Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2023 | Aug. 03, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-16625 | |
Entity Registrant Name | BUNGE LIMITED | |
Entity Incorporation, State or Country Code | D0 | |
Entity Tax Identification Number | 98-0231912 | |
Entity Address, Address Line One | 1391 Timberlake Manor Parkway | |
Entity Address, City or Town | Chesterfield | |
Entity Address, State or Province | MO | |
Entity Address, Postal Zip Code | 63017 | |
City Area Code | 314 | |
Local Phone Number | 292-2000 | |
Title of 12(b) Security | Common Shares, $0.01 par value per share | |
Trading Symbol | BG | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 150,642,387 | |
Entity Central Index Key | 0001144519 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Statement [Abstract] | ||||
Net sales | $ 15,049 | $ 17,933 | $ 30,377 | $ 33,813 |
Cost of goods sold | (13,684) | (17,161) | (27,831) | (31,837) |
Gross profit | 1,365 | 772 | 2,546 | 1,976 |
Selling, general and administrative expenses | (420) | (334) | (773) | (642) |
Interest income | 40 | 11 | 83 | 20 |
Interest expense | (129) | (92) | (241) | (203) |
Foreign exchange (losses) gains | (66) | (110) | (17) | (98) |
Other income (expense) – net | 12 | (6) | 27 | (53) |
Income (loss) from affiliates | 25 | 20 | 44 | 65 |
Income (loss) before income tax | 827 | 261 | 1,669 | 1,065 |
Income tax (expense) benefit | (198) | (36) | (381) | (144) |
Net income (loss) | 629 | 225 | 1,288 | 921 |
Net (income) loss attributable to noncontrolling interests and redeemable noncontrolling interests | (7) | (19) | (34) | (27) |
Net income (loss) attributable to Bunge | $ 622 | $ 206 | $ 1,254 | $ 894 |
Earnings per common share—basic (Note 18) | ||||
Net income (loss) attributable to Bunge common shareholders—basic (in dollars per share) | $ 4.13 | $ 1.36 | $ 8.34 | $ 6.08 |
Earnings per common share—diluted (Note 18) | ||||
Net income (loss) attributable to Bunge common shareholders—diluted (in dollars per share) | $ 4.09 | $ 1.34 | $ 8.24 | $ 5.81 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 629 | $ 225 | $ 1,288 | $ 921 |
Other comprehensive income (loss): | ||||
Foreign exchange translation adjustment | 143 | (289) | 268 | 100 |
Unrealized gains (losses) on designated hedges, net of tax (expense) benefit of $(2) and $(3) in 2023 and zero and $(2) in 2022 | (66) | 47 | (92) | (70) |
Reclassification of net (gains) losses to net income, net of tax expense (benefit) of $(1) and $(1) in 2023 and $2 and $12 in 2022 | (1) | (5) | 103 | (34) |
Total other comprehensive income (loss) | 76 | (247) | 279 | (4) |
Total comprehensive income (loss) | 705 | (22) | 1,567 | 917 |
Comprehensive (income) loss attributable to noncontrolling interests and redeemable noncontrolling interests | (3) | 5 | (33) | 12 |
Total comprehensive income (loss) attributable to Bunge | $ 702 | $ (17) | $ 1,534 | $ 929 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parentheticals) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Unrealized gains (losses) on designated hedges, tax benefit (expense) | $ (2) | $ 0 | $ (3) | $ (2) |
Reclassification of net (gains) losses to net income, tax expense (benefit) | $ (1) | $ 2 | $ (1) | $ 12 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 1,330 | $ 1,104 |
Trade accounts receivable (less allowances of $97 and $90) (Note 4) | 2,599 | 2,829 |
Inventories (Note 5) | 8,806 | 8,408 |
Assets held for sale (Note 2) | 0 | 36 |
Other current assets (Note 6) | 4,465 | 4,381 |
Total current assets | 17,200 | 16,758 |
Property, plant and equipment, net | 4,152 | 3,617 |
Operating lease assets | 951 | 1,024 |
Goodwill | 484 | 470 |
Other intangible assets, net | 346 | 360 |
Investments in affiliates | 1,157 | 1,012 |
Deferred income taxes | 697 | 712 |
Other non-current assets (Note 7) | 725 | 627 |
Total assets | 25,712 | 24,580 |
Current liabilities: | ||
Short-term debt (Note 13) | 667 | 546 |
Current portion of long-term debt (Note 13) | 4 | 846 |
Trade accounts payable (includes $1,095 and $643 carried at fair value) (Note 11) | 4,248 | 4,386 |
Current operating lease obligations | 370 | 425 |
Liabilities held for sale (Note 2) | 0 | 18 |
Other current liabilities (Note 10) | 3,002 | 3,379 |
Total current liabilities | 8,291 | 9,600 |
Long-term debt (Note 13) | 4,278 | 3,259 |
Deferred income taxes | 381 | 365 |
Non-current operating lease obligations | 529 | 547 |
Other non-current liabilities (Note 16) | 871 | 849 |
Redeemable noncontrolling interest | 4 | 4 |
Equity (Note 17): | ||
Common shares, par value $.01; authorized – 400,000,000 shares; issued and outstanding: 2023 – 150,630,209 shares, 2022 – 149,907,932 shares | 1 | 1 |
Additional paid-in capital | 6,706 | 6,692 |
Retained earnings | 11,279 | 10,222 |
Accumulated other comprehensive income (loss) (Note 17) | (6,091) | (6,371) |
Treasury shares, at cost; 2023 and 2022 - 18,835,812 shares | (1,320) | (1,320) |
Total Bunge shareholders’ equity | 10,575 | 9,224 |
Noncontrolling interests | 783 | 732 |
Total equity | 11,358 | 9,956 |
Total liabilities, redeemable noncontrolling interest and equity | $ 25,712 | $ 24,580 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Trade accounts receivable, allowances | $ 97 | $ 90 |
Trade accounts payable at fair value | $ 1,095 | $ 643 |
Common shares, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common shares, authorized (in shares) | 400,000,000 | 400,000,000 |
Common shares, issued (in shares) | 150,630,209 | 149,907,932 |
Common shares, outstanding (in shares) | 150,630,209 | 149,907,932 |
Treasury shares, at cost (in shares) | 18,835,812 | 18,835,812 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
OPERATING ACTIVITIES | ||
Net income (loss) | $ 1,288 | $ 921 |
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities: | ||
Impairment charges | 22 | 0 |
Foreign exchange (gain) loss on net debt | (174) | (6) |
Bad debt expense | 4 | 9 |
Depreciation, depletion and amortization | 208 | 204 |
Share-based compensation expense | 34 | 32 |
Deferred income tax expense (benefit) | 67 | (59) |
(Gain) loss on sale of investments and property, plant and equipment | (3) | 0 |
Results from affiliates | (61) | (65) |
Other, net | 52 | 92 |
Changes in operating assets and liabilities, excluding the effects of acquisitions and dispositions: | ||
Trade accounts receivable | 290 | (341) |
Inventories | (195) | (2,341) |
Secured advances to suppliers | (11) | 46 |
Trade accounts payable and accrued liabilities | (605) | 943 |
Advances on sales | (220) | (54) |
Net unrealized (gains) losses on derivative contracts | (262) | (159) |
Margin deposits | (22) | (86) |
Recoverable and income taxes, net | (87) | (152) |
Marketable securities | 36 | 285 |
Beneficial interest in securitized trade receivables | 0 | (3,443) |
Other, net | 111 | (283) |
Cash provided by (used for) operating activities | 472 | (4,457) |
INVESTING ACTIVITIES | ||
Payments made for capital expenditures | (541) | (212) |
Proceeds from investments | 14 | 87 |
Payments for investments | (20) | (117) |
Settlements of net investment hedges | (48) | (143) |
Proceeds from beneficial interest in securitized trade receivables | 79 | 3,311 |
Proceeds from disposals of businesses and property, plant and equipment | 162 | 1 |
Payments for investments in affiliates | (130) | (54) |
Other, net | 100 | (6) |
Cash provided by (used for) investing activities | (384) | 2,867 |
FINANCING ACTIVITIES | ||
Net change in short-term debt with maturities of three months or less | (26) | 553 |
Proceeds from short-term debt with maturities greater than three months | 457 | 1,473 |
Repayments of short-term debt with maturities greater than three months | (282) | (450) |
Proceeds from long-term debt | 978 | 50 |
Repayments of long-term debt | (879) | (628) |
Proceeds from the exercise of options for common shares | 4 | 44 |
Dividends paid to common and preference shareholders | (188) | (162) |
Capital contributions from (Return of capital to) noncontrolling interest | 33 | 0 |
Sale of noncontrolling interest | 0 | 521 |
Other, net | (5) | 44 |
Cash provided by (used for) financing activities | 92 | 1,445 |
Effect of exchange rate changes on cash and cash equivalents, restricted cash, and cash held for sale | 28 | 63 |
Net increase (decrease) in cash and cash equivalents, restricted cash, and cash held for sale | 208 | (82) |
Cash and cash equivalents, restricted cash, and cash held for sale - beginning of period | 1,152 | 905 |
Cash and cash equivalents, restricted cash, and cash held for sale - end of period | $ 1,360 | $ 823 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY AND REDEEMABLE NONCONTROLLING INTERESTS - USD ($) $ in Millions | Total | Redeemable Non-Controlling Interests | Convertible Preference Shares | Common Shares | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Shares | Non- Controlling Interests |
Beginning balance at Dec. 31, 2021 | $ 381 | ||||||||
Increase (Decrease) in Temporary Equity | |||||||||
Net income (loss) | 6 | ||||||||
Other comprehensive income (loss) | (36) | ||||||||
Ending balance at Jun. 30, 2022 | 351 | ||||||||
Beginning balance (in shares) at Dec. 31, 2021 | 6,899,683 | ||||||||
Beginning balance (in shares) at Dec. 31, 2021 | 141,057,414 | ||||||||
Beginning balance at Dec. 31, 2021 | $ 7,825 | $ 690 | $ 1 | $ 5,590 | $ 8,979 | $ (6,471) | $ (1,120) | $ 156 | |
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income (loss) | 915 | 894 | 21 | ||||||
Other comprehensive income (loss) | 32 | 35 | (3) | ||||||
Dividends on common shares | (176) | (176) | |||||||
Dividends to noncontrolling interests on subsidiary common stock | (4) | (4) | |||||||
Sale of noncontrolling interest | 521 | 234 | 287 | ||||||
Share-based compensation expense | 32 | 32 | |||||||
Conversion of preference shares to common shares (in shares) | (6,899,683) | 8,863,331 | |||||||
Conversion of preference shares to common shares | 0 | $ (690) | 690 | ||||||
Issuance of common shares, including stock dividends (in shares) | 1,964,709 | ||||||||
Issuance of common shares, including stock dividends | 44 | 49 | (5) | ||||||
Ending balance (in shares) at Jun. 30, 2022 | 0 | ||||||||
Ending balance (in shares) at Jun. 30, 2022 | 151,885,454 | ||||||||
Ending balance at Jun. 30, 2022 | 9,189 | $ 0 | $ 1 | 6,595 | 9,692 | (6,436) | (1,120) | 457 | |
Beginning balance at Mar. 31, 2022 | 370 | ||||||||
Increase (Decrease) in Temporary Equity | |||||||||
Net income (loss) | 2 | ||||||||
Other comprehensive income (loss) | (21) | ||||||||
Ending balance at Jun. 30, 2022 | 351 | ||||||||
Beginning balance (in shares) at Mar. 31, 2022 | 0 | ||||||||
Beginning balance (in shares) at Mar. 31, 2022 | 151,653,069 | ||||||||
Beginning balance at Mar. 31, 2022 | 8,741 | $ 0 | $ 1 | 6,332 | 9,581 | (6,213) | (1,120) | 160 | |
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income (loss) | 223 | 206 | 17 | ||||||
Other comprehensive income (loss) | (226) | (223) | (3) | ||||||
Dividends on common shares | (95) | (95) | |||||||
Dividends to noncontrolling interests on subsidiary common stock | (4) | (4) | |||||||
Sale of noncontrolling interest | 521 | 234 | 287 | ||||||
Share-based compensation expense | 16 | 16 | |||||||
Issuance of common shares, including stock dividends (in shares) | 232,385 | ||||||||
Issuance of common shares, including stock dividends | 13 | 13 | |||||||
Ending balance (in shares) at Jun. 30, 2022 | 0 | ||||||||
Ending balance (in shares) at Jun. 30, 2022 | 151,885,454 | ||||||||
Ending balance at Jun. 30, 2022 | 9,189 | $ 0 | $ 1 | 6,595 | 9,692 | (6,436) | (1,120) | 457 | |
Beginning balance at Dec. 31, 2022 | 4 | 4 | |||||||
Ending balance at Jun. 30, 2023 | $ 4 | 4 | |||||||
Beginning balance (in shares) at Dec. 31, 2022 | 0 | ||||||||
Beginning balance (in shares) at Dec. 31, 2022 | 149,907,932 | 149,907,932 | |||||||
Beginning balance at Dec. 31, 2022 | $ 9,956 | $ 0 | $ 1 | 6,692 | 10,222 | (6,371) | (1,320) | 732 | |
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income (loss) | 1,288 | 1,254 | 34 | ||||||
Other comprehensive income (loss) | 279 | 280 | (1) | ||||||
Dividends on common shares | (194) | (194) | |||||||
Dividends to noncontrolling interests on subsidiary common stock | (15) | (15) | |||||||
Capital contribution (return) from (to) noncontrolling interest | 33 | 33 | |||||||
Share-based compensation expense | 34 | 34 | |||||||
Repurchase of common shares | 0 | ||||||||
Issuance of common shares, including stock dividends (in shares) | 722,277 | ||||||||
Issuance of common shares, including stock dividends | $ (23) | (20) | (3) | ||||||
Ending balance (in shares) at Jun. 30, 2023 | 0 | ||||||||
Ending balance (in shares) at Jun. 30, 2023 | 150,630,209 | 150,630,209 | |||||||
Ending balance at Jun. 30, 2023 | $ 11,358 | $ 0 | $ 1 | 6,706 | 11,279 | (6,091) | (1,320) | 783 | |
Beginning balance at Mar. 31, 2023 | 4 | ||||||||
Ending balance at Jun. 30, 2023 | 4 | $ 4 | |||||||
Beginning balance (in shares) at Mar. 31, 2023 | 0 | ||||||||
Beginning balance (in shares) at Mar. 31, 2023 | 150,585,513 | ||||||||
Beginning balance at Mar. 31, 2023 | 10,719 | $ 0 | $ 1 | 6,688 | 10,757 | (6,171) | (1,320) | 764 | |
Increase (Decrease) in Stockholders' Equity | |||||||||
Net income (loss) | 629 | 622 | 7 | ||||||
Other comprehensive income (loss) | 76 | 80 | (4) | ||||||
Dividends on common shares | (100) | (100) | |||||||
Dividends to noncontrolling interests on subsidiary common stock | (15) | (15) | |||||||
Capital contribution (return) from (to) noncontrolling interest | 31 | 31 | |||||||
Share-based compensation expense | 17 | 17 | |||||||
Issuance of common shares, including stock dividends (in shares) | 44,696 | ||||||||
Issuance of common shares, including stock dividends | $ 1 | 1 | |||||||
Ending balance (in shares) at Jun. 30, 2023 | 0 | ||||||||
Ending balance (in shares) at Jun. 30, 2023 | 150,630,209 | 150,630,209 | |||||||
Ending balance at Jun. 30, 2023 | $ 11,358 | $ 0 | $ 1 | $ 6,706 | $ 11,279 | $ (6,091) | $ (1,320) | $ 783 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY AND REDEEMABLE NONCONTROLLING INTERESTS (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | |||
May 11, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of Stockholders' Equity [Abstract] | |||||
Dividends on common shares (in dollars per share) | $ 0.6625 | $ 0.6625 | $ 0.625 | $ 1.2875 | $ 1.15 |
BASIS OF PRESENTATION, PRINCIPL
BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES | BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited condensed consolidated financial statements include the accounts of Bunge Limited ("Bunge" or the "Company"), its subsidiaries and variable interest entities ("VIEs") in which Bunge is considered to be the primary beneficiary, and as a result, include the assets, liabilities, revenues and expenses of all entities over which Bunge has a controlling financial interest. The financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X under the Securities Exchange Act of 1934, as amended ("Exchange Act"). Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to Securities and Exchange Commission ("SEC") rules. In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation have been included. The condensed consolidated balance sheet at December 31, 2022 has been derived from Bunge’s audited consolidated financial statements at that date. Operating results for the six months ended June 30, 2023 are not necessarily indicative of the results to be expected for the year ending December 31, 2023. The financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2022, forming part of Bunge’s 2022 Annual Report on Form 10-K filed with the SEC on February 24, 2023. Effective January 1, 2023, the Company changed its reporting of cash proceeds from and repayments of short-term debt with maturities of three months or less to be presented on a net basis in its condensed consolidated statements of cash flows. Prior to January 1, 2023, the Company presented cash proceeds from and repayments of short-term debt with maturities of three months or less separately in its consolidated statements of cash flows. Prior period amounts have been reclassified to conform to current presentation. On April 9, 2023, Argentina’s government published Emergency Decree 194/2023 Programa de Incremento Exportador (the “Export Program”) which introduced a preferential U.S. dollar to Argentine peso foreign exchange rate available exclusively during the period between April 10, 2023 and May 31, 2023, payable to Argentinian farmers on qualifying Argentine peso denominated sales of certain commodities. The Export Program, and similar Argentinian government programs in 2022, is aimed at boosting farmer selling and in turn commodity exports. Please refer to Note 1 – Nature of Business, Basis of Presentation, and Significant Accounting Policies , included in the Company’s 2022 Annual Report on Form 10-K for further details on the 2022 government programs. Bunge is both a receiver of the preferential exchange rate for cash converted to Argentine pesos , as well as a payer of the same preferential rate on purchases of various commodities from farmers and related export duties. Transactions related to the Export Program were accounted for at the preferential rate. Ukraine-Russia War On February 24, 2022, Russia initiated a military invasion of Ukraine (the "war"). Bunge’s Ukrainian operations comprise two oilseed crushing facilities, located in Mykolaiv and Dnipropetrovsk, a grain export terminal in Mykolaiv commercial seaport, numerous grain elevators, and an office in Kiev. The Company also operates a corn milling facility in Ukraine via a joint venture. As of June 30, 2023, total assets and total liabilities associated with Bunge’s Ukrainian subsidiaries each comprise approximately 2% of Bunge’s consolidated Total assets and Total liabilities, respectively. Bunge’s operational activities in Ukraine have steadily increased during recent months, but remain limited and are subject to Bunge's ability to perform activities safely. On July 17, 2023, an agreement allowing the safe export of grain from three Ukrainian ports (Pivdennyi/Yuzhnvi, Odesa, and Chornomorsk; the "POC corridor") on the Black Sea expired. Following the termination of the POC corridor agreement, Russian attacks on key Ukrainian export infrastructure locations intensified. As of August 8, 2023, the termination of the POC corridor agreement and recent Russian attacks on key export infrastructure have not significantly impacted Bunge's operations in Ukraine. The scope, intensity, duration, and outcome of the ongoing war is uncertain, and any continuation or escalation of the war may have a material adverse effect on Bunge, including its Ukrainian operations. In the three and six months ended June 30, 2023, the Company recognized mark-to-market gains of $9 million and $19 million, respectively, in Cost of goods sold in the condensed consolidated statements of income related to inventory recovered from its Mykolaiv and other facilities which had no carrying value as of December 31, 2022. No impairments or charges related to the war were recorded in the three and six months ended June 30, 2023. Please refer to Note 2 - Ukraine-Russia War , included in the Company's 2022 Annual Report on Form 10-K for further details regarding the impact of the war on Bunge's financial statements. Cash, Cash Equivalents and Restricted Cash Restricted cash is included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the condensed consolidated statements of cash flows. The following table provides a reconciliation of cash and cash equivalents and restricted cash, reported within the condensed consolidated balance sheets, which sum to the total of the same such amounts shown in the condensed consolidated statements of cash flows. (US$ in millions) June 30, 2023 June 30, 2022 Cash and cash equivalents $ 1,330 $ 818 Restricted cash included in Other current assets 30 5 Total $ 1,360 $ 823 Cash paid for inco me taxes , net of refunds received, was $312 million and $260 million for the six months ended June 30, 2023 and 2022, respectively. Cash paid for interest expense was $242 million and $221 million for the six months ended June 30, 2023 and 2022, respectively. Recently Adopted Accounting Pronouncements In March 2020, the FASB issued Accounting Standards Update ("ASU") 2020-04, Reference Rate Reform (Topic 848), to provide temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting designed to ease the financial reporting burden related to reference rate reform. In December 2022, the FASB subsequently issued ASU 2022-06, Deferral of the Sunset Date of Topic 848 , to ensure the relief in Topic 848 covers the period of time during which a significant number of modifications to eligible contracts and hedging relationships may take place. The ASU defers the sunset date of Topic 848 from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. The Company is applying this guidance prospectively to all eligible contract modifications through December 31, 2024. As of June 30, 2023, Bunge has concluded the modification of all eligible contracts and the adoption of this guidance did not have a material impact on Bunge's condensed consolidated financial statements. |
ACQUISITIONS AND DISPOSITIONS
ACQUISITIONS AND DISPOSITIONS | 6 Months Ended |
Jun. 30, 2023 | |
Business Combination, Asset Acquisition And Discontinued Operations and Disposal Groups [Abstract] | |
ACQUISITIONS AND DISPOSITIONS | ACQUISITIONS AND DISPOSITIONS Acquisitions Viterra Limited Business Combination Agreement On June 13, 2023, Bunge entered into a definitive business combination agreement (the "Agreement") with Viterra Limited ("Viterra") and its shareholders including certain affiliates of Glencore PLC, Canada Pension Plan Investment Board, and British Columbia Investment Management Corporation (collectively, the "Sellers"), to acquire Viterra in a stock and cash transaction. The acquisition of Viterra by Bunge will create an innovative global agribusiness company well positioned to meet the demands of increasingly complex markets and better serve farmers and end-customers. Under the terms of the Agreement, Viterra shareholders are anticipated to receive approximately 65.6 million of common shares of Bunge issued stock, with an aggregate value of approximately $6.2 billion as of June 30, 2023 and receive approximately $2.0 billion in cash (together, the "Transaction Consideration"), in return for 100% of the outstanding equity of Viterra. The determination of the final value of the Transaction Consideration will depend on the Company's stock price at the time of closing. Upon completion of the transaction, the Viterra sellers are expected to own approximately 30% of the combined Bunge company on a fully diluted basis, before giving effect to any future share repurchases by Bunge. In connection with the execution of the Agreement, Bunge has secured a total of $8.0 billion in acquisition debt financing ("Acquisition Financing"). Bunge intends to use a portion of the Acquisition Financing to fund the cash portion of the Transaction Consideration, and the remainder for repayment of certain indebtedness of Viterra, totaling approximately $6.6 billion, which is expected to be repaid at Closing and for the ongoing operations of the combined company following closing. See Note 13 - Debt for further information. The acquisition is expected to close in mid-2024, subject to Bunge shareholder approval and satisfaction of regulatory approvals and other customary closing conditions. The Agreement may be terminated by mutual written consent of the parties and includes certain customary termination rights. If the Agreement is terminated in connection with certain circumstances relating to the failure to obtain certain antitrust and competition clearances that are conditions to closing, Bunge would be obligated to pay the Sellers a fee of $400 million in the aggregate. Additionally, on June 12, 2023 in contemplation of the Agreement, Bunge's Board of Directors approved a $1.7 billion expansion of the existing share repurchase program for the repurchase of Bunge's issued and outstanding common shares. Approximately $300 million remained outstanding under the existing program prior to the expansion of the program, resulting in an aggregate of $2.0 billion that remains outstanding for repurchases under the program. See Note 17 - Equity for further details. Fuji Oils New Orleans, LLC Port Based Refinery On April 14, 2023, Bunge, through its 80% ownership of Bunge Loders Croklaan joint venture with IOI Corporation Berhad, completed its purchase of Fuji Oils New Orleans, LLC's port based refinery. The refinery is located in International-Matex Tank Terminals' Avondale Terminal, in Avondale, Louisiana in the United States. Cash consideration for the asset acquisition of $181 million was allocated to Property, plant and equipment, net ($220 million), inclusive of a finance lease right of use asset ($52 million), long-term finance lease obligations ($41 million) included in Long-term debt and Current portion of long-term debt, and other net working capital ($2 million). Dispositions Russian Oilseed Processing and Refining Operations Disposition On September 16, 2022, Bunge signed an agreement to sell its remaining Russian operations, primarily comprising an oilseed crushing and refining facility in Voronezh, southwest Russia (referred to as the "disposal group"), to Karen Vanetsyan (the "Buyer"), in exchange for a cash price approximately equal to the book value of the disposal group's net assets. On January 9, 2023, Bunge and the Buyer agreed to a purchase price adjustment. The purchase price adjustment and cumulative translation adjustment losses, among other items related to the disposal group, resulted in a corresponding impairment loss on sale of $103 million, recognized in Cost of goods sold for the year ended December 31, 2022. On February 3, 2023, the transaction closed in accordance with the terms of the agreement with no material impact to the condensed consolidated statement of income for the six months ended June 30, 2023. In connection with the transaction, Bunge agreed to indemnify the Buyer against certain legal claims involving Bunge's Russian subsidiary. Management has assessed the likelihood of any loss related to claims covered by the indemnity as remote, and recognized a liability in accordance with Accounting Standards Codification ("ASC") 460, Guarantees . See Note 15 - Commitments and Contingencies for more information. The following table presents the book values of the major classes of assets and liabilities that were included in the disposal group at the closing date. Intercompany balances between the disposal group and other Bunge consolidated entities have been omitted. Assets included in the disposal group comprised $12 million and $21 million, reported under the Agribusiness segment and Refined and Specialty Oils segment, respectively. Liabilities included in the disposal group comprised $6 million and $13 million, reported under the Agribusiness segment and Refined and Specialty Oils segment, respectively. (US$ in millions) Cash and cash equivalents $ 19 Trade accounts receivable (less allowances of zero) 15 Inventories 33 Other current assets 14 Property, plant and equipment, net 24 Goodwill & Other intangible assets, net 10 Other non-current assets 8 Impairment reserve (90) Total assets $ 33 Trade accounts payable and accrued liabilities $ 3 Other current liabilities 16 Total liabilities $ 19 |
