant M&A activity in recent years?
The ongoing trade war between the US government and China is having a negative impact on some player’s
operations, particularly those with operations concentrated in the US. Tariffs on a number of US commodities
including soybeans, corn and wheat have been in place since July 2018, which has posed a number of challenges to
players over the past year. For instance, in August 2019, China announced it would be imposing an additional 5%
tariff on soybeans. The increase in tariffs has significantly reduced US shipments of soybeans to China, which have
halved since the imposition of 25% punitive duty on them in July 2018. Leading player CHS has also stated that the
tariffs have created significant grain movement and logistics challenges for its grain marketing team and
cooperatives throughout the system. It also stated in its 2018 annual report that the “Loss of shipments to China
required CHS traders to search for other buyers, while local cooperatives and terminals prepared for anticipated
grain storage concerns and uncertain markets for the 2018 harvest.”
7.5. Have there been any joint ventures between leading players?

Industry Profiles
In October 2018, leading players Cargill and Archer Daniels Midland Co announced that they had successfully
launched their new joint venture, Grainbridge, LLC. The joint venture will develop digital tools to help North
American farmers consolidate information on production economics and grain marketing activities into a single
digital platform. With the transaction complete, the joint venture has begun developing a suite of digital solutions
including tools that provide grain marketing decision support, e-commerce and account management software.
The agreement to form a technology-focused joint venture was announced in October 2018 and closed on March
4, 2019.
7.6. How has protectionism affected the industry?

In the recent past, trade disputes have impacted upon trade of cereal crops, with Cargill’s financial statement
making particular mention of the US-China disputes in 2018 and Chinese import duties placed on US soybeans. As
the US tends to export more of its cereal crops, this will have impacted US farmers acutely. This led to volatility in
the prices of many commodities including cereal crops. Price volatility tends to lower business confidence leading
to lower investment levels as firms struggle to plan ahead.

Industry Profiles
8. Company Profiles
8.1. Archer Daniels Midland Co
8.1.1. Company Overview
Archer Daniels Midland Co (ADM) produces, processes, transports, stores, and merchandizes agricultural
products, commodities, and ingredients. The company produces food and beverage ingredients, and other
products made from oilseeds, corn, wheat, and other agricultural commodities. ADM’s major products include
natural flavors and color, health and nutrition products, vegetable oil, corn sweeteners, flour, animal feed, and
biofuels. The company stores, cleans and transports agricultural commodities such as oilseeds, corn wheat,
milo, oats, barley, and other products derived from these inputs through its extensive global grain elevator and
transportation network. ADM also offer services such as farmer services, financial services and logistics. It has
business operations in span the Americas, Europe, the Middle East, Africa, and Asia-Pacific. ADM is
headquartered in Chicago, Illinois, the US.
The company reported revenues of (US Dollars) US$64,355 million for the fiscal year ended December 2020
(FY2020), a decrease of 0.5% over FY2019. In FY2020, the company’s operating margin was 2%, compared to an
operating margin of 2.1% in FY2019. In FY2020, the company recorded a net margin of 2.8%, compared to a net
margin of 2.1% in FY2019. The company reported revenues of US$22,926 million for the second quarter ended
June 2021, an increase of 21.3% over the previous quarter.
8.1.2. Key Facts
Table 7: Archer Daniels Midland Co: key facts
Head office: 77 W Wacker Dr , Chicago, Illinois, United States

Telephone: 13126348233
Fax: 13026555049
Number of Employees: 39000
Website: www.adm.com
Financial year-end: December
Ticker: ADM
Stock exchange: New York Stock Exchange
SOURCE: COMPANY WEBSITE MARKETLINE
8.1.3. Business Description
Archer Daniels Midland Co (ADM) processes oilseeds, corn, wheat, and other agricultural commodities. The
company also manufactures protein meal, vegetable oil, corn sweeteners, flour, biodiesel, ethanol, and other
value-added food and feed ingredients.
The company classifies its business operations into three reportable business segments: Ag Services and Oilseeds,
Carbohydrate Solutions, and Nutrition.
As of December 2020, the company had 449 crop procurement locations, 321 processing plants, and
approximately 170 warehouses and terminals primarily used as bulk storage facilities. ADM owns a fleet of 1,800
barges, 11,500 rail cars, 350 trucks, 1,300 trailers, 110 boats, and three ocean going vessels and leased 780 barges,
16,700 railcars, 330 trucks, 330 trailers, 44 boats, and 29 ocean going vessels As of December 2020, the company
had business presence in over 200 countries.

Industry Profiles
Table 8: Archer Daniels Midland Co: Annual Financial Ratios

Key Ratios 2015 2016 2017 2018 2019
Growth Ratios
Sales Growth % -7.91 -2.43 5.78 0.49
Operating Income Growth % -2.41 -14.29 44.69 -31.14
EBITDA Growth % -0.84 -8.14 27.32 -19.26
Net Income Growth % -30.83 24.71 13.48 -23.81
EPS Growth % -24.34 9.14 39.17 -2.64
Working Capital Growth % -5.43 -6.57 19.81 -13.61
Equity Ratios
EPS (Earnings per Share) USD 2.98 2.16 2.13 3.13 2.51
Dividend per Share USD 1.12 1.20 1.28 1.34 1.40
Dividend Cover Absolute 2.66 1.80 1.66 2.34 1.79
Book Value per Share USD 30.08 29.97 32.88 33.96 34.48
Profitability Ratios
Gross Margin % 5.94 5.80 5.78 6.50 6.41
Operating Margin % 2.39 2.54 2.23 3.05 2.09
Net Profit Margin % 2.73 2.05 2.62 2.81 2.13
Profit Markup % 6.31 6.16 6.14 6.95 6.85
PBT Margin (Profit Before Tax) % 3.37 2.92 2.65 3.20 2.46
Return on Equity % 10.33 7.45 8.71 9.54 7.18
Return on Capital Employed % 6.08 5.95 4.95 6.75 4.46
Return on Assets % 9.21 3.20 4.00 4.48 3.25
Return on Working Capital % 19.47 20.10 18.44 22.27 17.75
Operating Costs (% of Sales) % 97.61 97.46 97.77 96.95 97.91
Administration Costs (% of Sales) % 2.97 3.18 3.25 3.36 3.86
Liquidity Ratios
Current Ratio Absolute 1.62 1.60 1.59 1.75 1.55
Quick Ratio Absolute 1.01 0.93 0.86 1.00 0.89
Cash Ratio Absolute 0.10 0.07 0.06 0.17 0.06
Leverage Ratios
Debt to Equity Ratio Absolute 0.33 0.40 0.41 0.44 0.46
Net Debt to Equity Absolute 0.25 0.35 0.37 0.34 0.42
Debt to Capital Ratio Absolute 0.25 0.29 0.29 0.31 0.32
Efficiency Ratios
Asset Turnover Absolute 3.37 1.56 1.53 1.59 1.52
Fixed Asset Turnover Absolute 13.74 6.36 6.11 6.40 6.15
Inventory Turnover Absolute 15.45 6.88 6.37 6.69 6.73
Current Asset Turnover Absolute 6.20 2.91 2.97 3.18 3.08
Capital Employed Turnover Absolute 2.54 2.34 2.22 2.21 2.14
Working Capital Turnover Absolute 8.13 7.92 8.27 7.30 8.49
SOURCE: COMPANY FILINGS MARKETLINE

Industry Profiles
Table 9: Archer Daniels Midland Co: Key Employees
Name Job Title Board

Ben Bard Chief Compliance Officer Global Senior Management
Ben Bard Head Global Security Senior Management
Ben Bard Vice President Senior Management
Camille Batiste President Global Supply Chain Senior Management
Camille Batiste President Nutrition Optimization Senior Management
Christopher M. Cuddy President Carbohydrate Solutions Senior Management
Christopher M. Cuddy Senior Vice President Senior Management
D. Cameron Findlay General Counsel Senior Management
D. Cameron Findlay Secretary Senior Management
D. Cameron Findlay Senior Vice President Senior Management
Debra A. Sandler Director Non Executive Board
Domingo Lastra President South America Senior Management
Donald E. Felsinger Director Non Executive Board
Francisco J. Sanchez Director Non Executive Board
Greg A. Morris President Agricultural Services and Oilseeds Senior Management
Greg A. Morris Senior Vice President Senior Management
Chief Strategy and Innovation Officer-Health &
Ian Pinner Senior Management
Wellness
Ian Pinner President Health and Wellness Senior Management
Ian Pinner Senior Vice President Senior Management
President Europe, Middle East, and Africa
Ismael Roig Senior Management
(EMEA)
Ismael Roig Senior Vice President Senior Management
Jennifer L. Weber Chief Human Resources Officer Senior Management
Jennifer L. Weber Senior Vice President Senior Management
John P. Stott Controller Senior Management
John P. Stott Group Vice President, Finance Senior Management
John P. Stott Principal Accounting Officer Senior Management
Joseph D. Taets President Global Business Readiness Senior Management
Joseph D. Taets Senior Vice President Senior Management
Joseph D. Taets Vice President Global Procurement Senior Management
Juan R. Luciano Chairman Executive Board