TRADE STRUCTURED FINANCE PROGRA
TRADE STRUCTURED FINANCE PROGRAM | 6 Months Ended |
Jun. 30, 2023 | |
Trade Structured Finance Program [Abstract] | |
TRADE STRUCTURED FINANCE PROGRAM | TRADE STRUCTURED FINANCE PROGRAM The Company engages in various trade structured finance activities to leverage the value of its global trade flows. These activities include programs under which the Company generally obtains U.S. dollar-denominated letters of credit ("LCs") from financial institutions, each based on an underlying commodity trade flow, and time deposits denominated in either the local currency of the financial institutions' counterparties or in U.S. dollars, as well as foreign exchange forward contracts, in which trade related payables are set-off against receivables, all of which are subject to legally enforceable set-off agreements. As of June 30, 2023 and December 31, 2022, time deposits and LCs of $5,212 million and $5,901 million, respectively, were presented net on the condensed consolidated balance sheets as the criteria of ASC 210-20, Offsetting , had been met. The net losses and gains related to such activities are included as an adjustment to Cost of goods sold in the accompanying condensed consolidated statements of income. As of June 30, 2023 and December 31, 2022, time deposits, including those presented on a net basis, carried weighted-average interest rates of 5.40% and 3.46%, respectively. During the six months ended June 30, 2023 and 2022, total net proceeds from issuances of LCs were $3,035 million and $3,689 million, respectively. These cash inflows were offset by the related cash outflows resulting from placement of the time deposits and repayment of the LCs. All cash flows related to the programs are included in operating activities in the condensed consolidated statements of cash flows. As part of the trade structured finance activities, LCs may be sold to financial institutions on a discounted basis. Bunge does not service derecognized LCs. The terms of the sale may require the Company to continue to make periodic interest payments to financial institutions based on changes in the Secured Overnight Financing Rate ("SOFR") for a period of up to 365 days. Bunge’s payment obligation to financial institutions as part of the trade structured finance activities, reported in Other current liabilities, including any unrealized gain or loss on changes in SOFR is not significant as of June 30, 2023 or December 31, 2022. The notional amounts of LCs subject to continuing variable interest payments that have been derecognized from the Company's condensed consolidated balance sheets as of June 30, 2023 and December 31, 2022 are included in Note 12 - Derivative Instruments And Hedging Activities . The net gain or loss included in Cost of goods sold resulting from the fair valuation of such variable interest rate obligations is not significant for the three and six month periods ended June 30, 2023 and 2022. |
TRADE ACCOUNTS RECEIVABLE AND T
TRADE ACCOUNTS RECEIVABLE AND TRADE RECEIVABLES SECURITIZATION PROGRAM | 6 Months Ended |
Jun. 30, 2023 | |
Transfers and Servicing [Abstract] | |
TRADE ACCOUNTS RECEIVABLE AND TRADE RECEIVABLES SECURITIZATION PROGRAM | TRADE ACCOUNTS RECEIVABLE AND TRADE RECEIVABLES SECURITIZATION PROGRAM Trade Accounts Receivable Changes to the allowance for lifetime expected credit losses related to Trade accounts receivable were as follows: Six Months Ended June 30, 2023 Rollforward of the Allowance for Credit Losses (US$ in millions) Short-term Long-term (1) Total Allowance as of January 1, 2023 $ 90 $ 46 $ 136 Current period provisions 39 — 39 Recoveries (33) (1) (34) Write-offs charged against the allowance (1) (12) (13) Foreign exchange translation differences 2 1 3 Allowance as of June 30, 2023 $ 97 $ 34 $ 131 (1) Long-term portion of the allowance for credit losses is included in Other non-current assets. Six Months Ended June 30, 2022 Rollforward of the Allowance for Credit Losses (US$ in millions) Short-term Long-term (1) Total Allowance as of January 1, 2022 $ 85 $ 47 $ 132 Current period provisions 27 1 28 Recoveries (19) — (19) Write-offs charged against the allowance (10) (3) (13) Foreign exchange translation differences (1) 2 1 Allowance as of June 30, 2022 $ 82 $ 47 $ 129 (1) Long-term portion of the allowance for credit losses is included in Other non-current assets. Trade Receivables Securitization Program Bunge and certain of its subsidiaries participate in a trade receivables securitization program (the "Program") with a financial institution, as administrative agent, and certain commercial paper conduit purchasers and committed purchasers (collectively, the "Purchasers"). Koninklijke Bunge B.V., a wholly owned subsidiary of Bunge, acts as master servicer, responsible for servicing and collecting the accounts receivable for the Program. The Program is designed to enhance Bunge’s financial flexibility by providing an additional source of liquidity for its operations. Bunge may also, from time to time with the consent of the administrative agent, request one or more of the existing committed purchasers or new committed purchasers to increase the total commitments by an amount not to exceed $250 million pursuant to an accordion provision. The Program includes sustainability provisions, pursuant to which the applicable margin will be increased or decreased based on Bunge's performance relative to certain sustainability targets, including, but not limited to, science-based targets that define Bunge's climate goals within its operations and a commitment to a deforestation-free supply chain in 2025. On June 21, 2023, Bunge and its finance subsidiaries terminated the Bunge Master Trust and amended the Program to remove all references and all provisions related to the Bunge Master Trust and to automatically assign Bunge Limited’s obligations as existing guarantor to Bunge Global SA as successor guarantor, effective at the completion of the redomestication (see Note 13 - Debt ). In addition, MUFG Bank, Ltd. and Gotham Funding Corporation were added as a Purchaser under the Program. On November 16, 2022, Bunge and certain of its subsidiaries amended the Program from a deferred purchase price structure to a pledge structure. Under the new structure, Bunge Securitization B.V. ("BSBV"), a consolidated bankruptcy remote special purpose entity, transfers certain trade receivables to the Purchasers in exchange for a cash payment up to $1.1 billion and retains ownership of a population of unsold receivables. BSBV agrees to guaranty the collection of sold receivables and grants a lien to the administrative agent on all unsold receivables. Collections on unsold receivables and guarantee payments are classified as operating activities in Bunge’s condensed consolidated statements of cash flows. At November 16, 2022, the effective date of the amended Program, $741 million of sold receivables were repurchased through a non-cash investing exchange of the Deferred Purchase Price ("DPP"). As of June 30, 2023, the Company had collected a total of $725 million of repurchased receivables, including $79 million collected in the first six months of 2023, which are reported as Proceeds from beneficial interest in securitized trade receivables under investing activities in the consolidated statements of cash flows. The Program will terminate on May 17, 2031; however, each committed purchaser's commitment to purchase trade receivables under the Program will terminate earlier on May 17, 2025, unless extended for an additional period in accordance with the terms of the receivables transfer agreement. (US$ in millions) June 30, December 31, Receivables sold that were derecognized from Bunge's balance sheet $ 1,100 $ 1,100 Unsold receivables pledged to the administrative agent and included in Trade accounts receivable $ 504 $ 583 Bunge's risk of loss following the sale of trade receivables is limited to the assets of BSBV, primarily comprised of unsold receivables pledged to the administrative agent. The table below summarizes the cash flows and discounts of Bunge’s trade receivables associated with the Program. Servicing fees under the Program were not significant in any period. Six Months Ended (US$ in millions) 2023 2022 Gross receivables sold $ 6,901 $ 8,585 Proceeds received in cash related to transfers of receivables (1) $ 6,872 $ 7,876 Cash collections from customers on receivables previously sold $ 6,901 $ 8,372 Discounts related to gross receivables sold included in SG&A $ 29 $ 6 |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jun. 30, 2023 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIESInventories by segment are presented below. Readily marketable inventories ("RMI") are agricultural commodity inventories, such as soybeans, soybean meal, soybean oil, palm oil, corn, and wheat carried at fair value because of their commodity characteristics, widely available markets, and international pricing mechanisms. The Company engages in trading and distribution, or merchandising activities, and part of RMI can be attributable to such activities and is not held for processing. All other inventories are carried at lower of cost or net realizable value. (US$ in millions) June 30, December 31, Agribusiness (1) $ 7,468 $ 6,756 Refined and Specialty Oils (2) 1,072 1,316 Milling (3) 261 332 Corporate and Other 5 4 Total $ 8,806 $ 8,408 (1) Includes RMI of $6,956 million and $6,286 million at June 30, 2023, and December 31, 2022, respectively. Assets held for sale includes RMI of zero and $26 million at June 30, 2023, and December 31, 2022, respectively. Of these amounts, $5,898 million and $4,789 million can be attributable to merchandising activities at June 30, 2023, and December 31, 2022, respectively. (2) Includes RMI of $217 million and $271 million at June 30, 2023, and December 31, 2022, respectively. (3) Includes RMI of $23 million and $97 million at June 30, 2023, and December 31, 2022, respectively. |
OTHER CURRENT ASSETS
OTHER CURRENT ASSETS | 6 Months Ended |
Jun. 30, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
OTHER CURRENT ASSETS | OTHER CURRENT ASSETS Other current assets consist of the following: (US$ in millions) June 30, December 31, Unrealized gains on derivative contracts, at fair value $ 1,865 $ 1,597 Prepaid commodity purchase contracts (1) 421 254 Secured advances to suppliers, net (2) 252 365 Recoverable taxes, net 372 365 Margin deposits 809 791 Marketable securities and other short-term investments (3) 73 119 Income taxes receivable 68 102 Prepaid expenses 269 376 Restricted cash 30 26 Other 306 386 Total $ 4,465 $ 4,381 (1) Prepaid commodity purchase contracts represent advance payments against contracts for future deliveries of specified quantities of agricultural commodities. (2) The Company provides cash advances to suppliers, primarily Brazilian soybean farmers, to finance a portion of the suppliers’ production costs. The Company does not bear any of the costs or operational risks associated with the related growing activities. The advances are largely collateralized by future crops and physical assets of the suppliers, carry a local market interest rate, and settle when the farmers' crops are harvested and sold. The secured advances to farmers are reported net of allowances of $8 million and $7 million at June 30, 2023 and December 31, 2022, respectively. (-) Interest earned on secured advances to suppliers of $4 million and $6 million for the three months ended June 30, 2023, and 2022, respectively, and $11 million and $12 million for the six months ended June 30, 2023 and 2022 is included in Net sales in the condensed consolidated statements of income. (3) Marketable securities and other short-term investments - The Company invests in foreign government securities, corporate debt securities, deposits, equity securities, and other securities. The following is a summary of amounts recorded in the Company's condensed consolidated balance sheets as marketable securities and other short-term investments. (US$ in millions) June 30, December 31, Foreign government securities $ 32 $ 68 Equity securities 13 23 Other 28 28 Total $ 73 $ 119 |
OTHER NON-CURRENT ASSETS
OTHER NON-CURRENT ASSETS | 6 Months Ended |
Jun. 30, 2023 | |
Other Assets, Noncurrent [Abstract] | |
OTHER NON-CURRENT ASSETS | OTHER NON-CURRENT ASSETS Other non-current assets consist of the following: (US$ in millions) June 30, December 31, Recoverable taxes, net (1) $ 35 $ 59 Judicial deposits (1) 125 110 Other long-term receivables, net (2) 15 16 Income taxes receivable (1) 207 143 Long-term investments (3) 167 163 Affiliate loans receivable 8 8 Long-term receivables from farmers in Brazil, net (1) 46 32 Unrealized gains on derivative contracts, at fair value 1 1 Other 121 95 Total $ 725 $ 627 (1) A significant portion of these non-current assets arise from the Company’s Brazilian operations and their realization could take several years. (2) Net of allowances as described in Note 4 - Trade Accounts Receivable and Trade Receivables Securitization Program . (3) As of June 30, 2023, and December 31, 2022, $10 million a nd $9 million, respectively, of long-term investments are recorded at fair value. Recoverable taxes, net - Recoverable taxes include value-added taxes paid upon the acquisition of property, plant and equipment, raw materials and taxable services, and other transactional taxes which can be recovered in cash or as compensation against income taxes, or other taxes Bunge may owe, primarily in Brazil and Europe. Recoverable taxes are reported net of allow ances of $13 million and $14 million at June 30, 2023, and December 31, 2022, respectively. Judicial deposits - Judicial deposits are funds the Company has placed on deposit with the courts in Brazil. These funds are held in judicial escrow relating to certain legal proceedings pending resolution and bear interest at the Selic rate, which is the benchmark rate of the Brazilian central bank. Income taxes receivable - Income taxes receivable include overpayments of current income taxes plus accrued interest. These income tax prepayments are expected to be primarily used for the settlement of future income tax obligations. Income taxes receivable in Brazil bear interest at the Selic rate. Long-term investments - Long-term investments primarily comprise Bunge's noncontrolling equity investments in growth stage agribusiness and food companies held by Bunge Ventures. Affiliate loans receivable - Affiliate loans receivable are primarily interest-bearing receivables from unconsolidated affiliates with remaining maturities of greater than one year. Long-term receivables from farmers in Brazil, net - The Company provides financing to farmers in Brazil, primarily through secured advances against farmer commitments to deliver agricultural commodities (primarily soybeans) upon harvest of the then-current year’s crop, and through credit sales of fertilizer to farmers. Certain such long-term receivables from farmers are originally recorded in Other current assets as prepaid commodity purchase contracts or secured advances to suppliers (see Note 6 - Other Current Assets ) or Other non-current assets according to their maturity. Advances initially recorded in Other current assets are reclassified to Other non-current assets if collection issues arise and amounts become past due with resolution of such matters expected to take more than one year. The average recorded investment in long-term receivables from farmers in Brazil for the six months ended June 30, 2023, and the year ended December 31, 2022, was $102 million and $90 million, respectively. The table below summarizes the Company’s recorded investment in long-term receivables from farmers in Brazil and the related allowance amounts. June 30, 2023 December 31, 2022 (US$ in millions) Recorded Allowance Recorded Allowance For which an allowance has been provided: Legal collection process (1) $ 37 $ 37 $ 40 $ 34 Renegotiated amounts 1 1 2 2 For which no allowance has been provided: Legal collection process (1) 24 — 19 — Renegotiated amounts (2) 5 — 7 — Other long-term receivables (3) 17 — — — Total $ 84 $ 38 $ 68 $ 36 (1) All amounts in legal collection processes are considered past due upon initiation of legal action. (2) These renegotiated amounts are current on repayment terms. (3) New advances expected to be realized through farmer commitments to deliver agricultural commodities in crop periods greater than twelve months from the balance sheet date. Such advances are reclassified from Other non-current assets to Other current assets in later periods depending on the expected date of their realization. The table below summarizes the activity in the allowance for doubtful accounts related to long-term receivables from farmers in Brazil. Six Months Ended (US$ in millions) 2023 2022 Allowance as of January 1 $ 36 $ 36 Bad debt provisions — 1 Recoveries (1) (3) Write-offs — — Transfers — — Foreign exchange translation 3 3 Allowance as of June 30 $ 38 $ 37 |
INVESTMENTS IN AFFILIATES AND V
INVESTMENTS IN AFFILIATES AND VARIABLE INTEREST ENTITIES | 6 Months Ended |
Jun. 30, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
INVESTMENTS IN AFFILIATES AND VARIABLE INTEREST ENTITIES | VARIABLE INTEREST ENTITIES Impairment of Equity Method Investment During the six months ended June 30, 2023, the Company recorded an impairment of $16 million associated with its equity method investment in Australia Plant Proteins ("APP"), a start-up manufacturer of novel protein ingredients. The impairment was determined through management's review of impairment indicators and consideration of the other-than temporary nature of such items. Impairment charges were recorded to Income (loss) from affiliates within Corporate and Other. As a result of the impairment, there is no carrying value associated with the equity method investment in APP at June 30, 2023. Consolidated Variable Interest Entities On May 1, 2022, Bunge completed a transaction with Chevron Corporation ("Chevron") to create a joint venture, Bunge Chevron Ag Renewables LLC (the "Joint Venture"), leveraging Bunge’s expertise in oilseed processing and farmer relationships, and Chevron’s expertise in fuels manufacturing and marketing, to help meet the demand for renewable fuels and to develop lower carbon intensity feedstocks. The Joint Venture is a variable interest entity ("VIE") in which Bunge is considered to be the primary beneficiary because it is responsible for the day-to-day operating decisions of the Joint Venture as well as the marketing of the principal products, primarily soybean meal and oil produced and sold by the Joint Venture, among other factors. The Joint Venture's assets can only be used to settle the Joint Venture’s own obligations and the Joint Venture’s creditors have no recourse to Bunge’s assets beyond Bunge’s maximum exposure to loss associated with the Joint Venture at any given time. The following table presents the values of the assets and liabilities associated with the Joint Venture, which are included in Bunge’s condensed consolidated balance sheets as of June 30, 2023 and December 31, 2022. All amounts exclude intercompany balances, which have been eliminated upon consolidation. For all other VIEs in which Bunge is considered the primary beneficiary, the entities meet the definition of a business, and the VIE's assets can be used other than for the settlement of the VIE’s obligations. As such these VIEs have been excluded from the below table. (US$ in millions) June 30, December 31, Current assets: Cash and cash equivalents $ 569 $ 528 Trade accounts receivable 1 — Inventories 68 85 Other current assets 91 98 Total current assets 729 711 Property, plant and equipment, net 100 65 Total assets $ 829 $ 776 Current liabilities: Trade accounts payable and accrued liabilities $ 62 $ 81 Other current liabilities 90 85 Total current liabilities 152 166 Total liabilities $ 152 $ 166 For additional information on VIEs for which Bunge has determined it is not the primary beneficiary, along with the Company's related maximum exposure to losses associated with such investments, please refer to Note 12 - Investments in Affiliates and Variable Interest Entities |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Income tax expense is provided on an interim basis based on management’s estimate of the annual effective income tax rate and includes the tax effects of certain discrete items, such as changes in tax laws or tax rates or other unusual or non-recurring tax adjustments in the interim period in which they occur. In addition, results from jurisdictions projecting a loss for the year where no tax benefit can be recognized are treated discretely in the interim period in which they occur. The effective tax rate is highly dependent on the geographic distribution of the Company’s worldwide earnings or losses and tax regulations in each jurisdiction. Management regularly monitors the assumptions used in estimating its annual effective tax rate, including the realizability of deferred tax assets, and adjusts estimates accordingly. Volatility in earnings within a taxing jurisdiction could result in a determination that additional valuation allowance adjustments may be warranted. Income tax expense for the three and six months ended June 30, 2023 was $198 million and $381 million, respectively. Income tax expense for the three and six months ended June 30, 2022 was $36 million and $144 million, respectively. The effective tax rate for the three and six months ended June 30, 2023, was higher than the U.S. statutory rate of 21% primarily due to jurisdictional mix of earnings. The effective tax rate for the three months ended June 30, 2022, was lower than the U.S. statutory rate of 21% primarily due to jurisdictional mix of earnings, and the effective tax rate for the six months ended June 30, 2022 was lower than the U.S. statutory rate of 21%, primarily due to jurisdictional mix of earnings, incentives in South America, and the release of valuation allowances in Europe and Asia. As a global enterprise, the Company files income tax returns that are subject to periodic examination and challenge by federal, state, and foreign tax authorities. In many jurisdictions, income tax examinations, including settlement negotiations or litigation, may take several years to finalize. The Company is currently under examination or litigation in various locations throughout the world. While it is difficult to predict the outcome or timing of resolution of any particular matter, management believes that the condensed consolidated financial statements reflect the largest amount of tax benefit that is more likely than not to be realized. |