Industry Profiles
Table 10: Archer Daniels Midland Co: Key Employees Continued

Juan R. Luciano Chief Executive Officer Executive Board
Juan R. Luciano President Executive Board
Kelvin R. Westbrook Director Non Executive Board
Kristy Folkwein Chief Information Officer Senior Management
Kristy Folkwein Senior Vice President Senior Management
Lei Zhang Schlitz Director Non Executive Board
Leticia Goncalves President Global Specialty Ingredients Senior Management
Michael S. Burke Director Non Executive Board
Patricia L. Logan Chief Audit Executive Senior Management
Patrick J. Moore Director Non Executive Board
Pierre Dufour Director Non Executive Board
Pierre-Christophe Duprat President Animal Nutrition Business Senior Management
Ray G. Young Chief Financial Officer Senior Management
Ray G. Young Executive Vice President Senior Management
Suzan F. Harrison Director Non Executive Board
Ted Colbert Director Non Executive Board
Tedd Kruse President ADM Milling Senior Management
Terrell K. Crews Director Non Executive Board
Thomas R. Kadlec President ADM Investor Services, Inc. Senior Management
Thuy-Nga T. Vo Assistant Secretary Senior Management
Thuy-Nga T. Vo Chief Counsel, Corporate, Securities and M&A Senior Management
Todd A. Werpy Chief Science Officer Senior Management
Todd A. Werpy Senior Vice President Senior Management
Veronica L. Braker Senior Vice President Global Operations Senior Management
Vikram Luthar Chief Financial Officer Nutrition Senior Management
Vikram Luthar Senior Vice President Senior Management
Vincent F. Macciocchi Chief Sales and Marketing Officer Senior Management
Vincent F. Macciocchi President Nutrition business unit Senior Management
Vincent F. Macciocchi Senior Vice President Senior Management

Industry Profiles
8.2. CHS Inc.
CHS Inc (CHS or 'the company') is an integrated agricultural co-operative company offering grain, food and
energy resources. It focuses on refining, wholesaling, and retailing of petroleum products; and supply of crop
nutrients, livestock feed, renewable fuels and food ingredients. It also manufactures and distributes methanol,
UAN and urea, sauces, margarine, salad dressings, packaged frying oils, and mayonnaise. CHS also provides
insurance and financial and risk management services. The company has operations across the Americas,
Europe, the Middle East and Africa, and Asia Pacific. The company is headquartered in Inver Grove Heights,
Minnesota, the US.
The company reported revenues of (US Dollars) US$28,406.4 million for the fiscal year ended August 2020
(FY2020), a decrease of 11% over FY2019. In FY2020, the company’s operating margin was 1%, compared to an
operating margin of 2.1% in FY2019. In FY2020, the company recorded a net margin of 1.5%, compared to a net
margin of 2.6% in FY2019. The company reported revenues of US$10,930 million for the third quarter ended
May 2021, an increase of 31.4% over the previous quarter.
8.2.2. Key Facts
Table 11: CHS Inc.: key facts
Head office: 5500 Cenex Dr , Inver Grove Heights, Minnesota, United States
Website: www.chsinc.com
Financial year-end: August
Ticker: CHSCP
Stock exchange: NASDAQ
CHS Inc (CHS or 'the company') is a farmer-owned cooperative company providing grain, foods and energy
resources to businesses and consumers on a global basis. The company also provides insurance and financial and
risk management services.
The company operates through three business segments: Ag Business, Energy, and corporate and Others.
The Ag Business segment of CHS purchases and further processes or resells grains and oilseeds. It also serves as a
wholesaler and retailer of crop inputs; and produces and markets ethanol. The segment includes crop nutrients,
country operations, grain marketing, renewable fuels, and processing and food ingredients businesses. The crop
nutrients business delivers products directly to the customer from the manufacturer or through its 18 inland or
river warehouse terminals and other non-owned storage facilities located throughout the US. The company's
wholesale crop nutrients business also sells to local retailers from New York to the west coast and from Canada to
Texas. Under country operations, the segment purchases a variety of grains from its producer members and third
parties, and supplies them to the co-operative members. It operates at 487 locations through 42 business units
dispersed throughout Colorado, Idaho, Illinois, Iowa, Kansas, Michigan, Minnesota, Montana, Nebraska, North
Dakota, Oklahoma, Oregon, South Dakota, Texas, Washington, Wisconsin, and Canada. The Ag Business segment
also manufactures animal feed through eight owned plants and three limited liability companies and process
sunflowers for human food and other uses. The segment’s grain marketing operations purchase grain directly from
agricultural producers and elevator operators primarily in the Midwestern and western US and indirectly through
its country operations business. The purchased grain is typically contracted for sale for future delivery at a