OTHER CURRENT LIABILITIES
OTHER CURRENT LIABILITIES | 6 Months Ended |
Jun. 30, 2023 | |
Other Liabilities Disclosure [Abstract] | |
OTHER CURRENT LIABILITIES | OTHER CURRENT LIABILITIES Other current liabilities consist of the following: (US$ in millions) June 30, December 31, Unrealized losses on derivative contracts, at fair value $ 1,574 $ 1,570 Accrued liabilities 638 755 Advances on sales (1) 380 601 Income tax payable 63 156 Other 347 297 Total $ 3,002 $ 3,379 (1) The Company records advances on sales when cash payments are received in advance of the Company’s performance and recognizes revenue once the related performance obligation is completed. Advances on sales are impacted by the seasonality of Bunge's business, including the timing of harvests in the northern and southern hemispheres, and amounts at each balance sheet date will generally be recognized in earnings within twelve months or less. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended |
Jun. 30, 2023 | |
Financial Instruments And Fair Value Measurements [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS Bunge's various financial instruments include certain components of working capital such as Trade accounts receivable and Trade accounts payable. Additionally, Bunge uses short- and long-term debt to fund operating requirements. Trade accounts receivable, Trade accounts payable, and Short-term debt are generally stated at their carrying value, which is a reasonable estimate of fair value. See Note 3 - Trade Structured Finance Program for trade structured finance program, Note 7 - Other Non-Current Assets for long-term receivables from farmers in Brazil, net and other long-term investments, and Note 13 - Debt for Long-term debt. Bunge's financial instruments also include derivative instruments and marketable securities, which are stated at fair value. The fair value standard describes three levels within its hierarchy that may be used to measure fair value. Level Description Financial Instrument (Assets / Liabilities) Level 1 Quoted prices (unadjusted) in active markets for identical assets or liabilities. Exchange traded derivative contracts. Marketable securities in active markets. Level 2 Observable inputs, including adjusted Level 1 quotes, quoted prices for similar assets or liabilities, quoted prices in markets that are less active than traded exchanges and other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Exchange traded derivative contracts (less liquid markets). Level 3 Unobservable inputs that are supported by little or no market activity and that are a significant component of the fair value of the assets or liabilities. Assets and liabilities whose value is determined using proprietary pricing models, discounted cash flow methodologies or similar techniques. In many cases, a valuation technique used to measure fair value includes inputs from multiple levels of the fair value hierarchy. The lowest level of input that is a significant component of the fair value measurement determines the placement of the entire fair value measurement in the hierarchy. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the classification of fair value assets and liabilities within the fair value hierarchy levels. For a further definition of fair value and the associated fair value levels, refer to Note 16 - Fair Value Measurements, included in the Company's 2022 Annual Report on Form 10-K. The following table sets forth, by level, the Company’s assets and liabilities that were accounted for at fair value on a recurring basis. Fair Value Measurements at Reporting Date June 30, 2023 December 31, 2022 (US$ in millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets: Cash equivalents $ 115 $ 185 $ — $ 300 $ — $ 81 $ — $ 81 Readily marketable inventories (Note 5) — 5,812 1,384 7,196 — 6,268 412 6,680 Trade accounts receivable (1) — 9 — 9 — 7 — 7 Unrealized gain on derivative contracts (2) : Interest rate 6 7 — 13 — 3 — 3 Foreign exchange — 566 — 566 1 378 — 379 Commodities 165 915 60 1,140 136 763 101 1,000 Freight 98 — — 98 80 — — 80 Energy 42 2 — 44 128 2 — 130 Credit — 5 — 5 — 5 — 5 Other (3) 24 21 11 56 33 40 27 100 Total assets $ 450 $ 7,522 $ 1,455 $ 9,427 $ 378 $ 7,547 $ 540 $ 8,465 Liabilities: Trade accounts payable (1) $ — $ 658 $ 437 $ 1,095 $ — $ 513 $ 130 $ 643 Unrealized loss on derivative contracts (4) : Interest rate 4 333 — 337 — 344 — 344 Foreign exchange — 433 — 433 1 461 — 462 Commodities 145 846 51 1,042 127 731 50 908 Freight 42 — — 42 28 — — 28 Energy 39 5 — 44 153 6 — 159 Credit — — — — — 1 — 1 Total liabilities $ 230 $ 2,275 $ 488 $ 2,993 $ 309 $ 2,056 $ 180 $ 2,545 (1) These receivables and payables are hybrid financial instruments for which Bunge has elected the fair value option as they are derived from purchases and sales of agricultural commodity products in the normal course of business. (2) Unrealized gains on derivative contracts are generally included in Other current assets. There were $1 million and $1 million included in Other non-current assets at June 30, 2023, and December 31, 2022, respectively. (3) Other includes the fair values of marketable securities and investments in Other current assets and Other non-current assets. (4) Unrealized losses on derivative contracts are generally included in Other current liabilities. There were $324 million and $332 million included in Other non-current liabilities at June 30, 2023, and December 31, 2022, respectively. Cash equivalents —Cash equivalents primarily includes money market funds and commercial paper investments. Bunge analyzes how the prices are derived and determines whether the prices are liquid or less liquid tradable prices. Cash equivalents with liquid prices are valued using prices from publicly available sources and classified as Level 1. Cash equivalents with less liquid prices are valued using third-party quotes or pricing models and classified as Level 2. Readily marketable inventories —RMI reported at fair value are valued based on commodity futures exchange quotations, broker or dealer quotations, or market transactions in either listed or OTC markets with appropriate adjustments for differences in local markets where the Company's inventories are located. In such cases, the inventory is classified within Level 2. Certain inventories may utilize significant unobservable data related to local market adjustments to determine fair value. In such cases, the inventory is classified as Level 3. If the Company used different methods or factors to determine fair values, amounts reported as unrealized gains and losses on derivative contracts and RMI at fair value in the condensed consolidated balance sheets and condensed consolidated statements of income could differ. Additionally, if market conditions change subsequent to the reporting date, amounts reported in future periods as unrealized gains and losses on derivative contracts and RMI at fair value in the condensed consolidated balance sheets and condensed consolidated statements of income could differ. Derivatives —The majority of exchange traded futures and options contracts and exchange cleared contracts are valued based on unadjusted quoted prices in active markets and are classified within Level 1. The majority of the Company’s exchange traded agricultural commodity futures are cash-settled on a daily basis and, therefore, are not included in these tables. The Company's forward commodity purchase and sales contracts are classified as derivatives along with other OTC derivative instruments, primarily relating to freight, energy, foreign exchange and interest rates, and are classified within Level 2 or Level 3 as described below. The Company estimates fair values based on exchange quoted prices, adjusted as appropriate for differences in local markets. These differences are generally valued using inputs from broker or dealer quotations, or market transactions in either the listed or OTC markets. In such cases, these derivative contracts are classified within Level 2. OTC derivative contracts include swaps, options, and structured transactions that are generally fair valued using quantitative models that require the use of multiple market inputs including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets which are not highly active, other observable inputs relevant to the asset or liability, and market inputs corroborated by correlation or other means. These valuation models include inputs such as interest rates, prices, and indices, to generate continuous yield or pricing curves and volatility factors. Where observable inputs are available for substantially the full term of the asset or liability, the instrument is categorized in Level 2. Certain OTC derivatives trade in less active markets with less availability of pricing information and certain structured transactions can require internally developed model inputs that might not be observable in or corroborated by the market. Marketable securities and investments —Comprise foreign government securities, corporate debt securities, deposits, equity securities, and other investments. Bunge analyzes how the prices are derived and determines whether the prices are liquid or less liquid tradable prices. Marketable securities and investments with liquid prices are valued using prices from publicly available sources and classified as Level 1. Marketable securities and investments with less liquid prices are valued using third-party quotes or pricing models and classified as Level 2 or Level 3 as described below. Level 3 Measurements The following relates to Level 3 measurements. An instrument may transfer into or out of Level 3 due to inputs becoming either observable or unobservable. Level 3 Measurements —Transfers in and/or out of Level 3 represent existing assets or liabilities that were either previously categorized as a higher level for which the inputs to the model became unobservable or assets and liabilities that were previously classified as Level 3 for which the lowest significant input became observable during the period. Bunge's policy regarding the timing of transfers between levels is to record the transfers at the end of the reporting period. Level 3 Readily marketable inventories and Trade accounts payable —The significant unobservable inputs resulting in Level 3 classification for RMI, physically settled forward purchase and sales contracts, and Trade accounts payable, relate to certain management estimations regarding costs of transportation and other local market or location-related adjustments, primarily freight related adjustments in the interior of Brazil and the lack of market corroborated information in Canada. In both situations, the Company uses proprietary information such as purchase and sales contracts and contracted prices to value freight, premiums and discounts in its contracts. Movements in the prices of these unobservable inputs alone would not be expected to have a material effect on the Company's financial statements as these contracts do not typically exceed one future crop cycle. Level 3 Derivatives —Level 3 derivative instruments utilize both market observable and unobservable inputs within the fair value measurements. These inputs include commodity prices, price volatility, interest rates, volumes, and locations. Level 3 Others —primarily relates to marketable securities and investments valued using third-party quotes or pricing models with inputs based on similar securities adjusted to reflect management’s best estimate of the specific characteristics of the securities held by the Company. Such inputs represent a significant component of the fair value of the securities held by the Company, resulting in the securities being classified as Level 3. The tables below present reconciliations for assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three and six months ended June 30, 2023, and 2022. These instruments were valued using pricing models that management believes reflect the assumptions that would be used by a marketplace participant. Three Months Ended June 30, 2023 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, April 1, 2023 $ 1,308 $ 47 $ (494) $ 27 $ 888 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 192 (56) 9 — 145 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (2) (2) Purchases 1,377 — (89) — 1,288 Sales (1,846) — — (14) (1,860) Settlements — — 131 — 131 Transfers into Level 3 312 26 (10) — 328 Transfers out of Level 3 (18) (8) 42 — 16 Translation adjustment 59 — (26) — 33 Balance, June 30, 2023 $ 1,384 $ 9 $ (437) $ 11 $ 967 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $16 million mark-to-market losses related to securities still held at June 30, 2023. Three Months Ended June 30, 2022 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, April 1, 2022 $ 1,131 $ 27 $ (447) $ 70 $ 781 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 35 (9) 18 — 44 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (5) (5) Purchases 856 — (80) — 776 Sales (1,310) — — — (1,310) Settlements — — 52 — 52 Transfers into Level 3 451 7 (2) — 456 Transfers out of Level 3 (131) (15) 146 — — Translation adjustment (91) — 42 1 (48) Balance, June 30, 2022 $ 941 $ 10 $ (271) $ 66 $ 746 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable, includes gains/(losses) of $84 million, $(25) million and $17 million, respectively, that are attributable to the change in unrealized gains/(losses) relating to Level 3 assets and liabilities still held at June 30, 2022. (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $5 million in gains related to securities still held at June 30, 2022. Six Months Ended June 30, 2023 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, January 1, 2023 $ 412 $ 51 $ (130) $ 27 $ 360 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 365 (71) 18 — 312 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (2) (2) Purchases 3,021 — (429) — 2,592 Sales (3,589) — — (14) (3,603) Settlements — — 171 — 171 Transfers into Level 3 1,150 29 (81) — 1,098 Transfers out of Level 3 (39) — 42 — 3 Translation adjustment 64 — (28) — 36 Balance, June 30, 2023 $ 1,384 $ 9 $ (437) $ 11 $ 967 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable, include gains/(losses) of $444 million, $(42) million and $19 million, respectively, that are attributable to the change in unrealized gains/(losses) relating to Level 3 assets and liabilities still held at June 30, 2023. (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $16 million mark-to-market losses related to securities still held at June 30, 2023. Six Months Ended June 30, 2022 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, January 1, 2022 $ 205 $ (31) $ (23) $ — $ 151 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 170 28 33 — 231 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (69) $ (69) Purchases 2,102 — (446) — 1,656 Sales (2,687) — — — (2,687) Settlements — — 325 (84) 241 Transfers into Level 3 1,415 28 (347) 218 1,314 Transfers out of Level 3 (178) (14) 146 — (46) Translation adjustment (86) (1) 41 1 (45) Balance, June 30, 2022 $ 941 $ 10 $ (271) $ 66 $ 746 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable, includes gains/(losses) of $167 million, $26 million and $27 million, respectively, that are attributable to the change in unrealized gains/(losses) relating to Level 3 assets and liabilities still held at June 30, 2022. (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $37 million in gains related to securities still held at June 30, 2022. |
DERIVATIVE INSTRUMENTS AND HEDG
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES The Company uses derivative instruments to manage several market risks, such as interest rate, foreign currency, and commodity risk. Some of those hedges the Company enters into qualify for hedge accounting in the financial statements (Hedge Accounting Derivatives) and some, while intended as economic hedges, do not qualify or are not designated for hedge accounting (Economic Hedge Derivatives). As these derivatives impact the financial statements in different ways, they are discussed separately below. Hedge Accounting Derivatives - The Company uses derivatives in qualifying hedge accounting relationships to manage certain of its interest rate, foreign currency, and commodity risks. In executing these hedge strategies, the Company primarily relies on the shortcut and critical terms match methods in designing its hedge accounting strategy, which results in little to no net earnings impact for these hedge relationships. The Company monitors these relationships on a quarterly basis and performs a quantitative analysis to validate the assertion that the hedges are highly effective if there are changes to the hedged item or hedging derivative. Fair value hedges - These derivatives are used to hedge the effect of interest rate and currency exchange rate changes on certain long-term debt. Under fair value hedge accounting, the derivative is measured at fair value and the carrying value of hedged debt is adjusted for the change in value related to the exposure being hedged, with both adjustments offset to earnings. In other words, the earnings effect of a change in the fair value of the derivative will be substantially offset by the earnings effect of the change in the carrying value of the hedged debt. The net impact of fair value hedge accounting for interest rate swaps is recognized in Interest expense. For cross currency swaps the changes in currency risk on the derivative are recognized in Foreign exchange gains (losses), and the changes in interest rate risk are recognized in Interest expense. Changes in basis risk are held in Accumulated other comprehensive income (loss) until realized through the coupon. Cash flow hedges of currency risk - The Company manages currency risk on certain forecasted sales, purchases, selling, general and administrative expenses, and recognized assets and liabilities with currency forwards. The change in the value of the forward is held in Accumulated other comprehensive income (loss) until the transaction affects earnings, at which time the change in value of the currency forward is reclassified to Net sales, Cost of goods sold, or Selling, general and administrative expenses. These hedges mature at various times through June 2024. Of the amount currently in Accumulated other comprehensive income (loss), $4 million of deferred losses is expected to be reclassified to earnings in the next twelve months. Net investment hedges - The Company hedges the currency risk of certain of its foreign subsidiaries with currency forwards for which the currency risk is remeasured through Accumulated other comprehensive income (loss). For currency forwards, the forward method is used. The change in the value of the forward is classified in Accumulated other comprehensive income (loss) until the transaction affects earnings by way of either sale or substantial liquidation of the foreign subsidiary. The table below provides information about the balance sheet values of hedged items and the notional amount of derivatives used in hedging strategies. The notional amount of the derivative is the number of units of the underlying (for example, the notional principal amount of the debt in an interest rate swap). The notional amount is used to compute interest or other payment streams to be made under the contract and is a measure of the Company’s level of activity. The Company discloses derivative notional amounts on a gross basis. (US$ in millions) June 30, December 31, 2022 Unit of Hedging instrument type: Fair value hedges of interest rate risk Interest rate swap - notional amount $ 2,900 $ 3,753 $ Notional Cumulative adjustment to long-term debt from application of hedge accounting $ (324) $ (341) $ Notional Carrying value of hedged debt $ 2,559 $ 3,394 $ Notional Fair value hedges of currency risk Cross currency swap $ 212 $ 232 $ Notional Carrying value of hedged debt $ 212 $ 232 $ Notional Cash flow hedges of currency risk Foreign currency forward - notional amount $ 61 $ 310 $ Notional Foreign currency option - notional amount $ 66 $ 108 $ Notional Net investment hedges Foreign currency forward - notional amount $ 725 $ 495 $ Notional Economic Hedge Derivatives - In addition to using derivatives in qualifying hedge relationships, the Company enters into derivatives to economically hedge its exposure to a variety of market risks it incurs in the normal course of operations. Interest rate derivatives are used to hedge exposures to the Company's financial instrument portfolios and debt issuances. The impact of changes in fair value of these instruments is primarily presented in Interest expense. Currency derivatives are used to hedge the balance sheet and commercial exposures that arise from the Company's global operations. The impact of changes in fair value of these instruments is presented in Cost of goods sold when hedging commercial exposures and Foreign exchange (losses) gains when hedging monetary exposures. Agricultural commodity derivatives are used primarily to manage the Company's inventory and forward purchase and sales contracts. Contracts to purchase agricultural commodities generally relate to current or future crop years for delivery periods quoted by regulated commodity exchanges. Contracts for the sale of agricultural commodities generally do not extend beyond one future crop cycle. The impact of changes in fair value of these instruments is presented in Cost of goods sold. The Company uses derivative instruments referred to as forward freight agreements ("FFAs") and FFA options to hedge portions of its current and anticipated ocean freight costs. The impact of changes in fair value of these instruments is presented in Cost of goods sold. The Company uses energy derivative instruments to manage its exposure to volatility in energy costs. Hedges may be entered into for natural gas, electricity, coal and fuel oil, including bunker fuel. The impact of changes in fair value of these instruments is presented in Cost of goods sold. The Company may also enter into other derivatives, including credit default swaps, carbon emission derivatives and equity derivatives to manage its exposure to credit risk and broader macroeconomic risks. The impact of changes in fair value of these instruments is presented in Cost of goods sold. The table below summarizes the volume of economic derivatives as of June 30, 2023 and December 31, 2022. For those contracts traded bilaterally through the over-the-counter markets (e.g., forwards, forward rate agreements ("FRA"), and swaps), the gross position is provided. For exchange traded (e.g., futures, FFAs, and options) and cleared positions (e.g., energy swaps), the net position is provided. June 30, December 31, 2023 2022 Unit of (US$ in millions) Long (Short) Long (Short) Interest rate Swaps $ 79 $ (1,675) $ 387 $ (1,267) $ Notional Futures $ — $ (416) $ — $ (97) $ Notional Forwards $ 650 $ (896) $ — $ — $ Notional Currency Forwards $ 9,735 $ (12,003) $ 9,819 $ (9,682) $ Notional Swaps $ 2,776 $ (1,407) $ 2,441 $ (2,876) $ Notional Futures $ — $ (10) $ 11 $ — $ Notional Options $ 36 $ (25) $ — $ (102) Delta Agricultural commodities Forwards 33,130,064 (34,407,272) 20,493,679 (27,766,763) Metric Tons Swaps — — — (1,864,262) Metric Tons Futures — (9,522,764) — (4,092,772) Metric Tons Options 210,894 (948,005) 1,025 (216,647) Metric Tons Ocean freight FFA — (8,905) — (11,197) Hire Days Natural gas Forwards 24,619 (24,620) — — MMBtus Swaps 580,095 — 1,460,190 — MMBtus Futures 6,037,280 — 5,250,393 — MMBtus Options 419,540 — — — MMBtus Electricity Futures — (73,496) — — Mwh Swaps 28,800 (10,800) 22,987 (8,619) Mwh Energy - other Swaps 170,736 — 175,784 — Metric Tons Futures — — 1,320,881 — Metric Tons Options — (13,640) — — Metric Tons Energy - CO2 Futures 355,000 — — (38,000) Metric Tons Other Swaps and futures $ 10 $ (45) $ 20 $ (50) $ Notional The Effect of Derivative Instruments and Hedge Accounting on the Condensed Consolidated Statements of Income The tables below summarize the net effect of derivative instruments and hedge accounting on the condensed consolidated statements of income for the three and six months ended June 30, 2023 and 2022. Gain (Loss) Recognized in Three Months Ended June 30, (US$ in millions) 2023 2022 Income statement classification Type of derivative Net sales Hedge accounting Foreign currency $ 4 $ 5 Cost of goods sold Hedge accounting Foreign currency $ (1) $ — Economic hedges Foreign currency 324 (70) Commodities (32) 638 Other (1) 16 9 Total Cost of goods sold $ 307 $ 577 Selling, general & administrative Hedge Accounting Foreign exchange $ 1 $ — Interest expense Hedge accounting Interest rate $ (35) $ 3 Economic hedges Interest rate 5 — Total Interest expense $ (30) $ 3 Foreign exchange (losses) gains Hedge accounting Foreign currency $ (19) $ (25) Economic hedges Foreign currency (39) 57 Total Foreign exchange (losses) gains $ (58) $ 32 Other comprehensive income (loss) Gains and losses on derivatives used as fair value hedges of foreign currency risk included in Other comprehensive income (loss) during the period $ — $ 2 Gains and losses on derivatives used as cash flow hedges of foreign currency risk included in Other comprehensive income (loss) during the period $ (26) $ 4 Gains and losses on derivatives used as net investment hedges included in Other comprehensive income (loss) during the period $ (40) $ 41 Amounts released from Accumulated other comprehensive income (loss) during the period Cash flow hedge of foreign currency risk $ 1 $ (5) (1) Other includes results from freight, energy and other derivatives. Gain (Loss) Recognized in Six months ended June 30, (US$ in millions) 2023 2022 Income statement classification Type of derivative Net sales Hedge accounting Foreign currency $ 5 $ 7 Cost of goods sold Hedge accounting Foreign currency $ — $ — Economic hedges Foreign currency 408 423 Commodities 364 (618) Other (1) 7 90 Total Cost of goods sold $ 779 $ (105) Selling, general & administrative expenses Hedge Accounting Foreign exchange $ 1 $ — Interest expense Hedge accounting Interest rate $ (68) $ (4) Economic hedges Interest rate 6 1 Total Interest expense $ (62) $ (3) Foreign exchange gains (losses) Hedge accounting Foreign currency $ (21) $ (37) Economic hedges Foreign currency (6) 116 Total Foreign exchange gains (losses) $ (27) $ 79 Other income (expense) Economic hedges Interest rate $ 1 $ 1 Other comprehensive income (loss) Gains and losses on derivatives used as fair value hedges of foreign currency risk included in Other comprehensive income (loss) during the period $ — $ 2 Gains and losses on derivatives used as cash flow hedges of foreign currency risk included in Other comprehensive income (loss) during the period $ (31) $ 36 Gains and losses on derivatives used as net investment hedges included in Other comprehensive income (loss) during the period $ (61) $ (108) Amounts released from Accumulated other comprehensive income (loss) during the period Cash flow hedge of foreign currency risk $ — $ (7) (1) Other includes results from freight, energy and other derivatives. |
DEBT
DEBT | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Prior to June 21, 2023, Bunge conducted most of its third party financing activities through a centralized financing structure that included a master trust (the “Bunge Master Trust”). On June 21, 2023, Bunge terminated the Bunge Master Trust in accordance with a termination and lien release agreement in order to simplify the legal framework around its capital structure. Post termination of the Bunge Master Trust, Bunge will continue to conduct most of its third party financing activities centrally through 100% owned finance subsidiaries which carry full, unconditional guarantees of the parent company. In connection with the termination of the Bunge Master Trust, Bunge amended its existing credit agreements and related guarantees to remove all references and provisions related to the Bunge Master Trust, as well as made amendments to certain credit facilities as discussed further below. Also on June 21, 2023, Bunge entered into an unsecured $1.1 billion 364-day revolving credit agreement (the “$1.1 Billion 2024 Credit Agreement”) with a group of lenders, maturing on June 19, 2024. Bunge may from time to time request one or more of the existing or new lenders to increase the total participations under the $1.1 Billion 2024 Credit Agreement by an aggregate amount up to $250 million, subject to lender approval, pursuant to an accordion provision. Borrowings will bear interest at Secured Overnight Financing Rate (“SOFR”) plus a SOFR adjustment and applicable margin as defined in the $1.1 Billion 2024 Credit Agreement. The $1.1 Billion 2024 Credit Agreement replaced an existing $1.1 billion 364-day revolving credit agreement scheduled to mature July 14, 2023. Bunge had no borrowings outstanding at June 30, 2023, and December 31, 2022, under the $1.1 Billion 2024 Credit Agreement and the predecessor agreement, respectively. Further, on June 21, 2023, Bunge amended its $1.35 billion 5-year revolving credit agreement to increase total commitments under the facility to $1.95 billion (the “$1.95 Billion Credit Agreement"). Bunge may from time to time request one or more of the existing or new lenders to increase the total participations under the $1.95 Billion Credit Agreement by an aggregate amount up to $1.5 billion pursuant to an accordion provision. Borrowings will bear interest at SOFR plus a SOFR adjustment and applicable margin as defined in the $1.95 Billion Credit Agreement. Bunge had no borrowings outstanding at June 30, 2023, and December 31, 2022, under the $1.95 billion Credit Agreement. Bunge had no borrowings outstanding at June 30, 2023, and December 31, 2022, under the unsecured $865 million Revolving Credit Agreement (the "$865 Million 2026 Facility") with a group of lenders, set to mature on October 29, 2026. Borrowings will bear interest at SOFR plus a SOFR adjustment and applicable margin, as defined in the $865 Million 2026 Facility. Bunge had no borrowings outstanding at June 30, 2023, and December 31, 2022, under the unsecured $1.75 billion revolving credit facility ("$1.75 Billion Revolving Credit Facility"), set to mature on December 16, 2024. The interest rate under the $1.75 Billion Revolving Credit Facility is tied to certain sustainability criteria, including, but not limited to, science-based targets that define Bunge's climate goals within its operations and a commitment to a deforestation-free supply chain in 2025. Bunge may from time to time, with the consent of the agent, request one or more of the existing lenders or new lenders to increase the total commitments by an amount not to exceed $250 million pursuant to an accordion provision. Borrowings under the $1.75 Billion Revolving Credit Facility will bear interest at SOFR plus a SOFR adjustment, which will vary from 0.30% to 1.30%, based on the senior long-term unsecured debt ratings provided by Moody’s Investors Service and Standard & Poor's Global Ratings. Bunge will also pay a fee that will vary from 0.10% to 0.40% based on its utilization of the $1.75 Billion Revolving Credit Facility. Borrowings under the committed revolving credit facilities described above typically have an original maturity of three months or less, resulting in net presentation of proceeds and repayments of short-term debt in the condensed consolidated statements of cash flows. At June 30, 2023, Bunge had $5,665 million unused and available committed borrowing capacity comprised of committed revolving credit facilities with a number of financial institutions. At December 31, 2022, Bunge had $6,665 million unused and available committed borrowing capacity comprised of committed revolving credit facilities and the commercial paper program with a number of financial institutions, totaling $5,665 million, and $1,000 million in committed unsecured delayed draw term loans, as discussed below. On June 21, 2023, Bunge terminated its existing $600 million asset-backed commercial paper program and its related liquidity and letter of credit facilities. To continue access to the commercial paper market, Bunge established a new $1 billion unsecured corporate commercial paper program (the “$1 Billion Commercial Paper Program”). Standard & Poor's and Moody's assigned short-term ratings of A-2 and P-2, respectively. The short-term credit ratings of the $1 Billion Commercial Paper Program require Bunge to keep same day unused committed borrowing capacity under its long-term committed credit facilities in an amount greater or equal to the amount of commercial paper issued and outstanding. The $1 Billion Commercial Paper Program has no maturity date. At June 30, 2023, there were no borrowings outstanding under the $1 Billion Commercial Paper Program. At December 31, 2022, there were no borrowings outstanding under Bunge’s prior commercial paper program and its related liquidity and letter of credit facilities. Borrowings under the $1 Billion Commercial Paper Program typically have an original maturity of three months or less, resulting in net presentation of proceeds and repayments of short-term debt in the condensed consolidated statements of cash flows. In addition to committed facilities, from time to time, Bunge Limited and/or its financing subsidiaries enter into uncommitted bilateral short-term credit lines as necessary based on financing requirements. At June 30, 2023, and December 31, 2022, there were no borrowings, respectively, outstanding under these bilateral short-term credit lines. Loans under such credit lines are non-callable by the respective lenders. In addition, Bunge's operating companies had $667 million and $546 million in short-term borrowings outstanding under local bank lines of credit at June 30, 2023, and December 31, 2022, respectively, to support working capital requirements. The original maturity of borrowings under uncommitted bilateral credit lines and local bank lines of credit varies based upon the Company's financing objectives. As a result, proceeds and repayments of such credit lines may be presented on a net basis, or separately, in the condensed consolidated statements of cash flows as dictated by the borrowing's original maturity. The fair value of Bunge’s long-term debt, including current portion, is calculated based on interest rates currently available on comparable maturities to companies with credit standing similar to that of Bunge. The carrying amounts and fair values of long-term debt are as follows: June 30, 2023 December 31, 2022 (US$ in millions) Carrying Fair Value Carrying Fair Value Long-term debt, including current portion $ 4,282 $ 4,290 $ 4,105 $ 4,148 Upon maturity in June 2023, Bunge repaid the principal and accrued interest due on its issued and outstanding 800 million Euro 1.85% Senior Notes. On August 5, 2022, Bunge entered into an unsecured $250 million delayed draw term loan (the "$250 Million February 2023 Delayed Draw Term Loan") with a group of lenders that was required to be drawn by February 2, 2023. The $250 million February 2023 Delayed Draw Term Loan bears interest at SOFR plus a SOFR adjustment and applicable margin, as defined in the $250 million February 2023 Delayed Draw Term Loan agreement. The $250 million February 2023 Delayed Draw Term Loan was drawn on February 2, 2023 and matures on August 5, 2027. On July 26, 2022, and later amended on October 7, 2022, Bunge entered into an unsecured $750 million delayed draw term loan (the "$750 Million Delayed Draw Term Loan") with a group of lenders giving Bunge the option to draw the loan by January 25, 2023. The $750 Million Delayed Draw Term Loan bears interest at SOFR plus a SOFR adjustment and applicable margin, as defined in the $750 Million Delayed Draw Term Loan agreement. The $750 Million Delayed Draw Term Loan was drawn on January 25, 2023 and matures on October 24, 2025. As described in Note 2 - Acquisitions and Dispositions , Bunge has secured a total of $8.0 billion in Acquisition Financing in the form of a $7.7 billion financing commitment from a consortium of lenders, arranged by Sumitomo Mitsui Banking Corporation and a $300 million 5-year delayed draw term loan from CoBank and the U.S. farm credit system executed July 7, 2023 that may be drawn upon the closing of the acquisition. The $7.7 billion financing commitment is in the form of a three tranche term loan maturing 364-days, 2-years and 3-years from closing of the acquisition. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended |
Jun. 30, 2023 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONSBunge purchases agricultural commodity products from certain of its unconsolidated investees and other related parties. Such related party purchases comprised approximately 8% or less of total Cost of goods sold for the three and six months ended June 30, 2023, and 2022. Bunge also sells agricultural commodity products to certain of its unconsolidated investees and other related parties. Such related party sales comprised approximately 2% or less of total Net sales for the three and six months ended June 30, 2023, and 2022. In addition, Bunge receives services from and provides services to its unconsolidated investees and other related parties, including tolling, port handling, administrative support, and other services. For the three and six months ended June 30, 2023, and 2022, such services were not material to the Company's consolidated results. At June 30, 2023, and December 31, 2022, receivables related to the above related party transactions comprised approximately 1% or less of total Trade accounts receivable. At June 30, 2023, and December 31, 2022, payables related to the above related party transactions comprised approximately 4% or less of total Trade accounts payable. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Bunge is party to claims and lawsuits, primarily non-income tax and labor claims in South America, arising in the normal course of business. Bunge is also involved from time to time in various contract, antitrust, environmental litigation and remediation, and other litigation, claims, government investigations, and legal proceedings. The ability to predict the ultimate outcome of such matters involves judgments, estimates and inherent uncertainties. Bunge records liabilities related to legal matters when the exposure item becomes probable and can be reasonably estimated. Bunge management does not expect these matters to have a material adverse effect on Bunge’s financial condition, results of operations, or liquidity. However, these matters are subject to inherent uncertainties and there exists the remote possibility that a liability arising from these matters could have a material adverse impact in the period in which the uncertainties are resolved should the liability substantially exceed the amount of provisions included in the condensed consolidated balance sheets. Information regarding the claims appears in Bunge’s Report on Form 10-K for the year ended December 31, 2022. Included in Other non-current liabilities as of June 30, 2023, and December 31, 2022, are the following amounts related to these matters: (US$ in millions) June 30, December 31, Non-income tax claims $ 19 $ 20 Labor claims 66 76 Civil and other claims 113 105 Total $ 198 $ 201 Brazil Indirect Taxes - non-income tax claims - These tax claims relate to claims against Bunge’s Brazilian subsidiaries, primarily value-added tax claims (ICMS, ISS, IPI and PIS/COFINS). The Company continues to evaluate the merits of outstanding claims from examinations of ICMS and PIS/COFINS tax returns concluded by Brazilian federal and state tax authorities and will recognize them if and when loss is considered probable. The outstanding claims comprise the following: (US$ in millions) Years Examined June 30, 2023 December 31, 2022 ICMS 1990 to Present $ 232 $ 215 PIS/COFINS 2002 to Present $ 436 $ 347 Labor claims — The labor claims are principally against Bunge’s Brazilian subsidiaries. The labor claims primarily relate to dismissals, severance, health and safety, salary adjustments, and supplementary retirement benefits. Civil and other claims — The civil and other claims relate to various disputes with third parties, including suppliers and customers. Guarantees — Bunge has issued or was a party to the following guarantees at June 30, 2023: (US$ in millions) Recorded Liability Maximum Unconsolidated affiliates guarantee (1) $ — $ 96 Residual value guarantee (2) — 364 Russia disposition indemnity (3) 9 235 Other guarantees — 6 Total $ 9 $ 701 (1) Bunge has issued guarantees to certain financial institutions related to debt of certain of its unconsolidated affiliates. The terms of the guarantees are equal to the terms of the related financings, which have maturity dates through 2034. There are no recourse provisions or collateral that would enable Bunge to recover any amounts paid under these guarantees. In addition, certain Bunge subsidiaries have guaranteed the obligations of certain of their unconsolidated affiliates and in connection therewith have secured their guarantee obligation s through a pledge to the financial institutions of certain of their unconsolidated affiliates' shares plus loans receivable from the unconsolidated affiliates in the event that the guaranteed obligations are enforced. Based on amounts drawn under such debt facilities at June 30, 2023, Bunge's potential liability was $50 million, and it has recorded less than $1 million obligation related to these guarantees within Other non-current liabilities. (2) Bunge has issued guarantees to certain financial institutions that are party to certain operating lease arrangements for railcars, barges, and buildings. These guarantees provide for a minimum residual value to be received by the lessor at the conclusion of the lease term. These leases expire at various dates from 2024 through 2029. At June 30, 2023, no obligation has been recorded related to these guarantees. Any obligation recorded would be recognized in Current operating lease obligations or Non-current operating lease obligations. (3) On February 3, 2023, Bunge agreed to indemnify the buyer of its Russian operations against certain existing legal claims involving Bunge's Russian subsidiary. The indemnity expires on February 2, 2030. As of June 30, 2023, Bunge recorded a $9 million obligation related to this indemnity within Other non-current liabilities. Bunge Limited has provided a guarantee to the Director of the Illinois Department of Agriculture as Trustee for Bunge North America, Inc. ("BNA"), an indirect wholly-owned subsidiary, which guarantees all amounts due and owing by BNA to grain producers and/or depositors in the State of Illinois who have delivered commodities to BNA’s Illinois facilities. |
OTHER NON-CURRENT LIABILITIES
OTHER NON-CURRENT LIABILITIES | 6 Months Ended |
Jun. 30, 2023 | |
Other Liabilities Disclosure [Abstract] | |
OTHER NON-CURRENT LIABILITIES | OTHER NON-CURRENT LIABILITIES Other non-current liabilities consist of the following: (US$ in millions) June 30, December 31, Labor, legal, and other provisions $ 216 $ 205 Pension and post-retirement obligations 149 152 Uncertain income tax positions (1) 67 59 Unrealized losses on derivative contracts, at fair value (2) 324 332 Other 115 101 Total $ 871 $ 849 (1) See Note 9 - Income Taxes. (2) See Note 11- Fair Value Measurements. |
EQUITY
EQUITY | 6 Months Ended |
Jun. 30, 2023 | |
Stockholders' Equity Note [Abstract] | |
EQUITY | EQUITY Share repurchase program — As noted in Note 2 - Acquisitions and Dispositions , on June 12, 2023, Bunge's Board of Directors approved the expansion of the existing program for the repurchase of Bunge’s issued and outstanding common shares. At the time, approximately $300 million of capacity for the repurchase of Bunge common shares remained available under the existing program and Bunge's Board of Directors approved the expansion of the program by an additional $1.7 billion, for an aggregate purchase price of $2.0 billion. The program continues to have an indefinite term. To date under the program, 2,109,115 common shares were repurchased for $200 million. As of June 30, 2023, $2.0 billion remains outstanding for repurchases under the program. Dividends on common shares — On May 11, 2023, Bunge announced that the Company's Board of Directors had declared a dividend of $0.6625 per common share, payable on September 1, 2023, to shareholders of record on August 18, 2023. The $0.6625 per common share dividend represents a $0.0375, or 6%, increase from the Company's previous quarterly cash dividend of $0.625. During the six months ended June 30, 2023, the Company's Board of Directors declared total dividends on common shares of $1.2875 per common share. Accumulated other comprehensive income (loss) attributable to Bunge — The following table summarizes the balances of related after-tax components of Accumulated other comprehensive income (loss) attributable to Bunge: (US$ in millions) Foreign Exchange Deferred Pension and Other Accumulated Balance, April 1, 2023 $ (5,701) $ (368) $ (102) $ (6,171) Other comprehensive income (loss) before reclassifications 147 (66) — 81 Amount reclassified from accumulated other comprehensive income (loss) — (1) — (1) Balance, June 30, 2023 $ (5,554) $ (435) $ (102) $ (6,091) (US$ in millions) Foreign Exchange Deferred Pension and Other Accumulated Balance, April 1, 2022 $ (5,697) $ (373) $ (143) $ (6,213) Other comprehensive income (loss) before reclassifications (265) 47 — (218) Amount reclassified from accumulated other comprehensive income (loss) — (5) — (5) Balance, June 30, 2022 $ (5,962) $ (331) $ (143) $ (6,436) (US$ in millions) Foreign Exchange Deferred Pension and Other Accumulated Balance, January 1, 2023 $ (5,926) $ (343) $ (102) $ (6,371) Other comprehensive income (loss) before reclassifications 269 (92) — 177 Amount reclassified from accumulated other comprehensive income (loss) 103 — — 103 Balance, June 30, 2023 $ (5,554) $ (435) $ (102) $ (6,091) (US$ in millions) Foreign Exchange Deferred Pension and Other Postretirement Liability Adjustments (1) Accumulated Balance, January 1, 2022 $ (6,093) $ (254) $ (124) $ (6,471) Other comprehensive income (loss) before reclassifications 131 (70) — 61 Amount reclassified from accumulated other comprehensive income (loss) (1) — (7) (19) (26) Balance, June 30, 2022 $ (5,962) $ (331) $ (143) $ (6,436) (1) On February 28, 2022, the Company, together with plan participants and related employee unions, agreed to the transition of one of the Company's international defined benefit pension plans to a multi-employer pension plan. Following the transition, the Company accounts for the multi-employer plan similar to a defined contribution plan, resulting in full settlement of the related defined benefit plan obligations. In connection with the settlement, during the six months ended June 30, 2022, the Company reclassified $27 million (net of $10 million tax expense) in unamortized actuarial gains from Accumulated other comprehensive income (loss), of which $19 million was attributable to Bunge (net of $7 million in tax expense), and $8 million was attributable to redeemable non-controlling interest (net of $3 million in tax expense). |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