Industry Profiles
specified location, and the company is responsible for handling the grain and arranging for its transportation to
that location. CHS owns and operates export terminals, river terminals and elevators throughout the US to handle
and transport grain and grain products. The renewable fuels business produces ethanol and dried distiller grains
with solubles (DDGS). The company also markets and distributes these products throughout the US and overseas
for its plants and other production plants. It owns and operates two ethanol plants in Rochelle, and Annawan,
Illinois producing 257 million gallons of fuel grade ethanol and 636,000 tons of DDGS annually. The renewable
business also markets over 450 million gallons of ethanol and 3 million tons of DDGS annually under marketing
agreements for other production plants. The processing and food ingredients business operates globally and
converts oilseeds into meal, soyflour, edible oils, and associated by-products. The processing operations produce
three primary products: refined oils; soybean meal; and soyflour. In FY2020, the Ag business segment reported
revenue of US$22,926.1 million, which accounted for 80.7% of the company's revenue.
CHS Energy segment's operations include petroleum refining and pipelines; supply, marketing and distribution of
refined fuels (gasoline, diesel fuel and other energy products); blending, sale and distribution of lubricants; and the
wholesale supply of propane and other natural gas liquids. It sells its products under the Cenex brand to member
co-operatives and others, through a network of approximately 1,500 independent retail sites. In FY2020, the
segment sold approximately 1.4 billion gallons of gasoline and 1.7 billion gallons of diesel fuel. In FY2020, the
Energy business segment reported revenue of US$5,431.1 million, which accounted for 19.1% of the company's
revenue. The Energy segment owns six propane terminals, four asphalt terminals, seven refined product terminals
and three lubricants blending and packaging facilities along with owning and leasing a fleet of liquid and pressure
trailers and tractors, which are used to transport refined fuels, propane, anhydrous ammonia and other products.
The Corporate and Other segment of CHS includes business solutions, wheat milling, and foods. The business
solutions business consists of financial services, CHS Capital, CHS Hedging, and CHS Insurance. Under wheat milling
business, CHS operates through a joint venture with Cargill named Horizon Milling. In FY2020, Corporate and
Other segment reported revenue of US$49.1 million, which accounted for 0.2% of the company's revenue.
Geographically, the company classifies its operations into four regions: North America, South America, Europe, the
Middle East and Africa (EMEA), and Asia Pacific (APAC). In FY2020, North America accounted for 89.3% of the
company's revenue, followed by South America (5.5%), Asia Pacific (2.5%) and Europe, the Middle East and Africa
(2.7%).

Industry Profiles
Table 12: CHS Inc.: Annual Financial Ratios

Key Ratios 2015 2016 2017 2018 2019
Growth Ratios
Sales Growth % -12.22 5.54 2.02 -2.40
Operating Income Growth % -59.12 -160.21 431.79 13.58
EBITDA Growth % -30.90 -58.89 249.24 7.01
Net Income Growth % -50.93 -81.32 983.79 6.96
Working Capital Growth % -84.94 -64.15 410.91 42.14
Equity Ratios
Gross Margin % 4.31 3.19 2.79 3.34 4.34
Operating Margin % 2.07 0.96 -0.55 1.79 2.08
Net Profit Margin % 2.26 1.26 0.22 2.37 2.60
Profit Markup % 4.50 3.30 2.87 3.46 4.54
PBT Margin (Profit Before Tax) % 2.22 1.32 -0.34 2.05 2.56
Return on Equity % 10.20 4.88 0.93 9.51 9.64
Return on Capital Employed % 7.17 2.71 -1.70 5.59 6.11
Return on Assets % 10.26 2.36 0.43 4.82 5.06
Return on Working Capital % 26.00 70.57 -118.51 76.96 61.50
Liquidity Ratios
Leverage Ratios
Efficiency Ratios

Industry Profiles
Table 13: CHS Inc.: Key Employees

Alan Holm Director Non Executive Board
Clinton J. Blew First Vice Chairman Executive Board
Cortney Wagner Director Non Executive Board
Daniel Schurr Chairman Executive Board
Darin Hunhoff Executive Vice President Energy Senior Management
David Beckman Director Non Executive Board
David Black Chief Information Officer Senior Management
David Black Senior Vice President Enterprise Strategy Senior Management
David Johnsrud Director Non Executive Board
David Kayser Director Non Executive Board
Gary Halvorson Senior Vice President Agronomy Senior Management
Hal Clemensen Director Non Executive Board
James Zappa Executive Vice President Senior Management
James Zappa General Counsel Senior Management
Jay D. Debertin Chief Executive Officer Senior Management
Jay D. Debertin President Senior Management
Senior Vice President CHS Global Grain
John Griffith Senior Management
Marketing and CHS Renewable Fuels
Jon Erickson Director Executive Board
Jon Erickson Second Vice Chairman Executive Board
Kevin Throener Director Non Executive Board
Mark Farrell Director Non Executive Board
Mary Kaul-Hottinger Senior Vice President Human Resources Senior Management
Olivia Nelligan Chief Financial Officer Senior Management
Olivia Nelligan Executive Vice President Senior Management
Perry Meyer Director Non Executive Board
Richard Dusek Executive Vice President Country Operations Senior Management
Russ Kehl Director Non Executive Board
Scott Cordes Director Non Executive Board
Steve Fritel Director Non Executive Board
Steve Riegel Director Non Executive Board