EARNINGS PER COMMON SHARE | EARNINGS PER COMMON SHARE The following table sets forth the computation of basic and diluted earnings per common share. Three Months Ended Six Months Ended (US$ in millions, except for share data) 2023 2022 2023 2022 Net income (loss) attributable to Bunge common shareholders $ 622 $ 206 $ 1,254 $ 894 Weighted-average number of common shares outstanding: Basic 150,609,139 151,799,677 150,345,757 147,183,925 Effect of dilutive shares: —stock options and awards (2) 1,570,265 2,273,037 1,886,376 2,687,006 —convertible preference shares (1) — — — 3,966,347 Diluted 152,179,404 154,072,714 152,232,133 153,837,278 Earnings per common share: Net income (loss) attributable to Bunge common shareholders—basic $ 4.13 $ 1.36 $ 8.34 $ 6.08 Net income (loss) attributable to Bunge common shareholders—diluted $ 4.09 $ 1.34 $ 8.24 $ 5.81 (1) Effective March 23, 2022, (the "Conversion Date"), in accordance with the terms of the certificate of designation governing the convertible preference shares, all of the Company's issued and outstanding convertible preference shares were automatically converted into 1.2846 common shares of the Company, par value $0.01 per share. As a result of this conversion, dividends on the convertible preference shares ceased to accrue on the Conversion Date. (2) The weighted-average common shares outstanding-diluted exclude less than one million stock options and contingently issuable restricted stock units, which were not dilutive and not included in the computation of earnings per share for each of the three and six months ended June 30, 2023, and 2022. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company's operations are organized, managed, and classified into four reportable segments - Agribusiness, Refined and Specialty Oils, Milling, and Sugar and Bioenergy, based upon their similar economic characteristics, products and services offered, production processes, types and classes of customer, and distribution methods. The Company’s remaining operations are not reportable segments, as defined by the applicable accounting standard, and are classified as Corporate and Other. The Agribusiness segment is characterized by both inputs and outputs being agricultural commodities and thus high volume and low margin. The Refined and Specialty Oils segment involves the processing, production, and marketing of products derived from vegetable oils. The Milling segment involves the processing, production, and marketing of products derived primarily from wheat and corn. The Sugar and Bioenergy reportable segment primarily comprises the net earnings in the Company’s 50% interest in BP Bunge Bioenergia, a joint venture with BP p.l.c. ("BP"). Corporate and Other includes salaries and overhead for corporate functions that are not allocated to the Company’s individual reporting segments because the operating performance of each reporting segment is evaluated by the Company's chief operating decision maker exclusive of these items, as well as certain other activities including Bunge Ventures, the Company's captive insurance activities, securitization program, and certain income tax assets and liabilities. Transfers between segments are generally valued at market. Segment revenues generated from these transfers are shown in the following table as “Inter-segment revenues.” Three Months Ended June 30, 2023 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Eliminations Total Net sales to external customers $ 10,875 $ 3,601 $ 490 $ 72 $ 11 $ — $ 15,049 Inter–segment revenues 1,999 56 — — — (2,055) — Cost of goods sold (9,878) (3,268) (450) (70) (18) — (13,684) Gross profit 997 333 40 2 (7) — 1,365 Selling, general and administrative expenses (151) (98) (24) — (147) — (420) Foreign exchange (losses) gains (64) 5 (1) — (6) — (66) EBIT attributable to noncontrolling interests (1) 1 (7) 1 — 1 — (4) Other income (expense) - net 7 (16) (2) 2 21 — 12 Income (loss) from affiliates (5) — — 47 (17) — 25 Total Segment EBIT (2) 785 217 14 51 (155) — 912 Total assets 17,789 3,883 1,086 382 2,572 — 25,712 Three Months Ended June 30, 2022 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Eliminations Total Net sales to external customers $ 12,747 $ 4,445 $ 677 $ 57 $ 7 $ — $ 17,933 Inter–segment revenues 2,892 86 92 — — (3,070) — Cost of goods sold (12,431) (4,120) (551) (55) (4) — (17,161) Gross profit 316 325 126 2 3 — 772 Selling, general and administrative expenses (119) (87) (28) — (100) — (334) Foreign exchange (losses) gains (93) (8) — — (9) — (110) EBIT attributable to noncontrolling interests (1) (13) (7) (1) — 1 — (20) Other income (expense) - net (14) (5) — — 13 — (6) Income (loss) from affiliates 16 — — 4 — — 20 Total Segment EBIT (2) 93 218 97 6 (92) — 322 Total assets 18,889 4,616 1,488 376 2,050 — 27,419 Six Months Ended June 30, 2023 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Eliminations Total Net sales to external customers $ 21,727 $ 7,489 $ 1,005 $ 136 $ 20 $ — $ 30,377 Inter–segment revenues 4,155 93 164 — — (4,412) — Cost of goods sold (19,922) (6,814) (934) (134) (27) — (27,831) Gross profit 1,805 675 71 2 (7) — 2,546 Selling, general and administrative expenses (283) (193) (45) — (252) — (773) Foreign exchange (losses) gains (25) 10 (1) — (1) — (17) EBIT attributable to noncontrolling interests (1) (20) (11) 1 — 1 — (29) Other income (expense) - net 18 (31) (3) 2 41 — 27 Income (loss) from affiliates (5) — — 66 (17) — 44 Total Segment EBIT (2) 1,490 450 23 70 (235) — 1,798 Total assets 17,789 3,883 1,086 382 2,572 — 25,712 Six Months Ended June 30, 2022 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Eliminations Total Net sales to external customers $ 23,978 $ 8,421 $ 1,280 $ 121 $ 13 $ — $ 33,813 Inter–segment revenues 5,379 198 467 — — (6,044) — Cost of goods sold (22,798) (7,834) (1,083) (117) (5) — (31,837) Gross profit 1,180 587 197 4 8 — 1,976 Selling, general and administrative expenses (240) (176) (52) — (174) — (642) Foreign exchange (losses) gains (84) (8) 3 — (9) — (98) EBIT attributable to noncontrolling interests (1) (17) (4) (1) — (11) — (33) Other income (expense) - net (77) (8) — — 32 — (53) Income (loss) from affiliates 30 — — 36 (1) — 65 Total Segment EBIT (2) 792 391 147 40 (155) — 1,215 Total assets 18,889 4,616 1,488 376 2,050 — 27,419 (1) Include noncontrolling interests' share of interest and tax with EBIT attributable to noncontrolling interests in order to reconcile to consolidated Net (income) loss attributable to noncontrolling interests and redeemable noncontrolling interests. (2) Total Segment earnings before interest and taxes ("EBIT") is an operating performance measure used by Bunge’s management to evaluate segment operating activities. Bunge’s management believes Total Segment EBIT is a useful measure of operating profitability, since the measure allows for an evaluation of the performance of its segments without regard to its financing methods or capital structure. In addition, EBIT is a financial measure that is widely used by analysts and investors in Bunge’s industry. Total Segment EBIT is a non-GAAP financial measure and is not intended to replace Net income (loss) attributable to Bunge, the most directly comparable U.S. GAAP financial measure. Further, Total Segment EBIT is not a measure of consolidated operating results under U.S. GAAP and should not be considered as an alternative to Net income (loss) or any other measure of consolidated operating results under U.S. GAAP. See the reconciliation of Total Segment EBIT to Net income (loss) attributable to Bunge in the table below. A reconciliation of Net income (loss) attributable to Bunge to Total Segment EBIT follows: Three Months Ended Six Months Ended (US$ in millions) 2023 2022 2023 2022 Net income (loss) attributable to Bunge $ 622 $ 206 $ 1,254 $ 894 Interest income (40) (11) (83) (20) Interest expense 129 92 241 203 Income tax expense (benefit) 198 36 381 144 Noncontrolling interests' share of interest and tax 3 (1) 5 (6) Total Segment EBIT $ 912 $ 322 $ 1,798 $ 1,215 The Company’s revenue comprises sales from commodity contracts that are accounted for under ASC 815, Derivatives and Hedging (ASC 815) and sales of other products and services that are accounted for under ASC 606, Revenue from Contracts with Customers (ASC 606). The following tables provide a disaggregation of Net sales to external customers between sales from commodity contracts (ASC 815) and sales from contracts with customers (ASC 606): Three Months Ended June 30, 2023 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Total Sales from commodity contracts (ASC 815) $ 10,293 $ 262 $ 41 $ 70 $ — $ 10,666 Sales from contracts with customers (ASC 606) 582 3,339 449 2 11 4,383 Net sales to external customers $ 10,875 $ 3,601 $ 490 $ 72 $ 11 $ 15,049 Three Months Ended June 30, 2022 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Total Sales from commodity contracts (ASC 815) $ 11,929 $ 379 $ 47 $ 56 $ — $ 12,411 Sales from contracts with customers (ASC 606) 818 4,066 630 1 7 5,522 Net sales to external customers $ 12,747 $ 4,445 $ 677 $ 57 $ 7 $ 17,933 Six Months Ended June 30, 2023 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Total Sales from commodity contracts (ASC 815) $ 20,582 $ 440 $ 115 $ 134 $ — $ 21,271 Sales from contracts with customers (ASC 606) 1,145 7,049 890 2 20 9,106 Net sales to external customers $ 21,727 $ 7,489 $ 1,005 $ 136 $ 20 $ 30,377 Six Months Ended June 30, 2022 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Total Sales from commodity contracts (ASC 815) $ 22,496 $ 630 $ 109 $ 119 $ — $ 23,354 Sales from contracts with customers (ASC 606) 1,482 7,791 1,171 2 13 10,459 Net sales to external customers $ 23,978 $ 8,421 $ 1,280 $ 121 $ 13 $ 33,813 |
BASIS OF PRESENTATION, PRINCI_2
BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES | BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited condensed consolidated financial statements include the accounts of Bunge Limited ("Bunge" or the "Company"), its subsidiaries and variable interest entities ("VIEs") in which Bunge is considered to be the primary beneficiary, and as a result, include the assets, liabilities, revenues and expenses of all entities over which Bunge has a controlling financial interest. The financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X under the Securities Exchange Act of 1934, as amended ("Exchange Act"). Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to Securities and Exchange Commission ("SEC") rules. In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation have been included. The condensed consolidated balance sheet at December 31, 2022 has been derived from Bunge’s audited consolidated financial statements at that date. Operating results for the six months ended June 30, 2023 are not necessarily indicative of the results to be expected for the year ending December 31, 2023. The financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2022, forming part of Bunge’s 2022 Annual Report on Form 10-K filed with the SEC on February 24, 2023. Effective January 1, 2023, the Company changed its reporting of cash proceeds from and repayments of short-term debt with maturities of three months or less to be presented on a net basis in its condensed consolidated statements of cash flows. Prior to January 1, 2023, the Company presented cash proceeds from and repayments of short-term debt with maturities of three months or less separately in its consolidated statements of cash flows. Prior period amounts have been reclassified to conform to current presentation. On April 9, 2023, Argentina’s government published Emergency Decree 194/2023 Programa de Incremento Exportador (the “Export Program”) which introduced a preferential U.S. dollar to Argentine peso foreign exchange rate available exclusively during the period between April 10, 2023 and May 31, 2023, payable to Argentinian farmers on qualifying Argentine peso denominated sales of certain commodities. The Export Program, and similar Argentinian government programs in 2022, is aimed at boosting farmer selling and in turn commodity exports. Please refer to Note 1 – Nature of Business, Basis of Presentation, and Significant Accounting Policies , included in the Company’s 2022 Annual Report on Form 10-K for further details on the 2022 government programs. Bunge is both a receiver of the preferential exchange rate for cash converted to Argentine pesos |
Cash, Cash Equivalents, Restricted Cash, and Cash held for sale | Cash, Cash Equivalents and Restricted Cash Restricted cash is included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the condensed consolidated statements of cash flows. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In March 2020, the FASB issued Accounting Standards Update ("ASU") 2020-04, Reference Rate Reform (Topic 848), to provide temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting designed to ease the financial reporting burden related to reference rate reform. In December 2022, the FASB subsequently issued ASU 2022-06, Deferral of the Sunset Date of Topic 848 , to ensure the relief in Topic 848 covers the period of time during which a significant number of modifications to eligible contracts and hedging relationships may take place. The ASU defers the sunset date of Topic 848 from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. The Company is applying this guidance prospectively to all eligible contract modifications through December 31, 2024. As of June 30, 2023, Bunge has concluded the modification of all eligible contracts and the adoption of this guidance did not have a material impact on Bunge's condensed consolidated financial statements. |
BASIS OF PRESENTATION, PRINCI_3
BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Restricted Cash | The following table provides a reconciliation of cash and cash equivalents and restricted cash, reported within the condensed consolidated balance sheets, which sum to the total of the same such amounts shown in the condensed consolidated statements of cash flows. (US$ in millions) June 30, 2023 June 30, 2022 Cash and cash equivalents $ 1,330 $ 818 Restricted cash included in Other current assets 30 5 Total $ 1,360 $ 823 |
Schedule of Cash and Cash Equivalents | The following table provides a reconciliation of cash and cash equivalents and restricted cash, reported within the condensed consolidated balance sheets, which sum to the total of the same such amounts shown in the condensed consolidated statements of cash flows. (US$ in millions) June 30, 2023 June 30, 2022 Cash and cash equivalents $ 1,330 $ 818 Restricted cash included in Other current assets 30 5 Total $ 1,360 $ 823 |
ACQUISITIONS AND DISPOSITIONS (
ACQUISITIONS AND DISPOSITIONS (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Business Combination, Asset Acquisition And Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of Assets and Liabilities of the disposal group | The following table presents the book values of the major classes of assets and liabilities that were included in the disposal group at the closing date. Intercompany balances between the disposal group and other Bunge consolidated entities have been omitted. Assets included in the disposal group comprised $12 million and $21 million, reported under the Agribusiness segment and Refined and Specialty Oils segment, respectively. Liabilities included in the disposal group comprised $6 million and $13 million, reported under the Agribusiness segment and Refined and Specialty Oils segment, respectively. (US$ in millions) Cash and cash equivalents $ 19 Trade accounts receivable (less allowances of zero) 15 Inventories 33 Other current assets 14 Property, plant and equipment, net 24 Goodwill & Other intangible assets, net 10 Other non-current assets 8 Impairment reserve (90) Total assets $ 33 Trade accounts payable and accrued liabilities $ 3 Other current liabilities 16 Total liabilities $ 19 |
TRADE ACCOUNTS RECEIVABLE AND_2
TRADE ACCOUNTS RECEIVABLE AND TRADE RECEIVABLES SECURITIZATION PROGRAM (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Transfers and Servicing [Abstract] | |
Schedule of Changes to the Allowance for Lifetime Expected Credit Losses Related to Trade Accounts Receivable | Changes to the allowance for lifetime expected credit losses related to Trade accounts receivable were as follows: Six Months Ended June 30, 2023 Rollforward of the Allowance for Credit Losses (US$ in millions) Short-term Long-term (1) Total Allowance as of January 1, 2023 $ 90 $ 46 $ 136 Current period provisions 39 — 39 Recoveries (33) (1) (34) Write-offs charged against the allowance (1) (12) (13) Foreign exchange translation differences 2 1 3 Allowance as of June 30, 2023 $ 97 $ 34 $ 131 (1) Long-term portion of the allowance for credit losses is included in Other non-current assets. Six Months Ended June 30, 2022 Rollforward of the Allowance for Credit Losses (US$ in millions) Short-term Long-term (1) Total Allowance as of January 1, 2022 $ 85 $ 47 $ 132 Current period provisions 27 1 28 Recoveries (19) — (19) Write-offs charged against the allowance (10) (3) (13) Foreign exchange translation differences (1) 2 1 Allowance as of June 30, 2022 $ 82 $ 47 $ 129 (1) Long-term portion of the allowance for credit losses is included in Other non-current assets. |
Schedule of Assets that Continue to be Recognized, Transferred Financial Assets and Other Financial Assets Managed Together | (US$ in millions) June 30, December 31, Receivables sold that were derecognized from Bunge's balance sheet $ 1,100 $ 1,100 Unsold receivables pledged to the administrative agent and included in Trade accounts receivable $ 504 $ 583 Six Months Ended (US$ in millions) 2023 2022 Gross receivables sold $ 6,901 $ 8,585 Proceeds received in cash related to transfers of receivables (1) $ 6,872 $ 7,876 Cash collections from customers on receivables previously sold $ 6,901 $ 8,372 Discounts related to gross receivables sold included in SG&A $ 29 $ 6 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories by Segment | Inventories by segment are presented below. Readily marketable inventories ("RMI") are agricultural commodity inventories, such as soybeans, soybean meal, soybean oil, palm oil, corn, and wheat carried at fair value because of their commodity characteristics, widely available markets, and international pricing mechanisms. The Company engages in trading and distribution, or merchandising activities, and part of RMI can be attributable to such activities and is not held for processing. All other inventories are carried at lower of cost or net realizable value. (US$ in millions) June 30, December 31, Agribusiness (1) $ 7,468 $ 6,756 Refined and Specialty Oils (2) 1,072 1,316 Milling (3) 261 332 Corporate and Other 5 4 Total $ 8,806 $ 8,408 (1) Includes RMI of $6,956 million and $6,286 million at June 30, 2023, and December 31, 2022, respectively. Assets held for sale includes RMI of zero and $26 million at June 30, 2023, and December 31, 2022, respectively. Of these amounts, $5,898 million and $4,789 million can be attributable to merchandising activities at June 30, 2023, and December 31, 2022, respectively. (2) Includes RMI of $217 million and $271 million at June 30, 2023, and December 31, 2022, respectively. (3) Includes RMI of $23 million and $97 million at June 30, 2023, and December 31, 2022, respectively. |
OTHER CURRENT ASSETS (Tables)
OTHER CURRENT ASSETS (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Current Assets | Other current assets consist of the following: (US$ in millions) June 30, December 31, Unrealized gains on derivative contracts, at fair value $ 1,865 $ 1,597 Prepaid commodity purchase contracts (1) 421 254 Secured advances to suppliers, net (2) 252 365 Recoverable taxes, net 372 365 Margin deposits 809 791 Marketable securities and other short-term investments (3) 73 119 Income taxes receivable 68 102 Prepaid expenses 269 376 Restricted cash 30 26 Other 306 386 Total $ 4,465 $ 4,381 (1) Prepaid commodity purchase contracts represent advance payments against contracts for future deliveries of specified quantities of agricultural commodities. (2) The Company provides cash advances to suppliers, primarily Brazilian soybean farmers, to finance a portion of the suppliers’ production costs. The Company does not bear any of the costs or operational risks associated with the related growing activities. The advances are largely collateralized by future crops and physical assets of the suppliers, carry a local market interest rate, and settle when the farmers' crops are harvested and sold. The secured advances to farmers are reported net of allowances of $8 million and $7 million at June 30, 2023 and December 31, 2022, respectively. (-) Interest earned on secured advances to suppliers of $4 million and $6 million for the three months ended June 30, 2023, and 2022, respectively, and $11 million and $12 million for the six months ended June 30, 2023 and 2022 is included in Net sales in the condensed consolidated statements of income. (3) Marketable securities and other short-term investments - The Company invests in foreign government securities, corporate debt securities, deposits, equity securities, and other securities. The following is a summary of amounts recorded in the Company's condensed consolidated balance sheets as marketable securities and other short-term investments. |
Schedule of Marketable Securities and Other Short-Term Investments | (US$ in millions) June 30, December 31, Foreign government securities $ 32 $ 68 Equity securities 13 23 Other 28 28 Total $ 73 $ 119 |
OTHER NON-CURRENT ASSETS (Table
OTHER NON-CURRENT ASSETS (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Other Assets, Noncurrent [Abstract] | |
Schedule of Other Non-Current Assets | Other non-current assets consist of the following: (US$ in millions) June 30, December 31, Recoverable taxes, net (1) $ 35 $ 59 Judicial deposits (1) 125 110 Other long-term receivables, net (2) 15 16 Income taxes receivable (1) 207 143 Long-term investments (3) 167 163 Affiliate loans receivable 8 8 Long-term receivables from farmers in Brazil, net (1) 46 32 Unrealized gains on derivative contracts, at fair value 1 1 Other 121 95 Total $ 725 $ 627 (1) A significant portion of these non-current assets arise from the Company’s Brazilian operations and their realization could take several years. (2) Net of allowances as described in Note 4 - Trade Accounts Receivable and Trade Receivables Securitization Program . (3) As of June 30, 2023, and December 31, 2022, $10 million a |
Schedule of Gross Investment in Long-Term Receivables and the Related Allowance Amounts from Brazilian Farmers | The table below summarizes the Company’s recorded investment in long-term receivables from farmers in Brazil and the related allowance amounts. June 30, 2023 December 31, 2022 (US$ in millions) Recorded Allowance Recorded Allowance For which an allowance has been provided: Legal collection process (1) $ 37 $ 37 $ 40 $ 34 Renegotiated amounts 1 1 2 2 For which no allowance has been provided: Legal collection process (1) 24 — 19 — Renegotiated amounts (2) 5 — 7 — Other long-term receivables (3) 17 — — — Total $ 84 $ 38 $ 68 $ 36 (1) All amounts in legal collection processes are considered past due upon initiation of legal action. (2) These renegotiated amounts are current on repayment terms. (3) New advances expected to be realized through farmer commitments to deliver agricultural commodities in crop periods greater than twelve months from the balance sheet date. Such advances are reclassified from Other non-current assets to Other current assets in later periods depending on the expected date of their realization. |
Schedule of the Activity in the Allowance for Doubtful Accounts Related to Long-Term Receivables from Brazilian Farmers | The table below summarizes the activity in the allowance for doubtful accounts related to long-term receivables from farmers in Brazil. Six Months Ended (US$ in millions) 2023 2022 Allowance as of January 1 $ 36 $ 36 Bad debt provisions — 1 Recoveries (1) (3) Write-offs — — Transfers — — Foreign exchange translation 3 3 Allowance as of June 30 $ 38 $ 37 |
INVESTMENTS IN AFFILIATES AND_2
INVESTMENTS IN AFFILIATES AND VARIABLE INTEREST ENTITIES (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Variable Interest Entities | For all other VIEs in which Bunge is considered the primary beneficiary, the entities meet the definition of a business, and the VIE's assets can be used other than for the settlement of the VIE’s obligations. As such these VIEs have been excluded from the below table. (US$ in millions) June 30, December 31, Current assets: Cash and cash equivalents $ 569 $ 528 Trade accounts receivable 1 — Inventories 68 85 Other current assets 91 98 Total current assets 729 711 Property, plant and equipment, net 100 65 Total assets $ 829 $ 776 Current liabilities: Trade accounts payable and accrued liabilities $ 62 $ 81 Other current liabilities 90 85 Total current liabilities 152 166 Total liabilities $ 152 $ 166 |
OTHER CURRENT LIABILITIES (Tabl
OTHER CURRENT LIABILITIES (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Current Liabilities | Other current liabilities consist of the following: (US$ in millions) June 30, December 31, Unrealized losses on derivative contracts, at fair value $ 1,574 $ 1,570 Accrued liabilities 638 755 Advances on sales (1) 380 601 Income tax payable 63 156 Other 347 297 Total $ 3,002 $ 3,379 (1) The Company records advances on sales when cash payments are received in advance of the Company’s performance and recognizes revenue once the related performance obligation is completed. Advances on sales are impacted by the seasonality of Bunge's business, including the timing of harvests in the northern and southern hemispheres, and amounts at each balance sheet date will generally be recognized in earnings within twelve months or less. |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Financial Instruments And Fair Value Measurements [Abstract] | |
Schedule of Hierarchy Levels that may be Used to Measure Fair Value | The fair value standard describes three levels within its hierarchy that may be used to measure fair value. Level Description Financial Instrument (Assets / Liabilities) Level 1 Quoted prices (unadjusted) in active markets for identical assets or liabilities. Exchange traded derivative contracts. Marketable securities in active markets. Level 2 Observable inputs, including adjusted Level 1 quotes, quoted prices for similar assets or liabilities, quoted prices in markets that are less active than traded exchanges and other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Exchange traded derivative contracts (less liquid markets). Level 3 Unobservable inputs that are supported by little or no market activity and that are a significant component of the fair value of the assets or liabilities. Assets and liabilities whose value is determined using proprietary pricing models, discounted cash flow methodologies or similar techniques. |
Schedule of Assets and Liabilities Accounted for at Fair Value on a Recurring Basis | The following table sets forth, by level, the Company’s assets and liabilities that were accounted for at fair value on a recurring basis. Fair Value Measurements at Reporting Date June 30, 2023 December 31, 2022 (US$ in millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets: Cash equivalents $ 115 $ 185 $ — $ 300 $ — $ 81 $ — $ 81 Readily marketable inventories (Note 5) — 5,812 1,384 7,196 — 6,268 412 6,680 Trade accounts receivable (1) — 9 — 9 — 7 — 7 Unrealized gain on derivative contracts (2) : Interest rate 6 7 — 13 — 3 — 3 Foreign exchange — 566 — 566 1 378 — 379 Commodities 165 915 60 1,140 136 763 101 1,000 Freight 98 — — 98 80 — — 80 Energy 42 2 — 44 128 2 — 130 Credit — 5 — 5 — 5 — 5 Other (3) 24 21 11 56 33 40 27 100 Total assets $ 450 $ 7,522 $ 1,455 $ 9,427 $ 378 $ 7,547 $ 540 $ 8,465 Liabilities: Trade accounts payable (1) $ — $ 658 $ 437 $ 1,095 $ — $ 513 $ 130 $ 643 Unrealized loss on derivative contracts (4) : Interest rate 4 333 — 337 — 344 — 344 Foreign exchange — 433 — 433 1 461 — 462 Commodities 145 846 51 1,042 127 731 50 908 Freight 42 — — 42 28 — — 28 Energy 39 5 — 44 153 6 — 159 Credit — — — — — 1 — 1 Total liabilities $ 230 $ 2,275 $ 488 $ 2,993 $ 309 $ 2,056 $ 180 $ 2,545 (1) These receivables and payables are hybrid financial instruments for which Bunge has elected the fair value option as they are derived from purchases and sales of agricultural commodity products in the normal course of business. (2) Unrealized gains on derivative contracts are generally included in Other current assets. There were $1 million and $1 million included in Other non-current assets at June 30, 2023, and December 31, 2022, respectively. (3) Other includes the fair values of marketable securities and investments in Other current assets and Other non-current assets. |
Schedule of Reconciliation of Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) | The tables below present reconciliations for assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three and six months ended June 30, 2023, and 2022. These instruments were valued using pricing models that management believes reflect the assumptions that would be used by a marketplace participant. Three Months Ended June 30, 2023 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, April 1, 2023 $ 1,308 $ 47 $ (494) $ 27 $ 888 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 192 (56) 9 — 145 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (2) (2) Purchases 1,377 — (89) — 1,288 Sales (1,846) — — (14) (1,860) Settlements — — 131 — 131 Transfers into Level 3 312 26 (10) — 328 Transfers out of Level 3 (18) (8) 42 — 16 Translation adjustment 59 — (26) — 33 Balance, June 30, 2023 $ 1,384 $ 9 $ (437) $ 11 $ 967 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $16 million mark-to-market losses related to securities still held at June 30, 2023. Three Months Ended June 30, 2022 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, April 1, 2022 $ 1,131 $ 27 $ (447) $ 70 $ 781 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 35 (9) 18 — 44 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (5) (5) Purchases 856 — (80) — 776 Sales (1,310) — — — (1,310) Settlements — — 52 — 52 Transfers into Level 3 451 7 (2) — 456 Transfers out of Level 3 (131) (15) 146 — — Translation adjustment (91) — 42 1 (48) Balance, June 30, 2022 $ 941 $ 10 $ (271) $ 66 $ 746 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable, includes gains/(losses) of $84 million, $(25) million and $17 million, respectively, that are attributable to the change in unrealized gains/(losses) relating to Level 3 assets and liabilities still held at June 30, 2022. (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $5 million in gains related to securities still held at June 30, 2022. Six Months Ended June 30, 2023 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, January 1, 2023 $ 412 $ 51 $ (130) $ 27 $ 360 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 365 (71) 18 — 312 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (2) (2) Purchases 3,021 — (429) — 2,592 Sales (3,589) — — (14) (3,603) Settlements — — 171 — 171 Transfers into Level 3 1,150 29 (81) — 1,098 Transfers out of Level 3 (39) — 42 — 3 Translation adjustment 64 — (28) — 36 Balance, June 30, 2023 $ 1,384 $ 9 $ (437) $ 11 $ 967 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable, include gains/(losses) of $444 million, $(42) million and $19 million, respectively, that are attributable to the change in unrealized gains/(losses) relating to Level 3 assets and liabilities still held at June 30, 2023. (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $16 million mark-to-market losses related to securities still held at June 30, 2023. Six Months Ended June 30, 2022 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, January 1, 2022 $ 205 $ (31) $ (23) $ — $ 151 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 170 28 33 — 231 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (69) $ (69) Purchases 2,102 — (446) — 1,656 Sales (2,687) — — — (2,687) Settlements — — 325 (84) 241 Transfers into Level 3 1,415 28 (347) 218 1,314 Transfers out of Level 3 (178) (14) 146 — (46) Translation adjustment (86) (1) 41 1 (45) Balance, June 30, 2022 $ 941 $ 10 $ (271) $ 66 $ 746 |
Schedule of Reconciliation of Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) | The tables below present reconciliations for assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three and six months ended June 30, 2023, and 2022. These instruments were valued using pricing models that management believes reflect the assumptions that would be used by a marketplace participant. Three Months Ended June 30, 2023 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, April 1, 2023 $ 1,308 $ 47 $ (494) $ 27 $ 888 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 192 (56) 9 — 145 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (2) (2) Purchases 1,377 — (89) — 1,288 Sales (1,846) — — (14) (1,860) Settlements — — 131 — 131 Transfers into Level 3 312 26 (10) — 328 Transfers out of Level 3 (18) (8) 42 — 16 Translation adjustment 59 — (26) — 33 Balance, June 30, 2023 $ 1,384 $ 9 $ (437) $ 11 $ 967 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $16 million mark-to-market losses related to securities still held at June 30, 2023. Three Months Ended June 30, 2022 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, April 1, 2022 $ 1,131 $ 27 $ (447) $ 70 $ 781 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 35 (9) 18 — 44 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (5) (5) Purchases 856 — (80) — 776 Sales (1,310) — — — (1,310) Settlements — — 52 — 52 Transfers into Level 3 451 7 (2) — 456 Transfers out of Level 3 (131) (15) 146 — — Translation adjustment (91) — 42 1 (48) Balance, June 30, 2022 $ 941 $ 10 $ (271) $ 66 $ 746 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable, includes gains/(losses) of $84 million, $(25) million and $17 million, respectively, that are attributable to the change in unrealized gains/(losses) relating to Level 3 assets and liabilities still held at June 30, 2022. (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $5 million in gains related to securities still held at June 30, 2022. Six Months Ended June 30, 2023 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, January 1, 2023 $ 412 $ 51 $ (130) $ 27 $ 360 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 365 (71) 18 — 312 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (2) (2) Purchases 3,021 — (429) — 2,592 Sales (3,589) — — (14) (3,603) Settlements — — 171 — 171 Transfers into Level 3 1,150 29 (81) — 1,098 Transfers out of Level 3 (39) — 42 — 3 Translation adjustment 64 — (28) — 36 Balance, June 30, 2023 $ 1,384 $ 9 $ (437) $ 11 $ 967 (1) Readily marketable inventories, derivatives, net, and Trade accounts payable, include gains/(losses) of $444 million, $(42) million and $19 million, respectively, that are attributable to the change in unrealized gains/(losses) relating to Level 3 assets and liabilities still held at June 30, 2023. (2) Comprises the fair values of marketable securities and investments in Other current assets. Included within Other income (expense) - net of the condensed consolidated statements of income are $16 million mark-to-market losses related to securities still held at June 30, 2023. Six Months Ended June 30, 2022 (US$ in millions) Readily Derivatives, Trade Other (2) Total Balance, January 1, 2022 $ 205 $ (31) $ (23) $ — $ 151 Total gains and losses (realized/unrealized) included in Cost of goods sold (1) 170 28 33 — 231 Total gains and losses (realized/unrealized) included in Other income (expense) - net — — — (69) $ (69) Purchases 2,102 — (446) — 1,656 Sales (2,687) — — — (2,687) Settlements — — 325 (84) 241 Transfers into Level 3 1,415 28 (347) 218 1,314 Transfers out of Level 3 (178) (14) 146 — (46) Translation adjustment (86) (1) 41 1 (45) Balance, June 30, 2022 $ 941 $ 10 $ (271) $ 66 $ 746 |
DERIVATIVE INSTRUMENTS AND HE_2
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Outstanding Derivative Instruments | The notional amount is used to compute interest or other payment streams to be made under the contract and is a measure of the Company’s level of activity. The Company discloses derivative notional amounts on a gross basis. (US$ in millions) June 30, December 31, 2022 Unit of Hedging instrument type: Fair value hedges of interest rate risk Interest rate swap - notional amount $ 2,900 $ 3,753 $ Notional Cumulative adjustment to long-term debt from application of hedge accounting $ (324) $ (341) $ Notional Carrying value of hedged debt $ 2,559 $ 3,394 $ Notional Fair value hedges of currency risk Cross currency swap $ 212 $ 232 $ Notional Carrying value of hedged debt $ 212 $ 232 $ Notional Cash flow hedges of currency risk Foreign currency forward - notional amount $ 61 $ 310 $ Notional Foreign currency option - notional amount $ 66 $ 108 $ Notional Net investment hedges Foreign currency forward - notional amount $ 725 $ 495 $ Notional The table below summarizes the volume of economic derivatives as of June 30, 2023 and December 31, 2022. For those contracts traded bilaterally through the over-the-counter markets (e.g., forwards, forward rate agreements ("FRA"), and swaps), the gross position is provided. For exchange traded (e.g., futures, FFAs, and options) and cleared positions (e.g., energy swaps), the net position is provided. June 30, December 31, 2023 2022 Unit of (US$ in millions) Long (Short) Long (Short) Interest rate Swaps $ 79 $ (1,675) $ 387 $ (1,267) $ Notional Futures $ — $ (416) $ — $ (97) $ Notional Forwards $ 650 $ (896) $ — $ — $ Notional Currency Forwards $ 9,735 $ (12,003) $ 9,819 $ (9,682) $ Notional Swaps $ 2,776 $ (1,407) $ 2,441 $ (2,876) $ Notional Futures $ — $ (10) $ 11 $ — $ Notional Options $ 36 $ (25) $ — $ (102) Delta Agricultural commodities Forwards 33,130,064 (34,407,272) 20,493,679 (27,766,763) Metric Tons Swaps — — — (1,864,262) Metric Tons Futures — (9,522,764) — (4,092,772) Metric Tons Options 210,894 (948,005) 1,025 (216,647) Metric Tons Ocean freight FFA — (8,905) — (11,197) Hire Days Natural gas Forwards 24,619 (24,620) — — MMBtus Swaps 580,095 — 1,460,190 — MMBtus Futures 6,037,280 — 5,250,393 — MMBtus Options 419,540 — — — MMBtus Electricity Futures — (73,496) — — Mwh Swaps 28,800 (10,800) 22,987 (8,619) Mwh Energy - other Swaps 170,736 — 175,784 — Metric Tons Futures — — 1,320,881 — Metric Tons Options — (13,640) — — Metric Tons Energy - CO2 Futures 355,000 — — (38,000) Metric Tons Other Swaps and futures $ 10 $ (45) $ 20 $ (50) $ Notional |
Schedule of Effect of Derivative Instruments Designated as Fair Value Hedges and Undesignated Derivative Instruments on Condensed Consolidated Statements of Income | The tables below summarize the net effect of derivative instruments and hedge accounting on the condensed consolidated statements of income for the three and six months ended June 30, 2023 and 2022. Gain (Loss) Recognized in Three Months Ended June 30, (US$ in millions) 2023 2022 Income statement classification Type of derivative Net sales Hedge accounting Foreign currency $ 4 $ 5 Cost of goods sold Hedge accounting Foreign currency $ (1) $ — Economic hedges Foreign currency 324 (70) Commodities (32) 638 Other (1) 16 9 Total Cost of goods sold $ 307 $ 577 Selling, general & administrative Hedge Accounting Foreign exchange $ 1 $ — Interest expense Hedge accounting Interest rate $ (35) $ 3 Economic hedges Interest rate 5 — Total Interest expense $ (30) $ 3 Foreign exchange (losses) gains Hedge accounting Foreign currency $ (19) $ (25) Economic hedges Foreign currency (39) 57 Total Foreign exchange (losses) gains $ (58) $ 32 Other comprehensive income (loss) Gains and losses on derivatives used as fair value hedges of foreign currency risk included in Other comprehensive income (loss) during the period $ — $ 2 Gains and losses on derivatives used as cash flow hedges of foreign currency risk included in Other comprehensive income (loss) during the period $ (26) $ 4 Gains and losses on derivatives used as net investment hedges included in Other comprehensive income (loss) during the period $ (40) $ 41 Amounts released from Accumulated other comprehensive income (loss) during the period Cash flow hedge of foreign currency risk $ 1 $ (5) (1) Other includes results from freight, energy and other derivatives. Gain (Loss) Recognized in Six months ended June 30, (US$ in millions) 2023 2022 Income statement classification Type of derivative Net sales Hedge accounting Foreign currency $ 5 $ 7 Cost of goods sold Hedge accounting Foreign currency $ — $ — Economic hedges Foreign currency 408 423 Commodities 364 (618) Other (1) 7 90 Total Cost of goods sold $ 779 $ (105) Selling, general & administrative expenses Hedge Accounting Foreign exchange $ 1 $ — Interest expense Hedge accounting Interest rate $ (68) $ (4) Economic hedges Interest rate 6 1 Total Interest expense $ (62) $ (3) Foreign exchange gains (losses) Hedge accounting Foreign currency $ (21) $ (37) Economic hedges Foreign currency (6) 116 Total Foreign exchange gains (losses) $ (27) $ 79 Other income (expense) Economic hedges Interest rate $ 1 $ 1 Other comprehensive income (loss) Gains and losses on derivatives used as fair value hedges of foreign currency risk included in Other comprehensive income (loss) during the period $ — $ 2 Gains and losses on derivatives used as cash flow hedges of foreign currency risk included in Other comprehensive income (loss) during the period $ (31) $ 36 Gains and losses on derivatives used as net investment hedges included in Other comprehensive income (loss) during the period $ (61) $ (108) Amounts released from Accumulated other comprehensive income (loss) during the period Cash flow hedge of foreign currency risk $ — $ (7) (1) Other includes results from freight, energy and other derivatives. |
DEBT (Tables)
DEBT (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Carrying Amounts and Fair Values of Long-Term Debt | The carrying amounts and fair values of long-term debt are as follows: June 30, 2023 December 31, 2022 (US$ in millions) Carrying Fair Value Carrying Fair Value Long-term debt, including current portion $ 4,282 $ 4,290 $ 4,105 $ 4,148 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Liabilities Related to General Claims and Lawsuits Included in Other Non-Current Liabilities | Included in Other non-current liabilities as of June 30, 2023, and December 31, 2022, are the following amounts related to these matters: (US$ in millions) June 30, December 31, Non-income tax claims $ 19 $ 20 Labor claims 66 76 Civil and other claims 113 105 Total $ 198 $ 201 |
Schedule of Tax Examinations Against Brazilian Subsidiaries | The Company continues to evaluate the merits of outstanding claims from examinations of ICMS and PIS/COFINS tax returns concluded by Brazilian federal and state tax authorities and will recognize them if and when loss is considered probable. The outstanding claims comprise the following: (US$ in millions) Years Examined June 30, 2023 December 31, 2022 ICMS 1990 to Present $ 232 $ 215 PIS/COFINS 2002 to Present $ 436 $ 347 |
Schedule of Maximum Potential Future Payments Related to Guarantees | Bunge has issued or was a party to the following guarantees at June 30, 2023: (US$ in millions) Recorded Liability Maximum Unconsolidated affiliates guarantee (1) $ — $ 96 Residual value guarantee (2) — 364 Russia disposition indemnity (3) 9 235 Other guarantees — 6 Total $ 9 $ 701 (1) Bunge has issued guarantees to certain financial institutions related to debt of certain of its unconsolidated affiliates. The terms of the guarantees are equal to the terms of the related financings, which have maturity dates through 2034. There are no recourse provisions or collateral that would enable Bunge to recover any amounts paid under these guarantees. In addition, certain Bunge subsidiaries have guaranteed the obligations of certain of their unconsolidated affiliates and in connection therewith have secured their guarantee obligation s through a pledge to the financial institutions of certain of their unconsolidated affiliates' shares plus loans receivable from the unconsolidated affiliates in the event that the guaranteed obligations are enforced. Based on amounts drawn under such debt facilities at June 30, 2023, Bunge's potential liability was $50 million, and it has recorded less than $1 million obligation related to these guarantees within Other non-current liabilities. (2) Bunge has issued guarantees to certain financial institutions that are party to certain operating lease arrangements for railcars, barges, and buildings. These guarantees provide for a minimum residual value to be received by the lessor at the conclusion of the lease term. These leases expire at various dates from 2024 through 2029. At June 30, 2023, no obligation has been recorded related to these guarantees. Any obligation recorded would be recognized in Current operating lease obligations or Non-current operating lease obligations. (3) On February 3, 2023, Bunge agreed to indemnify the buyer of its Russian operations against certain existing legal claims involving Bunge's Russian subsidiary. The indemnity expires on February 2, 2030. As of June 30, 2023, Bunge recorded a $9 million obligation related to this indemnity within Other non-current liabilities. |
OTHER NON-CURRENT LIABILITIES (
OTHER NON-CURRENT LIABILITIES (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Non-Current Liabilities | Other non-current liabilities consist of the following: (US$ in millions) June 30, December 31, Labor, legal, and other provisions $ 216 $ 205 Pension and post-retirement obligations 149 152 Uncertain income tax positions (1) 67 59 Unrealized losses on derivative contracts, at fair value (2) 324 332 Other 115 101 Total $ 871 $ 849 (1) See Note 9 - Income Taxes. (2) See Note 11- Fair Value Measurements. |
EQUITY (Tables)
EQUITY (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Stockholders' Equity Note [Abstract] | |
Schedule of After-Tax Components of Accumulated Other Comprehensive Income (Loss) Attributable to Bunge | The following table summarizes the balances of related after-tax components of Accumulated other comprehensive income (loss) attributable to Bunge: (US$ in millions) Foreign Exchange Deferred Pension and Other Accumulated Balance, April 1, 2023 $ (5,701) $ (368) $ (102) $ (6,171) Other comprehensive income (loss) before reclassifications 147 (66) — 81 Amount reclassified from accumulated other comprehensive income (loss) — (1) — (1) Balance, June 30, 2023 $ (5,554) $ (435) $ (102) $ (6,091) (US$ in millions) Foreign Exchange Deferred Pension and Other Accumulated Balance, April 1, 2022 $ (5,697) $ (373) $ (143) $ (6,213) Other comprehensive income (loss) before reclassifications (265) 47 — (218) Amount reclassified from accumulated other comprehensive income (loss) — (5) — (5) Balance, June 30, 2022 $ (5,962) $ (331) $ (143) $ (6,436) (US$ in millions) Foreign Exchange Deferred Pension and Other Accumulated Balance, January 1, 2023 $ (5,926) $ (343) $ (102) $ (6,371) Other comprehensive income (loss) before reclassifications 269 (92) — 177 Amount reclassified from accumulated other comprehensive income (loss) 103 — — 103 Balance, June 30, 2023 $ (5,554) $ (435) $ (102) $ (6,091) (US$ in millions) Foreign Exchange Deferred Pension and Other Postretirement Liability Adjustments (1) Accumulated Balance, January 1, 2022 $ (6,093) $ (254) $ (124) $ (6,471) Other comprehensive income (loss) before reclassifications 131 (70) — 61 Amount reclassified from accumulated other comprehensive income (loss) (1) — (7) (19) (26) Balance, June 30, 2022 $ (5,962) $ (331) $ (143) $ (6,436) (1) On February 28, 2022, the Company, together with plan participants and related employee unions, agreed to the transition of one of the Company's international defined benefit pension plans to a multi-employer pension plan. Following the transition, the Company accounts for the multi-employer plan similar to a defined contribution plan, resulting in full settlement of the related defined benefit plan obligations. In connection with the settlement, during the six months ended June 30, 2022, the Company reclassified $27 million (net of $10 million tax expense) in unamortized actuarial gains from Accumulated other comprehensive income (loss), of which $19 million was attributable to Bunge (net of $7 million in tax expense), and $8 million was attributable to redeemable non-controlling interest (net of $3 million in tax expense). |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings per Common Share | The following table sets forth the computation of basic and diluted earnings per common share. Three Months Ended Six Months Ended (US$ in millions, except for share data) 2023 2022 2023 2022 Net income (loss) attributable to Bunge common shareholders $ 622 $ 206 $ 1,254 $ 894 Weighted-average number of common shares outstanding: Basic 150,609,139 151,799,677 150,345,757 147,183,925 Effect of dilutive shares: —stock options and awards (2) 1,570,265 2,273,037 1,886,376 2,687,006 —convertible preference shares (1) — — — 3,966,347 Diluted 152,179,404 154,072,714 152,232,133 153,837,278 Earnings per common share: Net income (loss) attributable to Bunge common shareholders—basic $ 4.13 $ 1.36 $ 8.34 $ 6.08 Net income (loss) attributable to Bunge common shareholders—diluted $ 4.09 $ 1.34 $ 8.24 $ 5.81 (1) Effective March 23, 2022, (the "Conversion Date"), in accordance with the terms of the certificate of designation governing the convertible preference shares, all of the Company's issued and outstanding convertible preference shares were automatically converted into 1.2846 common shares of the Company, par value $0.01 per share. As a result of this conversion, dividends on the convertible preference shares ceased to accrue on the Conversion Date. (2) The weighted-average common shares outstanding-diluted exclude less than one million stock options and contingently issuable restricted stock units, which were not dilutive and not included in the computation of earnings per share for each of the three and six months ended June 30, 2023, and 2022. |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Operating Segment Information | Segment revenues generated from these transfers are shown in the following table as “Inter-segment revenues.” Three Months Ended June 30, 2023 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Eliminations Total Net sales to external customers $ 10,875 $ 3,601 $ 490 $ 72 $ 11 $ — $ 15,049 Inter–segment revenues 1,999 56 — — — (2,055) — Cost of goods sold (9,878) (3,268) (450) (70) (18) — (13,684) Gross profit 997 333 40 2 (7) — 1,365 Selling, general and administrative expenses (151) (98) (24) — (147) — (420) Foreign exchange (losses) gains (64) 5 (1) — (6) — (66) EBIT attributable to noncontrolling interests (1) 1 (7) 1 — 1 — (4) Other income (expense) - net 7 (16) (2) 2 21 — 12 Income (loss) from affiliates (5) — — 47 (17) — 25 Total Segment EBIT (2) 785 217 14 51 (155) — 912 Total assets 17,789 3,883 1,086 382 2,572 — 25,712 Three Months Ended June 30, 2022 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Eliminations Total Net sales to external customers $ 12,747 $ 4,445 $ 677 $ 57 $ 7 $ — $ 17,933 Inter–segment revenues 2,892 86 92 — — (3,070) — Cost of goods sold (12,431) (4,120) (551) (55) (4) — (17,161) Gross profit 316 325 126 2 3 — 772 Selling, general and administrative expenses (119) (87) (28) — (100) — (334) Foreign exchange (losses) gains (93) (8) — — (9) — (110) EBIT attributable to noncontrolling interests (1) (13) (7) (1) — 1 — (20) Other income (expense) - net (14) (5) — — 13 — (6) Income (loss) from affiliates 16 — — 4 — — 20 Total Segment EBIT (2) 93 218 97 6 (92) — 322 Total assets 18,889 4,616 1,488 376 2,050 — 27,419 Six Months Ended June 30, 2023 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Eliminations Total Net sales to external customers $ 21,727 $ 7,489 $ 1,005 $ 136 $ 20 $ — $ 30,377 Inter–segment revenues 4,155 93 164 — — (4,412) — Cost of goods sold (19,922) (6,814) (934) (134) (27) — (27,831) Gross profit 1,805 675 71 2 (7) — 2,546 Selling, general and administrative expenses (283) (193) (45) — (252) — (773) Foreign exchange (losses) gains (25) 10 (1) — (1) — (17) EBIT attributable to noncontrolling interests (1) (20) (11) 1 — 1 — (29) Other income (expense) - net 18 (31) (3) 2 41 — 27 Income (loss) from affiliates (5) — — 66 (17) — 44 Total Segment EBIT (2) 1,490 450 23 70 (235) — 1,798 Total assets 17,789 3,883 1,086 382 2,572 — 25,712 Six Months Ended June 30, 2022 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Eliminations Total Net sales to external customers $ 23,978 $ 8,421 $ 1,280 $ 121 $ 13 $ — $ 33,813 Inter–segment revenues 5,379 198 467 — — (6,044) — Cost of goods sold (22,798) (7,834) (1,083) (117) (5) — (31,837) Gross profit 1,180 587 197 4 8 — 1,976 Selling, general and administrative expenses (240) (176) (52) — (174) — (642) Foreign exchange (losses) gains (84) (8) 3 — (9) — (98) EBIT attributable to noncontrolling interests (1) (17) (4) (1) — (11) — (33) Other income (expense) - net (77) (8) — — 32 — (53) Income (loss) from affiliates 30 — — 36 (1) — 65 Total Segment EBIT (2) 792 391 147 40 (155) — 1,215 Total assets 18,889 4,616 1,488 376 2,050 — 27,419 (1) Include noncontrolling interests' share of interest and tax with EBIT attributable to noncontrolling interests in order to reconcile to consolidated Net (income) loss attributable to noncontrolling interests and redeemable noncontrolling interests. (2) Total Segment earnings before interest and taxes ("EBIT") is an operating performance measure used by Bunge’s management to evaluate segment operating activities. Bunge’s management believes Total Segment EBIT is a useful measure of operating profitability, since the measure allows for an evaluation of the performance of its segments without regard to its financing methods or capital structure. In addition, EBIT is a financial measure that is widely used by analysts and investors in Bunge’s industry. Total Segment EBIT is a non-GAAP financial measure and is not intended to replace Net income (loss) attributable to Bunge, the most directly comparable U.S. GAAP financial measure. Further, Total Segment EBIT is not a measure of consolidated operating results under U.S. GAAP and should not be considered as an alternative to Net income (loss) or any other measure of consolidated operating results under U.S. GAAP. See the reconciliation of Total Segment EBIT to Net income (loss) attributable to Bunge in the table below. |