Industry Profiles
Table 14: CHS Inc.: Key Employees Continued

Tracy Jones Director Non Executive Board

Industry Profiles
8.3. Bunge Limited
Bunge Limited (Bunge or 'the company') is a food and agribusiness company that produces and sells edible oils,
food and ingredients and milling products. The company also produces and sells sugar and ethanol; and also
blends and distributes agricultural fertilizers. Bunge markets its products under Maslenitsa, Floriol, Suprema,
Kujawski, Venusz, Gradina and Soberana brand names. The company offers its products to livestock producers,
snack food producers, baked goods companies, wheat and corn millers, animal feed manufacturers, oilseed
processors, restaurant chains, infant nutrition companies, confectioners, foodservice operators and other food
manufacturers. It has business presence across North America, South America, Europe and Asia. The company
is headquartered in New York, the US.
The company reported revenues of (US Dollars) US$41,404 million for the fiscal year ended December 2020
(FY2020), an increase of 0.6% over FY2019. The operating profit of the company was US$1,427 million in
FY2020, compared to an operating loss of US$1,027 million in FY2019. The net profit of the company was
US$1,145 million in FY2020, compared to a net loss of US$1,280 million in FY2019. The company reported
revenues of US$15,391 million for the second quarter ended June 2021, an increase of 18.7% over the previous
quarter.
8.3.2. Key Facts
Table 15: Bunge Limited: key facts
Head office: 1391 TIMBERLAKE MANOR PARKWAY , Chesterfield, Missouri, United States
Website: www.bunge.com
Financial year-end: December
Ticker: BG
Stock exchange: New York Stock Exchange
Bunge Limited (Bunge or 'the company') is an agribusiness and food company, supplying edible oils to the food
service industry. The company processes oilseeds, produces and sells vegetable oils and protein meals. It produces
and sells sugar and ethanol; and also blends and distributes agricultural fertilizers to farmers in South America. It
has operations in North America, South America, Europe and Asia. The company classifies its operations into five
reportable segments: Agribusiness; Edible Oil Products; Milling Products; Sugar and Bioenergy; and Fertilizer.
The Agribusiness segment purchases, process and sells agricultural commodities and commodity products. Its
major agricultural commodities include oilseeds, primarily rapeseed, soybeans, canola and sunflower seed, and
grains, primarily corn and wheat. The company also processes oilseeds into vegetable oils and protein meals for
the animal feed, food and biodiesel industries. The company offers these products to livestock producers, wheat
and corn millers, animal feed manufacturers and other oilseed processors. In FY2019, the segment’s aggregate
storage capacity was 16,730,237 metric tons and volume was 139,968 thousand metric tons (MMT). The company
manages a total of 158 commodity storage facilities, 51 oilseed processing plants and 37 merchandising and
distribution offices worldwide. Approximately 33% of its processing capacity is produced in South America,
followed by North America (27%), Europe (26%) and Asia-Pacific (14%). In FY2019, the Agribusiness segment
reported revenue of US$28,407 million, which accounted 69% of the company’s total revenue.

Industry Profiles
The Edible Oils Products segment produces margarines, packaged and bulk oils, mayonnaise, shortenings, and
other products. It markets and sells packaged vegetable oils under Kujawski, Venusz, Maslenitsa, Floriol, and
Oliwier brands, margarine under Masmix, Keiju, Suvela, Linco and Gottgott brands. The company offers these
products to restaurant chains, infant nutrition companies, confectioners, snack food producers, baked goods
companies, foodservice operators and other food manufacturers. The company also refines and fractionates
coconut oil, palm oil, shea butter and palm kernel oil, and blends and refines olive oil. Moreover, it produces
specialty ingredients, which inclde lecithin derived from vegetable oils. In FY2019, the segment produced a total of
9,606 thousand metric tons of edible oils and operates refining and packaging facilities in North America, South
America, Europe and Asia-Pacific. In FY2019, the Edible Oil Products segment reported revenue of US$9,186
million, which accounted for 22.3% of the company’s total revenue.
The Sugar and Bioenergy segment procures and grows sugarcane and the production of sugar, ethanol and
electricity. The company operates eight sugarcane mills in Brazil. It produces two types of sugar: very high polarity
(‘VHP’) raw sugar and white crystal sugar. It produces and sells two types of ethanol: hydrous and anhydrous. The
segment also generates electricity from burning sugarcane bagasse in its sugarcane mills. It sources sugarcane
from approximately 313,000 hectares of land. Approximately 70% of total milled sugarcane was produced from
owned and managed plantations and 30% was purchased from third-party suppliers. As of December 2019, the
company produced 3,836 thousand metric tons of sugar and bioenergy. In FY2019, Sugar and Bioenergy segment
reported revenue of US$1,288 million, which accounted for 3.1% of the company’s total revenue.
The Milling Products segment purchase corn, wheat and rice directly from dealers and farmers, and processes
them into milled products for brewers, food processors, snack food producers, bakeries and other customers. Its
major brands include Pre-Mescla, Primor and Predileta, Suprema, Gradina and Soberana in Brazil, and Francesera,
Pastelera, Chulita, Galletera, Espiga and Esponja in Mexico. As of December 2019, it produced a total of 4,531
thousand metric tons of milling products. In FY2019, the Milling Products segment reported revenue of US$1,739
million, which accounted for 4.2% of the company’s total revenue.
The Fertilizer segment produces, blends and distributes nitrogen-based liquid and solid phosphate fertilizers in
Uruguay, Argentina and Paraguay. The segment also includes port operations in Brazil. As of December 2019, it
produced a total of 1,508 thousand metric tons of fertilizers. It operates and manages three fertilizer processing
and blending plants in Argentina and fertilizer ports in Brazil and Argentina. In FY2019, Fertilizer segment reported
revenue of US$520 million, which accounted for 1.4% of the company’s total revenue.
Geographically, the company classifies its operations into seven regions, namely, Europe, the US, Brazil, Asia-
Pacific, Canada, Argentina and Rest of world. In FY2019, Europe accounted for 37% of the company’s total
revenue, followed by the US (22%), Asia-Pacific (19%), Brazil (12.6%), Rest of the World (4%), Canada (3%), and
Argentina (2.4%).

Industry Profiles
Table 16: Bunge Limited: Annual Financial Ratios

Key Ratios 2015 2016 2017 2018 2019
Growth Ratios
Sales Growth % -1.79 7.30 -0.11 -10.06
Operating Income Growth % -15.42 -71.32 179.14 -221.83
EBITDA Growth % -10.61 -43.06 60.81 -132.70
Net Income Growth % -5.82 -78.52 66.88 -579.40
EPS Growth % 11.50 -76.35 11.20 -139.43
Working Capital Growth % -4.70 22.89 -6.97 -6.24
Equity Ratios
EPS (Earnings per Share) USD 4.62 4.84 1.13 1.28 -9.42
Dividend Cover Absolute 3.21 3.03 0.64 0.67 -4.71
Gross Margin % 6.20 5.65 3.85 4.95 5.40
Operating Margin % 2.87 2.47 0.66 1.84 -2.50
Net Profit Margin % 1.82 1.75 0.35 0.58 -3.11
Profit Markup % 6.61 5.98 4.01 5.21 5.70
PBT Margin (Profit Before Tax) % 2.42 2.33 0.50 1.00 -2.93
Return on Equity % 12.28 10.43 2.24 4.33 -21.65
Return on Capital Employed % 11.77 9.15 2.39 6.88 -8.76
Return on Assets % 8.83 4.02 0.84 1.39 -6.78
Return on Working Capital % 34.82 30.90 7.21 21.64 -28.11
Liquidity Ratios
Leverage Ratios
Efficiency Ratios

Industry Profiles
Table 17: Bunge Limited: Key Employees

Aaron Buettner President Bunge Loders Croklaan (BLC) Senior Management
Andrew Ferrier Director Non Executive Board
Bernardo Hees Director Non Executive Board
Brian Zachman President Global Risk Management Senior Management
Carol M. Browner Director Non Executive Board
Christos Dimopoulos President Global Supply Chains Senior Management
Curtis Jones Vice President Global Economic Analysis Senior Management
Chief Human Resources and Communications
Deborah Borg Senior Management
Officer
Deborah Borg Executive Vice President Senior Management
Greg Heckman Director Non Executive Board
Gregory A. Heckman Chief Executive Officer Executive Board
Gregory A. Heckman Director Executive Board
Henry W. Jay Winship Director Non Executive Board
J. Erik Fyrwald Director Non Executive Board
John W. Neppl Chief Financial Officer Senior Management
Joseph A. Podwika Chief Legal Officer Senior Management
Kathleen Hyle Chairman Non Executive Board
Mark Zenuk Director Non Executive Board
Paul J. Fribourg Director Non Executive Board
Pierre Mauger Chief Transformation Officer Senior Management
Raul Padilla President Global Operations Senior Management
Robert Coviello Chief Growth and Strategy Officer Senior Management
Robert Coviello Executive Vice President Senior Management
Robert Wagner Chief Risk Officer Senior Management
Sheila Bair Director Non Executive Board
Vinita Bali Director Non Executive Board

Industry Profiles
8.4. Cargill, Incorporated
Cargill, Incorporated (Cargill or 'the company') is involved in providing food, agricultural, financial, and industrial
products and services. The company buys crops, stores and distributes worldwide. Besides that, it also produces
value added commodities for food feed and fuel, handles and process animals for protein products and also
produces ingredients and protein products for consumer goods companies and distributors. Cargill is also
involved in distribution foods to retail stores and restaurants. Its major business areas include animal nutrition
and protein; food ingredients and applications; origination and processing; and industrial and financial services.
The company operates in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is
headquartered in Minneapolis, Minnesota, the US.
8.4.2. Key Facts
Table 18: Cargill, Incorporated: key facts
Head office: P.O. Box 9300 , Minneapolis, Minnesota, United States