Schedule of Reconciliation of Total Segment EBIT to Net Income Attributable to Bunge | A reconciliation of Net income (loss) attributable to Bunge to Total Segment EBIT follows: Three Months Ended Six Months Ended (US$ in millions) 2023 2022 2023 2022 Net income (loss) attributable to Bunge $ 622 $ 206 $ 1,254 $ 894 Interest income (40) (11) (83) (20) Interest expense 129 92 241 203 Income tax expense (benefit) 198 36 381 144 Noncontrolling interests' share of interest and tax 3 (1) 5 (6) Total Segment EBIT $ 912 $ 322 $ 1,798 $ 1,215 |
Schedule of Net Sales by Product Group to External Customers | Three Months Ended June 30, 2023 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Total Sales from commodity contracts (ASC 815) $ 10,293 $ 262 $ 41 $ 70 $ — $ 10,666 Sales from contracts with customers (ASC 606) 582 3,339 449 2 11 4,383 Net sales to external customers $ 10,875 $ 3,601 $ 490 $ 72 $ 11 $ 15,049 Three Months Ended June 30, 2022 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Total Sales from commodity contracts (ASC 815) $ 11,929 $ 379 $ 47 $ 56 $ — $ 12,411 Sales from contracts with customers (ASC 606) 818 4,066 630 1 7 5,522 Net sales to external customers $ 12,747 $ 4,445 $ 677 $ 57 $ 7 $ 17,933 Six Months Ended June 30, 2023 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Total Sales from commodity contracts (ASC 815) $ 20,582 $ 440 $ 115 $ 134 $ — $ 21,271 Sales from contracts with customers (ASC 606) 1,145 7,049 890 2 20 9,106 Net sales to external customers $ 21,727 $ 7,489 $ 1,005 $ 136 $ 20 $ 30,377 Six Months Ended June 30, 2022 (US$ in millions) Agribusiness Refined and Specialty Oils Milling Sugar and Corporate and Other Total Sales from commodity contracts (ASC 815) $ 22,496 $ 630 $ 109 $ 119 $ — $ 23,354 Sales from contracts with customers (ASC 606) 1,482 7,791 1,171 2 13 10,459 Net sales to external customers $ 23,978 $ 8,421 $ 1,280 $ 121 $ 13 $ 33,813 |
BASIS OF PRESENTATION, PRINCI_4
BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES - NARRATIVE (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | |
Description Of Business [Abstract] | |||
Cash paid for taxes, net of refunds | $ 312 | $ 260 | |
Cash paid for interest expense | 242 | $ 221 | |
Ukraine | International Conflicts | |||
Description Of Business [Abstract] | |||
Inventory write-down, reversal | $ 9 | $ 19 | |
Ukraine | Liabilities, Total | Geographic Concentration Risk | International Conflicts | |||
Description Of Business [Abstract] | |||
Related party purchase and sales composition (percent) | 2% | ||
Ukraine | Assets, Total | Geographic Concentration Risk | International Conflicts | |||
Description Of Business [Abstract] | |||
Related party purchase and sales composition (percent) | 2% |
BASIS OF PRESENTATION, PRINCI_5
BASIS OF PRESENTATION, PRINCIPLES OF CONSOLIDATION, AND SIGNIFICANT ACCOUNTING POLICIES - RECONCILIATION OF CASH, CASH EQUIVALENTS, AND RESTRICTED CASH (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Cash and cash equivalents | $ 1,330 | $ 1,104 | $ 818 |
Restricted cash included in Other current assets | 30 | $ 26 | 5 |
Total | $ 1,360 | $ 823 |
ACQUISITIONS AND DISPOSITIONS -
ACQUISITIONS AND DISPOSITIONS - NARRATIVE (Details) - USD ($) shares in Millions, $ in Millions | 6 Months Ended | 12 Months Ended | ||||
Jun. 13, 2023 | Apr. 14, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Jul. 07, 2023 | Jun. 12, 2023 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Stock repurchase program, increase in authorized amount | $ 1,700 | |||||
Remaining authorized repurchase amount | $ 2,000 | 300 | ||||
Authorized amount of issued and outstanding common shares available for repurchase | $ 2,000 | |||||
Viterra Limited | Bunge Limited | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Ownership interest by minority shareholder | 30% | |||||
Agribusiness | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Disposal group, including discontinued operation, assets | 12 | |||||
Disposal group, including discontinued operation, liabilities | 6 | |||||
Refined and Specialty Oils | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Disposal group, including discontinued operation, assets | 21 | |||||
Disposal group, including discontinued operation, liabilities | 13 | |||||
Maximum | Disposal Group, Disposed of by Sale, Not Discontinued Operations | Russia Oilseed Processing | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Impairment loss on sale | $ 103 | |||||
Fuji Oils New Orleans, LLC Port-Based Refinery | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Payments to acquire productive assets | $ 181 | |||||
Payments to acquire productive assets | 220 | |||||
Capital leased assets | 52 | |||||
Long-term finance lease obligations | 41 | |||||
Other net working capital | $ 2 | |||||
Bunge Loders Croklaan Joint Venture | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Equity method investment, ownership percentage | 80% | |||||
Viterra Limited | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Consideration transferred, equity interests issued and issuable (in share) | 65.6 | |||||
Transaction Consideration - common shares | $ 6,200 | |||||
Cash consideration | $ 2,000 | |||||
Repayment of consideration transferred | 6,600 | |||||
Liabilities subject to compromise, early contract termination fees | $ 400 | |||||
Viterra Limited | Subsequent Event | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Acquisition debt financing | $ 8,000 |
ACQUISITIONS AND DISPOSITIONS_2
ACQUISITIONS AND DISPOSITIONS - COMPOSITION OF ASSETS AND LIABILITIES HELD FOR SALE (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Trade accounts receivable, allowances | $ 97 | $ 90 |
Total liabilities | 0 | $ 18 |
Disposal Group | Russia Oilseed Processing | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash and cash equivalents | 19 | |
Trade accounts receivable (less allowances of zero) | 15 | |
Trade accounts receivable, allowances | 0 | |
Inventories | 33 | |
Other current assets | 14 | |
Property, plant and equipment, net | 24 | |
Goodwill & Other intangible assets, net | 10 | |
Other non-current assets | 8 | |
Impairment reserve | (90) | |
Total assets | 33 | |
Trade accounts payable and accrued liabilities | 3 | |
Other current liabilities | 16 | |
Total liabilities | $ 19 |
TRADE STRUCTURED FINANCE PROG_2
TRADE STRUCTURED FINANCE PROGRAM (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Trade structured finance program | |||
Weighted-average interest rate of time deposits (as a percent) | 5.40% | 3.46% | |
Total net proceeds from issuances of LCs | $ 3,035 | $ 3,689 | |
Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | |||
Trade structured finance program | |||
Term to cover changes in variable rate | 365 days | ||
Time Deposits and LC's Presented Net in the Balance Sheet | |||
Trade structured finance program | |||
Face value of time deposits and LCs | $ 5,212 | $ 5,901 |
TRADE ACCOUNTS RECEIVABLE AND_3
TRADE ACCOUNTS RECEIVABLE AND TRADE RECEIVABLES SECURITIZATION PROGRAM - ROLLFORWARD OF THE ALLOWANCE FOR CREDIT LOSSES (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Rollforward of the Allowance for Credit Losses | ||
Allowance, beginning balance | $ 136 | $ 132 |
Current period provisions | 39 | 28 |
Recoveries | (34) | (19) |
Write-offs charged against the allowance | (13) | (13) |
Foreign exchange translation differences | 3 | 1 |
Allowance, ending balance | 131 | 129 |
Short-term | ||
Rollforward of the Allowance for Credit Losses | ||
Allowance, beginning balance | 90 | 85 |
Current period provisions | 39 | 27 |
Recoveries | (33) | (19) |
Write-offs charged against the allowance | (1) | (10) |
Foreign exchange translation differences | 2 | (1) |
Allowance, ending balance | 97 | 82 |
Long-term | ||
Rollforward of the Allowance for Credit Losses | ||
Allowance, beginning balance | 46 | 47 |
Current period provisions | 0 | 1 |
Recoveries | (1) | 0 |
Write-offs charged against the allowance | (12) | (3) |
Foreign exchange translation differences | 1 | 2 |
Allowance, ending balance | $ 34 | $ 47 |
TRADE ACCOUNTS RECEIVABLE AND_4
TRADE ACCOUNTS RECEIVABLE AND TRADE RECEIVABLES SECURITIZATION PROGRAM - NARRATIVE (Details) - Bunge Securitization B.V. - USD ($) $ in Millions | 6 Months Ended | ||
Nov. 16, 2022 | Jun. 30, 2023 | Mar. 31, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Accordion provision | $ 250 | ||
Accounts receivable, sale | $ 1,100 | ||
Repurchased non-cash investing exchange | $ 741 | ||
Repurchased receivables | $ 725 | ||
Repurchased receivables collected | $ 79 |
TRADE ACCOUNTS RECEIVABLE AND_5
TRADE ACCOUNTS RECEIVABLE AND TRADE RECEIVABLES SECURITIZATION PROGRAM - CONSIDERATION (Details) - Bunge Securitization B.V. - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Accounts Receivable Securitization Facilities Disclosures | |||
Receivables sold that were derecognized from Bunge's balance sheet | $ 1,100 | $ 1,100 | |
Unsold receivables pledged to the administrative agent and included in Trade accounts receivable | 504 | $ 583 | |
Gross receivables sold | 6,901 | $ 8,585 | |
Proceeds received in cash related to transfers of receivables | 6,872 | 7,876 | |
Cash collections from customers on receivables previously sold | 6,901 | 8,372 | |
Discounts related to gross receivables sold included in SG&A | $ 29 | $ 6 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
INVENTORIES | ||
Inventories | $ 8,806 | $ 8,408 |
Corporate and Other | ||
INVENTORIES | ||
Inventories | 5 | 4 |
Agribusiness | ||
INVENTORIES | ||
Inventories | 7,468 | 6,756 |
Readily marketable inventories at fair value | 6,956 | 6,286 |
Readily marketable inventories included in assets held for sale. | 0 | 26 |
Agribusiness | Merchandising Activities | ||
INVENTORIES | ||
Readily marketable inventories at fair value | 5,898 | 4,789 |
Refined and Specialty Oils | ||
INVENTORIES | ||
Inventories | 1,072 | 1,316 |
Readily marketable inventories at fair value | 217 | 271 |
Milling | ||
INVENTORIES | ||
Inventories | 261 | 332 |
Readily marketable inventories at fair value | $ 23 | $ 97 |
OTHER CURRENT ASSETS - SUMMARY
OTHER CURRENT ASSETS - SUMMARY OF OTHER CURRENT ASSETS (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Other Current Assets: | |||||
Unrealized gains on derivative contracts, at fair value | $ 1,865 | $ 1,865 | $ 1,597 | ||
Prepaid commodity purchase contracts | 421 | 421 | 254 | ||
Secured advances to suppliers, net | 252 | 252 | 365 | ||
Recoverable taxes, net | 372 | 372 | 365 | ||
Margin deposits | 809 | 809 | 791 | ||
Marketable securities and other short-term investments | 73 | 73 | 119 | ||
Income taxes receivable | 68 | 68 | 102 | ||
Prepaid expenses | 269 | 269 | 376 | ||
Restricted cash | 30 | $ 5 | 30 | $ 5 | 26 |
Other | 306 | 306 | 386 | ||
Total | 4,465 | 4,465 | 4,381 | ||
Allowance on secured advance to farmers | 8 | 8 | $ 7 | ||
Interest earned on secured advances to suppliers | $ 4 | $ 6 | $ 11 | $ 12 |
OTHER CURRENT ASSETS - MARKETAB
OTHER CURRENT ASSETS - MARKETABLE SECURITIES AND OTHER SHORT-TERM INVESTMENTS (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Net Investment Income [Line Items] | |||||
Total | $ 73 | $ 73 | $ 119 | ||
Marketable securities at fair value | 46 | 46 | 89 | ||
Unrealized gains (losses) | 1 | $ (18) | (6) | $ (119) | |
Foreign government securities | |||||
Net Investment Income [Line Items] | |||||
Total | 32 | 32 | 68 | ||
Equity securities | |||||
Net Investment Income [Line Items] | |||||
Total | 13 | 13 | 23 | ||
Other | |||||
Net Investment Income [Line Items] | |||||
Total | $ 28 | $ 28 | $ 28 |
OTHER NON-CURRENT ASSETS - COMP
OTHER NON-CURRENT ASSETS - COMPOSITION (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Recoverable taxes, net | $ 35 | $ 59 |
Judicial deposits | 125 | 110 |
Other long-term receivables, net | 15 | 16 |
Income taxes receivable | 207 | 143 |
Long-term investments | 167 | 163 |
Long-term receivables from farmers in Brazil, net | 46 | 32 |
Unrealized gains on derivative contracts, at fair value | 1 | 1 |
Other | 121 | 95 |
Total | 725 | 627 |
Long term investments at fair value | 10 | 9 |
Allowance for recoverable taxes | $ 13 | 14 |
Minimum initial maturity of affiliate loans receivable | 1 year | |
Related parties | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Other long-term receivables, net | $ 8 | $ 8 |
OTHER NON-CURRENT ASSETS - RECE
OTHER NON-CURRENT ASSETS - RECEIVABLES FROM FARMERS IN BRAZIL AND ALLOWANCE AMOUNTS (Details) - Long-term receivables - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Recorded Investment | ||||
Average recorded investment in long-term receivables | $ 102 | $ 90 | ||
Total | 84 | 68 | ||
Allowance | 38 | 36 | $ 37 | $ 36 |
Legal collection process | ||||
Recorded Investment | ||||
Recorded investment for which an allowance has been provided | 37 | 40 | ||
Recorded investment for which no allowance has been provided | 24 | 19 | ||
Allowance | 37 | 34 | ||
Renegotiated amounts | ||||
Recorded Investment | ||||
Recorded investment for which an allowance has been provided | 1 | 2 | ||
Recorded investment for which no allowance has been provided | 5 | 7 | ||
Allowance | 1 | 2 | ||
Other long-term receivables | ||||
Recorded Investment | ||||
Recorded investment for which no allowance has been provided | $ 17 | $ 0 |
OTHER NON-CURRENT ASSETS - ALLO
OTHER NON-CURRENT ASSETS - ALLOWANCE FOR DOUBTFUL ACCOUNTS (Details) - Long-term receivables - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Financing Receivable, Allowance for Credit Loss | ||
Allowance as of January 1 | $ 36 | $ 36 |
Bad debt provisions | 0 | 1 |
Recoveries | (1) | (3) |
Write-offs | 0 | 0 |
Transfers | 0 | 0 |
Foreign exchange translation | 3 | 3 |
Allowance as of June 30 | $ 38 | $ 37 |
INVESTMENTS IN AFFILIATES AND_3
INVESTMENTS IN AFFILIATES AND VARIABLE INTEREST ENTITIES (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Variable Interest Entity [Line Items] | |||
Impairment charges | $ 22 | $ 0 | |
Current assets: | |||
Cash and cash equivalents | 1,330 | 818 | $ 1,104 |
Trade accounts receivable | 2,599 | 2,829 | |
Inventories | 8,806 | 8,408 | |
Other current assets | 4,465 | 4,381 | |
Total current assets | 17,200 | 16,758 | |
Property, plant and equipment, net | 4,152 | 3,617 | |
Total assets | 25,712 | $ 27,419 | 24,580 |
Current liabilities: | |||
Trade accounts payable and accrued liabilities | 4,248 | 4,386 | |
Other current liabilities | 3,002 | 3,379 | |
Total current liabilities | 8,291 | 9,600 | |
Australia Plant Proteins | |||
Variable Interest Entity [Line Items] | |||
Impairment charges | 16 | ||
Variable Interest Entity, Primary Beneficiary | |||
Current assets: | |||
Cash and cash equivalents | 569 | 528 | |
Trade accounts receivable | 1 | 0 | |
Inventories | 68 | 85 | |
Other current assets | 91 | 98 | |
Total current assets | 729 | 711 | |
Property, plant and equipment, net | 100 | 65 | |
Total assets | 829 | 776 | |
Current liabilities: | |||
Trade accounts payable and accrued liabilities | 62 | 81 | |
Other current liabilities | 90 | 85 | |
Total current liabilities | 152 | 166 | |
Total liabilities | $ 152 | $ 166 |
INVESTMENTS IN AFFILIATES AND_4
INVESTMENTS IN AFFILIATES AND VARIABLE INTEREST ENTITIES - NARRATIVE (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Variable Interest Entity [Line Items] | ||
Impairment charges | $ 22 | $ 0 |
Australia Plant Proteins | ||
Variable Interest Entity [Line Items] | ||
Impairment charges | $ 16 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Income tax expense | $ 198 | $ 36 | $ 381 | $ 144 |
OTHER CURRENT LIABILITIES (Deta
OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Other Liabilities Disclosure [Abstract] | ||
Unrealized losses on derivative contracts, at fair value | $ 1,574 | $ 1,570 |
Accrued liabilities | 638 | 755 |
Advances on sales | 380 | 601 |
Income tax payable | 63 | 156 |
Other | 347 | 297 |
Total | $ 3,002 | $ 3,379 |
FAIR VALUE MEASUREMENTS - ASSET
FAIR VALUE MEASUREMENTS - ASSETS AND LIABILITIES AT FAIR VALUE (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Assets: | ||
Unrealized gain on derivative contracts | $ 1,865 | $ 1,597 |
Liabilities: | ||
Trade accounts payable | 1,095 | 643 |
Unrealized loss on derivative contracts | 1,574 | 1,570 |
Unrealized loss on derivative contracts, at fair value | 324 | 332 |
Other noncurrent assets | ||
Liabilities: | ||
Unrealized gains (losses) on derivative contracts | 1 | 1 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Assets: | ||
Cash equivalents | 300 | 81 |
Readily marketable inventories (Note 5) | 7,196 | 6,680 |
Trade accounts receivable | 9 | 7 |
Total assets | 9,427 | 8,465 |
Liabilities: | ||
Trade accounts payable | 1,095 | 643 |
Total liabilities | 2,993 | 2,545 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Economic hedges | ||
Assets: | ||
Other | 56 | 100 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Interest rate | Hedge accounting | ||
Assets: | ||
Unrealized gain on derivative contracts | 13 | 3 |
Liabilities: | ||
Unrealized loss on derivative contracts | 337 | 344 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Foreign exchange | Hedge accounting | ||
Assets: | ||
Unrealized gain on derivative contracts | 566 | 379 |
Liabilities: | ||
Unrealized loss on derivative contracts | 433 | 462 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Commodities | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 1,140 | 1,000 |
Liabilities: | ||
Unrealized loss on derivative contracts | 1,042 | 908 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Freight | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 98 | 80 |
Liabilities: | ||
Unrealized loss on derivative contracts | 42 | 28 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Energy | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 44 | 130 |
Liabilities: | ||
Unrealized loss on derivative contracts | 44 | 159 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Credit | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 5 | 5 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 1 |
Level 1 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Assets: | ||
Cash equivalents | 115 | 0 |
Readily marketable inventories (Note 5) | 0 | 0 |
Trade accounts receivable | 0 | 0 |
Total assets | 450 | 378 |
Liabilities: | ||
Trade accounts payable | 0 | 0 |
Total liabilities | 230 | 309 |
Level 1 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Economic hedges | ||
Assets: | ||
Other | 24 | 33 |
Level 1 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Interest rate | Hedge accounting | ||
Assets: | ||
Unrealized gain on derivative contracts | 6 | 0 |
Liabilities: | ||
Unrealized loss on derivative contracts | 4 | 0 |
Level 1 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Foreign exchange | Hedge accounting | ||
Assets: | ||
Unrealized gain on derivative contracts | 0 | 1 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 1 |
Level 1 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Commodities | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 165 | 136 |
Liabilities: | ||
Unrealized loss on derivative contracts | 145 | 127 |
Level 1 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Freight | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 98 | 80 |
Liabilities: | ||
Unrealized loss on derivative contracts | 42 | 28 |
Level 1 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Energy | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 42 | 128 |
Liabilities: | ||
Unrealized loss on derivative contracts | 39 | 153 |
Level 1 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Credit | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 0 | 0 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 0 |
Level 2 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Assets: | ||
Cash equivalents | 185 | 81 |
Readily marketable inventories (Note 5) | 5,812 | 6,268 |
Trade accounts receivable | 9 | 7 |
Total assets | 7,522 | 7,547 |
Liabilities: | ||
Trade accounts payable | 658 | 513 |
Total liabilities | 2,275 | 2,056 |
Level 2 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Economic hedges | ||
Assets: | ||
Other | 21 | 40 |
Level 2 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Interest rate | Hedge accounting | ||
Assets: | ||
Unrealized gain on derivative contracts | 7 | 3 |
Liabilities: | ||
Unrealized loss on derivative contracts | 333 | 344 |
Level 2 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Foreign exchange | Hedge accounting | ||
Assets: | ||
Unrealized gain on derivative contracts | 566 | 378 |
Liabilities: | ||
Unrealized loss on derivative contracts | 433 | 461 |
Level 2 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Commodities | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 915 | 763 |
Liabilities: | ||
Unrealized loss on derivative contracts | 846 | 731 |
Level 2 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Freight | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 0 | 0 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 0 |
Level 2 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Energy | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 2 | 2 |
Liabilities: | ||
Unrealized loss on derivative contracts | 5 | 6 |
Level 2 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Credit | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 5 | 5 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 1 |
Level 3 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Assets: | ||