Website: www.cargill.com
Financial year-end: May
Cargill Inc (Cargill) provides products and services in the food, financial products, agricultural, industrial and risk
management fields. It carries out marketing, processing and distribution of salt, cotton, grains, sugar, oilseeds,
meat and other food products; petroleum trading; financial trading; futures brokering; and feed and fertilizer
production activities.
Cargill operates its business through twelve segments: Animal Nutrition, Food and beverage, Bio industrial, Food
services, Agriculture, Risk management, Meat and poultry, Industrial, Beauty, Pharmaceutical, Transportation.
The Animal Nutrition segment provides animal nutrition products and services to commercial producers in the
beef, aqua, pork, dairy, poultry and pet food fields. It also offers a comprehensive range of meat and poultry
products to food manufacturers, food-service companies and retailers, and industrial customers.
The Food and beverage segment provides LinkedIn Cargill Food & Beverage Showcase page Ingredients, resources
and expertise for creating food and beverage products. It also provides raw materials for animal nutrition and
industrial applications.
The Bio industrial segment provides Adhesives and binders, Asphalt Solutions, Candle Making, Chemical industry,
Construction, Dielectric fluids, Drilling, Foams and flooring, Homecare.
The Food services segment provides LinkedIn Cargill Food & Beverage Showcase page Ingredients, resources and
expertise for creating food products.
The Agriculture segment provides connect producers and users of grains and oilseeds around the globe through
origination, trading, processing, and distribution.
The Risk Management segment provides Customized hedging solutions to mitigate risks and uncertainties in more
than hundred commodities and currencies.

Industry Profiles
The Meat and Poultry segment provides food producers, retailers and foodservice operators with wholesome
meat and poultry products all around the globe.
The Industrial Segment provides Salt and deicing solutions, metal and steel trading. In salt and deicing category
consists of Winter Road Maintenance and Industrial Salts. The Metal and steel trading consists of Metals Supply
Chain and China Metals & International Steel.
Under Beauty segment includes Natural raw materials, nature-derived ingredients and innovation services for
personal care products.
Under Pharmaceuticals includes Nature-based excipients and active ingredients for a range of pharmaceutical
products.
Under Transportation includes Deep expertise in transporting bulk commodities and finished products.
Geographically, Cargill operates in Asia Pacific, North America, Latin America, and Europe, the Middle East and
Africa.

Industry Profiles
Table 19: Cargill, Incorporated: Key Employees

Anna Richo Chief Compliance Officer Senior Management
Anna Richo General Counsel Senior Management
Anna Richo Secretary Senior Management
Brian Sikes Chief Operating Officer Senior Management
David Dines Chief Financial Officer Senior Management
David MacLennan Chairman Executive Board
David MacLennan Chief Executive Officer Executive Board
David Webster Head Animal Nutrition Senior Management
Dr. Omar Ishrak Director Non Executive Board
Frank van Lierde Head Food Ingredients and Bio Industrial Senior Management
Joe Stone Head Agricultural Supply Chain Senior Management
Julian Chase Chief Transformation Officer Senior Management
Marcel Smits Chairman Asia Pacific Executive Board
Marcel Smits Head - Corporate Strategy Executive Board
Myriam Beatove Chief Human Resources Officer Senior Management
Ruth Kimmelshue Head Business Operations and Supply Chain Senior Management

Industry Profiles
9. Macroeconomic Indicators
9.1. Country data
Table 20: United States size of population (million), 2016–20
Year Population (million) % Growth

2016 323.8 0.8%
2017 326.3 0.8%
2018 328.9 0.8%
2019 331.4 0.8%
2020 333.9 0.8%
Table 21: United States gdp (constant 2005 prices, $ billion), 2016–20
Year Constant 2005 Prices, $ billion % Growth

2016 15,739.0 3.0%
2017 16,161.3 2.7%
2018 16,559.0 2.5%
2019 16,929.6 2.2%
2020 17,270.7 2.0%
Table 22: United States gdp (current prices, $ billion), 2016–20
Year Current Prices, $ billion % Growth

2016 19,223.8 5.0%
2017 20,145.1 4.8%
2018 21,077.3 4.6%
2019 21,993.9 4.3%
2020 22,953.1 4.4%
Table 23: United States inflation, 2016–20

Industry Profiles
Year Inflation Rate (%)

2016 2.1%
2017 2.3%
2018 2.3%
2019 2.2%
2020 2.4%
Table 24: United States consumer price index (absolute), 2016–20
Year Consumer Price Index (2005 = 100)

2016 126.4
2017 129.3
2018 132.2
2019 135.1
2020 138.3
Table 25: United States exchange rate, 2016–20
Year Exchange rate (€/$)

2016 1.1068
2017 1.1320
2018 1.1810
2019 1.1200
2020 1.1405

Industry Profiles
Appendix
Methodology
MarketLine Industry Profiles draw on extensive primary and secondary research, all aggregated, analyzed, cross-
checked and presented in a consistent and accessible style.
Review of in-house databases – Created using 250,000+ industry interviews and consumer surveys and supported by
analysis from industry experts using highly complex modeling & forecasting tools, MarketLine’s in-house databases
provide the foundation for all related industry profiles
Preparatory research – We also maintain extensive in-house databases of news, analyst commentary, company profiles
and macroeconomic & demographic information, which enable our researchers to build an accurate market overview
Definitions – Market definitions are standardized to allow comparison from country to country. The parameters of each
definition are carefully reviewed at the start of the research process to ensure they match the requirements of both the
market and our clients
Extensive secondary research activities ensure we are always fully up-to-date with the latest industry events and trends
MarketLine aggregates and analyzes a number of secondary information sources, including:
- National/Governmental statistics
- International data (official international sources)
- National and International trade associations
- Broker and analyst reports
- Company Annual Reports
- Business information libraries and databases
Modeling & forecasting tools – MarketLine has developed powerful tools that allow quantitative and qualitative data to
be combined with related macroeconomic and demographic drivers to create market models and forecasts, which can
then be refined according to specific competitive, regulatory and demand-related factors
Continuous quality control ensures that our processes and profiles remain focused, accurate and up-to-date

Industry Profiles
9.2. Industry associations
9.2.1. National Association of State Departments of Agriculture
1156 15th Street, N.W., Suite 1020, Washington, D.C. 20005, USA
Tel.: 1 202 296 9680
Fax: 1 202 296 9686
www2.nasda.org/NASDA
9.2.2. National Association of Wheat Growers
415 Second Street NE, Suite 300, Washington, DC 20002, USA

Tel.: 1 202 547 7800
Fax: 1 202 546 2638
www.wheatworld.org
9.2.3. U.S. Wheat Associates
3103 10th Street, North Suite 300, Arlington, VA 22201, USA

Tel.: 1 202 463 0999
Fax: 1 703 524 4399
www.uswheat.org
9.2.4. International Federation of Agricultural Producers
60 rue Saint-Lazare, 75009 Paris, FRA

Tel.: 33 1 4526 0553
Fax: 33 1 4874 7212
www.ifap.org
9.2.5. International Food and Agribusiness Management Association
IAMA Business Office 333 Blocker Building 2124 TAMU College Station, Texas 77843-2124 , USA
Tel.: 1 979 845 2118
Fax: 1 979 862 1487
www.ifama.org

Industry Profiles
9.3. Related MarketLine research
9.3.1. Industry Profile
Global Cereal Crops

Cereal Crops in Europe
Cereal Crops in Asia-Pacifc

Industry Profiles
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Cereal Crops in The United States August 2021: Marketline Industry Profile

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Cereal Crops in the United States

Reference Code: 0072-2600

Publication Date: August 2021

Primary NAICS: 1111

Secondary NAICS: 111140,111160

© MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED Page | 1

1.1. Market value

1.2. Market value forecast

1.3. Market volume

1.4. Market volume forecast

1.5. Category segmentation

1.6. Geography segmentation

1.7. Market rivalry

1.8. Competitive Landscape

© MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED Page | 2

© MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED Page | 3

1.1. Market value ................................................................................................................................................2

1.2. Market value forecast ..................................................................................................................................2

1.3. Market volume.............................................................................................................................................2

1.4. Market volume forecast...............................................................................................................................2

1.5. Category segmentation................................................................................................................................2

1.6. Geography segmentation.............................................................................................................................2

1.7. Market rivalry...............................................................................................................................................2

1.8. Competitive Landscape ................................................................................................................................2

2.1. Market definition .........................................................................................................................................8

2.2. Market analysis ............................................................................................................................................8

3.1. Market value ..............................................................................................................................................10

3.2. Market volume...........................................................................................................................................11

4.1. Category segmentation..............................................................................................................................12

4.2. Geography segmentation...........................................................................................................................13

5.1. Market value forecast ................................................................................................................................14

5.2. Market volume forecast.............................................................................................................................15

6. Five Forces Analysis 16

6.1. Summary ....................................................................................................................................................16

6.2. Buyer power...............................................................................................................................................17

6.3. Supplier power ...........................................................................................................................................18

6.4. New entrants .............................................................................................................................................20

© MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED Page | 4

6.5. Threat of substitutes ..................................................................................................................................22

6.6. Degree of rivalry.........................................................................................................................................23

7.1. Who are the leading players? ....................................................................................................................25

7.2. What strategies do leading players in the industry follow?.......................................................................25

7.3. What are the strengths of leading players? ...............................................................................................26

7.6. How has protectionism affected the industry?..........................................................................................27

8.1. Archer Daniels Midland Co.........................................................................................................................28

8.2. CHS Inc. ......................................................................................................................................................32

8.3. Bunge Limited ............................................................................................................................................37

8.4. Cargill, Incorporated ..................................................................................................................................41

9.1. Country data ..............................................................................................................................................44

9.2. Industry associations..................................................................................................................................47

9.3. Related MarketLine research .....................................................................................................................48

© MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED Page | 5

Table 7: Archer Daniels Midland Co: key facts 28

Table 8: Archer Daniels Midland Co: Annual Financial Ratios 29

Table 9: Archer Daniels Midland Co: Key Employees 30

Table 10: Archer Daniels Midland Co: Key Employees Continued 31

Table 11: CHS Inc.: key facts 32

Table 12: CHS Inc.: Annual Financial Ratios 34

Table 13: CHS Inc.: Key Employees 35

Table 14: CHS Inc.: Key Employees Continued 36

Table 15: Bunge Limited: key facts 37

Table 16: Bunge Limited: Annual Financial Ratios 39