Cash equivalents | 0 | 0 |
Readily marketable inventories (Note 5) | 1,384 | 412 |
Trade accounts receivable | 0 | 0 |
Total assets | 1,455 | 540 |
Liabilities: | ||
Trade accounts payable | 437 | 130 |
Total liabilities | 488 | 180 |
Level 3 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Economic hedges | ||
Assets: | ||
Other | 11 | 27 |
Level 3 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Interest rate | Hedge accounting | ||
Assets: | ||
Unrealized gain on derivative contracts | 0 | 0 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 0 |
Level 3 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Foreign exchange | Hedge accounting | ||
Assets: | ||
Unrealized gain on derivative contracts | 0 | 0 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 0 |
Level 3 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Commodities | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 60 | 101 |
Liabilities: | ||
Unrealized loss on derivative contracts | 51 | 50 |
Level 3 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Freight | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 0 | 0 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 0 |
Level 3 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Energy | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 0 | 0 |
Liabilities: | ||
Unrealized loss on derivative contracts | 0 | 0 |
Level 3 | Assets and Liabilities Measured at Fair Value on a Recurring Basis | Credit | Economic hedges | ||
Assets: | ||
Unrealized gain on derivative contracts | 0 | 0 |
Liabilities: | ||
Unrealized loss on derivative contracts | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS - RECON
FAIR VALUE MEASUREMENTS - RECONCILIATION FOR ASSETS AND LIABILITIES MEASURE AT FAIR VALUE USING LEVEL 3 (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Total | ||||
Balance at beginning of period | $ 888 | $ 781 | $ 360 | $ 151 |
Purchases | 1,288 | 776 | 2,592 | 1,656 |
Sales | (1,860) | (1,310) | (3,603) | (2,687) |
Settlements | 131 | 52 | (171) | (241) |
Transfers into Level 3 | 328 | 456 | 1,098 | 1,314 |
Transfers out of Level 3 | 16 | 0 | 3 | (46) |
Translation adjustment | 33 | (48) | 36 | (45) |
Balance at end of period | 967 | 746 | 967 | 746 |
Cost of goods sold | ||||
Total | ||||
Total gains and losses (realized/unrealized) included in cost of goods sold | $ 145 | $ 44 | 312 | 231 |
Fair value, asset, recurring basis, still held, unrealized gain (loss), statement of income or comprehensive income [Extensible Enumeration] | Cost of Goods and Services Sold | Cost of Goods and Services Sold | ||
Total gains and losses (realized/unrealized) included in Other income (expense) - net | ||||
Total | ||||
Total gains and losses (realized/unrealized) included in cost of goods sold | $ (2) | $ (5) | (2) | (69) |
Total gains and losses (realized/unrealized) included in Other income (expense) - net | Ukraine | Non-US Government and Corporate Debt Securities | International Conflicts | ||||
Trade Accounts Payable/Other | ||||
Total gains and losses (realized/unrealized) included in cost of goods sold | (16) | (5) | (16) | (37) |
Readily Marketable Inventories | ||||
Readily Marketable Inventories | ||||
Balance at beginning of period | 1,308 | 1,131 | 412 | 205 |
Total gains and losses (realized/unrealized) included in cost of goods sold | 192 | 35 | 365 | 170 |
Purchases | 1,377 | 856 | 3,021 | 2,102 |
Sales | (1,846) | (1,310) | (3,589) | (2,687) |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 312 | 451 | 1,150 | 1,415 |
Transfers out of Level 3 | (18) | (131) | (39) | (178) |
Translation adjustment | 59 | (91) | 64 | (86) |
Balance at end of period | 1,384 | 941 | 1,384 | 941 |
Total | ||||
Changes in unrealized gains (losses) relating to Level 3 assets and liabilities | $ 219 | $ 84 | $ 444 | $ 167 |
Fair value, asset, recurring basis, unobservable input reconciliation, gain (loss), statement of income or comprehensive income [Extensible Enumeration] | Cost of Goods and Services Sold | Cost of Goods and Services Sold | Cost of Goods and Services Sold | Cost of Goods and Services Sold |
Derivatives, Net | ||||
Derivatives, Net | ||||
Balance at beginning of period | $ 47 | $ 27 | $ 51 | $ (31) |
Total gains and losses (realized/unrealized) included in cost of goods sold | (56) | (9) | (71) | 28 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 26 | 7 | 29 | 28 |
Transfers out of Level 3 | (8) | (15) | 0 | (14) |
Translation adjustment | 0 | 0 | 0 | (1) |
Balance at end of period | 9 | 10 | 9 | 10 |
Total | ||||
Changes in unrealized gains (losses) relating to Level 3 assets and liabilities | $ (32) | $ (25) | $ (42) | $ 26 |
Derivatives, Net | Cost of goods sold | ||||
Total | ||||
Fair value, net derivative asset (liability), recurring basis, unobservable input reconciliation, gain (loss), statement of income or comprehensive income [Extensible Enumeration] | Cost of Goods and Services Sold | Cost of Goods and Services Sold | Cost of Goods and Services Sold | Cost of Goods and Services Sold |
Trade Accounts Payable | ||||
Trade Accounts Payable/Other | ||||
Balance at beginning of period | $ (494) | $ (447) | $ (130) | $ (23) |
Purchases | (89) | (80) | (429) | (446) |
Sales | 0 | 0 | 0 | 0 |
Settlements | 131 | 52 | (171) | (325) |
Transfers into Level 3 | (10) | (2) | (81) | (347) |
Transfers out of Level 3 | 42 | 146 | 42 | 146 |
Translation adjustment | (26) | 42 | (28) | 41 |
Balance at end of period | (437) | (271) | (437) | (271) |
Total | ||||
Changes in unrealized gains (losses) relating to Level 3 assets and liabilities | 9 | 17 | 19 | 27 |
Trade Accounts Payable | Cost of goods sold | ||||
Trade Accounts Payable/Other | ||||
Total gains and losses (realized/unrealized) included in cost of goods sold | 9 | 18 | 18 | 33 |
Other | ||||
Trade Accounts Payable/Other | ||||
Balance at beginning of period | 27 | 70 | 27 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | (14) | 0 | (14) | 0 |
Settlements | 0 | 0 | 0 | 84 |
Transfers into Level 3 | 0 | 0 | 0 | 218 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Translation adjustment | 0 | 1 | 0 | 1 |
Balance at end of period | 11 | 66 | 11 | 66 |
Other | Cost of goods sold | ||||
Trade Accounts Payable/Other | ||||
Total gains and losses (realized/unrealized) included in cost of goods sold | 0 | 0 | 0 | 0 |
Other | Total gains and losses (realized/unrealized) included in Other income (expense) - net | ||||
Trade Accounts Payable/Other | ||||
Total gains and losses (realized/unrealized) included in cost of goods sold | $ (2) | $ (5) | $ (2) | $ (69) |
DERIVATIVE INSTRUMENTS AND HE_3
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - DERIVATIVE POSITIONS (Details) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 USD ($) MMBTU MWh day t | Dec. 31, 2022 USD ($) MWh MMBTU day t | |
Interest rate | Long | Swaps | ||
Derivative | ||
Notional amount of derivative | $ 79 | $ 387 |
Interest rate | Long | Futures | ||
Derivative | ||
Notional amount of derivative | 0 | 0 |
Interest rate | Long | Forwards | ||
Derivative | ||
Notional amount of derivative | 650 | 0 |
Interest rate | Short | Swaps | ||
Derivative | ||
Notional amount of derivative | 1,675 | 1,267 |
Interest rate | Short | Futures | ||
Derivative | ||
Notional amount of derivative | 416 | 97 |
Interest rate | Short | Forwards | ||
Derivative | ||
Notional amount of derivative | 896 | 0 |
Foreign exchange | Long | Swaps | ||
Derivative | ||
Notional amount of derivative | 2,776 | 2,441 |
Foreign exchange | Long | Futures | ||
Derivative | ||
Notional amount of derivative | 0 | 11 |
Foreign exchange | Long | Forwards | ||
Derivative | ||
Notional amount of derivative | 9,735 | 9,819 |
Foreign exchange | Long | Options | ||
Derivative | ||
Delta | 36 | 0 |
Foreign exchange | Short | Swaps | ||
Derivative | ||
Notional amount of derivative | 1,407 | 2,876 |
Foreign exchange | Short | Futures | ||
Derivative | ||
Notional amount of derivative | 10 | 0 |
Foreign exchange | Short | Forwards | ||
Derivative | ||
Notional amount of derivative | 12,003 | 9,682 |
Foreign exchange | Short | Options | ||
Derivative | ||
Delta | $ 25 | $ 102 |
Agricultural commodities | Long | Swaps | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 0 |
Agricultural commodities | Long | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 0 |
Agricultural commodities | Long | Forwards | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 33,130,064 | 20,493,679 |
Agricultural commodities | Long | Options | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 210,894 | 1,025 |
Agricultural commodities | Short | Swaps | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 1,864,262 |
Agricultural commodities | Short | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 9,522,764 | 4,092,772 |
Agricultural commodities | Short | Forwards | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 34,407,272 | 27,766,763 |
Agricultural commodities | Short | Options | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 948,005 | 216,647 |
Ocean freight | Long | FFA | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Hire Days) | day | 0 | 0 |
Ocean freight | Short | FFA | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Hire Days) | day | 8,905 | 11,197 |
Natural gas | Long | Swaps | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MMBTU | 580,095 | 1,460,190 |
Natural gas | Long | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MMBTU | 6,037,280 | 5,250,393 |
Natural gas | Long | Forwards | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MMBTU | 24,619 | 0 |
Natural gas | Long | Options | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MMBTU | 419,540 | 0 |
Natural gas | Short | Swaps | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MMBTU | 0 | 0 |
Natural gas | Short | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MMBTU | 0 | 0 |
Natural gas | Short | Forwards | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MMBTU | 24,620 | 0 |
Natural gas | Short | Options | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MMBTU | 0 | 0 |
Electricity | Long | Swaps | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MWh | 28,800 | 22,987 |
Electricity | Long | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 0 |
Electricity | Short | Swaps | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in MMBtus and Mwh) | MWh | 10,800 | 8,619 |
Electricity | Short | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 73,496 | 0 |
Energy - other | Long | Swaps | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 170,736 | 175,784 |
Energy - other | Long | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 1,320,881 |
Energy - other | Long | Options | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 0 |
Energy - other | Short | Swaps | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 0 |
Energy - other | Short | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 0 |
Energy - other | Short | Options | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 13,640 | 0 |
Energy - CO2 | Long | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 355,000 | 0 |
Energy - CO2 | Short | Futures | ||
Derivative | ||
Nonmonetary notional amount of derivatives (in Metric Tons) | t | 0 | 38,000 |
Other | Long | Swaps and futures | ||
Derivative | ||
Notional amount of derivative | $ 10 | $ 20 |
Other | Short | Swaps and futures | ||
Derivative | ||
Notional amount of derivative | 45 | 50 |
Fair value hedges | Interest rate | ||
Derivative | ||
Notional amount of derivative | 2,900 | 3,753 |
Cumulative adjustment to long-term debt from application of hedge accounting | (324) | (341) |
Carrying value of hedged debt | 2,559 | 3,394 |
Fair value hedges | Foreign exchange | ||
Derivative | ||
Notional amount of derivative | 212 | 232 |
Carrying value of hedged debt | 212 | 232 |
Cash flow hedges | Foreign exchange | ||
Derivative | ||
Amounts expected to be reclassified from AOCI to earnings in the next twelve months | 4 | |
Cash flow hedges | Foreign exchange | Forwards | ||
Derivative | ||
Notional amount of derivative | 61 | 310 |
Cash flow hedges | Foreign exchange | Options | ||
Derivative | ||
Notional amount of derivative | 66 | 108 |
Net investment hedges | Foreign exchange | ||
Derivative | ||
Notional amount of derivative | $ 725 | $ 495 |
DERIVATIVE INSTRUMENTS AND HE_4
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - EFFECT OF DERIVATIVE INSTRUMENTS (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Net investment hedges | ||||
Derivative Instruments, Gain (Loss) | ||||
Gains and losses on derivatives used as fair value hedges of foreign currency risk / net investment hedges included in other comprehensive income (loss) during the period | $ (40) | $ 41 | $ (61) | $ (108) |
Cost of goods sold | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) recognized in income on derivative instruments | 307 | 577 | 779 | (105) |
Interest expense | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) recognized in income on derivative instruments | (30) | 3 | (62) | (3) |
Foreign exchange (losses) gains | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) recognized in income on derivative instruments | (58) | 32 | (27) | 79 |
Foreign currency | Fair value hedges | ||||
Derivative Instruments, Gain (Loss) | ||||
Gains and losses on derivatives used as fair value hedges of foreign currency risk / net investment hedges included in other comprehensive income (loss) during the period | 0 | 2 | 0 | 2 |
Foreign currency | Cash flow hedges | ||||
Derivative Instruments, Gain (Loss) | ||||
Gains and losses on derivatives used as cash flow hedges of foreign currency risk included in Other comprehensive income (loss) during the period | (26) | 4 | (31) | 36 |
Cash flow hedge of foreign currency risk | 1 | (5) | 0 | (7) |
Hedge accounting | Foreign currency | Net sales | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on hedge accounting | 4 | 5 | 5 | 7 |
Hedge accounting | Foreign currency | Cost of goods sold | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on hedge accounting | (1) | 0 | 0 | 0 |
Hedge accounting | Foreign currency | Selling, general & administrative | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on hedge accounting | 1 | 0 | 1 | 0 |
Hedge accounting | Foreign currency | Foreign exchange (losses) gains | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on hedge accounting | (19) | (25) | (21) | (37) |
Hedge accounting | Interest rate | Interest expense | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on hedge accounting | (35) | 3 | (68) | (4) |
Economic hedges | Foreign currency | Cost of goods sold | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on economic hedges | 324 | (70) | 408 | 423 |
Economic hedges | Foreign currency | Foreign exchange (losses) gains | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on economic hedges | (39) | 57 | (6) | 116 |
Economic hedges | Foreign currency | Other income (expense) | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on economic hedges | 1 | 1 | ||
Economic hedges | Commodities | Cost of goods sold | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on economic hedges | (32) | 638 | 364 | (618) |
Economic hedges | Other | Cost of goods sold | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on economic hedges | 16 | 9 | 7 | 90 |
Economic hedges | Interest rate | Interest expense | ||||
Derivative Instruments, Gain (Loss) | ||||
Gain (loss) on economic hedges | $ 5 | $ 0 | $ 6 | $ 1 |
DEBT - NARRATIVE (Details)
DEBT - NARRATIVE (Details) € in Millions | Jul. 07, 2023 USD ($) tranche | Jun. 21, 2023 USD ($) | Jun. 20, 2023 USD ($) | Dec. 16, 2021 USD ($) | Jun. 30, 2023 USD ($) | Jun. 30, 2023 EUR (€) | Dec. 31, 2022 USD ($) | Aug. 05, 2022 USD ($) | Jul. 26, 2022 USD ($) | Oct. 29, 2021 USD ($) |
Debt Instrument [Line Items] | ||||||||||
Borrowings outstanding | $ 667,000,000 | $ 546,000,000 | ||||||||
Subsequent Event | Sumitomo Mitsui Banking Corporation | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate principal amount | $ 7,700,000,000 | |||||||||
Number of tranches | tranche | 3 | |||||||||
Subsequent Event | Sumitomo Mitsui Banking Corporation | Tranche one | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Term of credit agreement | 364 days | |||||||||
Subsequent Event | Sumitomo Mitsui Banking Corporation | Tranche two | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Term of credit agreement | 2 years | |||||||||
Subsequent Event | Sumitomo Mitsui Banking Corporation | Tranche three | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Term of credit agreement | 3 years | |||||||||
Subsequent Event | Viterra Limited | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate principal amount | $ 8,000,000,000 | |||||||||
Delayed Draw Term Loan | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate principal amount | 1,000,000,000 | $ 250,000,000 | ||||||||
Delayed Draw Term Loan | Subsequent Event | CoBank and U.S. Farm Credit System | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Term of credit agreement | 5 years | |||||||||
Aggregate principal amount | $ 300,000,000 | |||||||||
$750 Million Delayed Draw Term Loan | Delayed Draw Term Loan | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate principal amount | $ 750,000,000 | |||||||||
Senior Notes 1.85 Percent Due 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Interest rate | 1.85% | 1.85% | ||||||||
Senior Notes 1.85 Percent Due 2023 | Euro Member Countries, Euro | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate principal amount | € | € 800 | |||||||||
Commercial paper program | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate principal amount | $ 1,000,000,000 | 1,000,000,000 | ||||||||
Commercial paper | $ 0 | 0 | ||||||||
Line of Credit | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | 5,665,000,000 | |||||||||
Unused and available committed borrowing capacity | 5,665,000,000 | 6,665,000,000 | ||||||||
Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing June 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | $ 1,100,000,000 | |||||||||
Term of credit agreement | 364 days | |||||||||
Option to add additional borrowing capacity, maximum amount | $ 250,000,000 | |||||||||
Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing July 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | 1,100,000,000 | 0 | 0 | |||||||
Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing July 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | $ 1,100,000,000 | |||||||||
Term of credit agreement | 364 days | |||||||||
Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing July 2026 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | $ 1,950,000,000 | $ 1,350,000,000 | 0 | 0 | ||||||
Term of credit agreement | 5 years | |||||||||
Option to add additional borrowing capacity, maximum amount | 1,500,000,000 | |||||||||
Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing October 2026 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | $ 865,000,000 | |||||||||
Borrowings outstanding | 0 | 0 | ||||||||
Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing December 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | $ 1,750,000,000 | |||||||||
Borrowings outstanding | 0 | 0 | ||||||||
Maximum additional commitments that may be made available | $ 250,000,000 | |||||||||
Bilateral Credit Lines | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Borrowings outstanding | 0 | 0 | ||||||||
Local Bank Line of Credit | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Borrowings outstanding | $ 667,000,000 | $ 546,000,000 | ||||||||
Commercial Paper And Letter Of Credit Facilities | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Commercial paper | $ 600,000,000 | |||||||||
Maximum | Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing December 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Utilization fee percentage | 0.40% | |||||||||
Maximum | Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing December 2024 | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 1.30% | |||||||||
Minimum | Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing December 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Utilization fee percentage | 0.10% | |||||||||
Minimum | Line of Credit | Revolving Credit Facility | Revolving Credit Facility Maturing December 2024 | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 0.30% |
Debt - CARRYING AMOUNTS AND FAI
Debt - CARRYING AMOUNTS AND FAIR VALUES OF LONG-TERM DEBT (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Carrying Value | ||
Debt Instrument [Line Items] | ||
Long-term debt, including current portion | $ 4,282 | $ 4,105 |
Fair Value | Level 2 | ||
Debt Instrument [Line Items] | ||
Long-term debt, including current portion | $ 4,290 | $ 4,148 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) - Related parties - Less than | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Product Concentration Risk | Cost of Goods Sold | |||||
Related Party Transactions | |||||
Related party purchase and sales composition (percent) | 8% | 8% | 8% | 8% | |
Product Concentration Risk | Net Sales | |||||
Related Party Transactions | |||||
Related party purchase and sales composition (percent) | 2% | 2% | 2% | 2% | |
Customer Concentration | Accounts Receivable | |||||
Related Party Transactions | |||||
Related party purchase and sales composition (percent) | 1% | 1% | |||
Supplier Concentration | Trade Accounts Payable Benchmark | |||||
Related Party Transactions | |||||
Related party purchase and sales composition (percent) | 4% | 4% |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Loss Contingencies and Guarantees | ||
Non-income tax claims | $ 198 | $ 201 |
Recorded Liability | 9 | |
Maximum Potential Future Payments | 701 | |
Non-income tax claims | ||
Loss Contingencies and Guarantees | ||
Non-income tax claims | 19 | 20 |
Labor claims | ||
Loss Contingencies and Guarantees | ||
Non-income tax claims | 66 | 76 |
Civil and other claims | ||
Loss Contingencies and Guarantees | ||
Non-income tax claims | 113 | 105 |
ICMS Tax Liability | Brazil | Tax return examination 1990 - Present | ||
Loss Contingencies and Guarantees | ||
Total assessment | 232 | 215 |
PIS COFINS Liability | Brazil | Tax return examination 2004 - 2016 | ||
Loss Contingencies and Guarantees | ||
Total assessment | 436 | $ 347 |
Unconsolidated Affiliates Financing | ||
Loss Contingencies and Guarantees | ||
Recorded Liability | 0 | |
Maximum Potential Future Payments | 96 | |
Potential liability | 50 | |
Obligation related to outstanding guarantees | 1 | |
Residual Value Guarantee | ||
Loss Contingencies and Guarantees | ||
Recorded Liability | 0 | |
Maximum Potential Future Payments | 364 | |
Obligation related to outstanding guarantees | 0 | |
Russia disposition indemnity | ||
Loss Contingencies and Guarantees | ||
Recorded Liability | 9 | |
Maximum Potential Future Payments | 235 | |
Obligation related to outstanding guarantees | 9 | |
Other guarantees | ||
Loss Contingencies and Guarantees | ||
Recorded Liability | 0 | |
Maximum Potential Future Payments | $ 6 |
OTHER NON-CURRENT LIABILITIES_2
OTHER NON-CURRENT LIABILITIES (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Other Liabilities Disclosure [Abstract] | ||
Labor, legal, and other provisions | $ 216 | $ 205 |
Pension and post-retirement obligations | 149 | 152 |
Uncertain income tax positions | 67 | 59 |
Unrealized loss on derivative contracts, at fair value | 324 | 332 |
Other | 115 | 101 |
Total | $ 871 | $ 849 |
EQUITY - NARRATIVE (Details)
EQUITY - NARRATIVE (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||||
May 11, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 12, 2023 | |
Class of Stock [Line Items] | ||||||
Remaining authorized repurchase amount | $ 2,000 | $ 2,000 | $ 300 | |||
Stock repurchase program, increase in authorized amount | 1,700 | |||||
Authorized amount of issued and outstanding common shares available for repurchase | $ 2,000 | |||||
Dividends on common shares (in dollars per share) | $ 0.6625 | $ 0.6625 | $ 0.625 | $ 1.2875 | $ 1.15 | |
Increase in dividends declared on common stock (in dollars per share) | 0.0375 | |||||
Percentage increase in dividends declared on common stock | 6% | |||||
Common Shares | ||||||
Class of Stock [Line Items] | ||||||
Repurchase of common shares for the period | $ 200 | $ 200 | ||||
Repurchase of common shares (in shares) | 2,109,115 | 2,109,115 |
EQUITY - AOCI (Details)
EQUITY - AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
AOCI, Net of Tax [Roll Forward] | ||||
Beginning balance | $ 9,224 | |||
Other comprehensive income (loss) before reclassifications | $ 81 | $ (218) | 177 | $ 61 |
Amount reclassified from accumulated other comprehensive income (loss) | (1) | (5) | 103 | (26) |
Ending balance | 10,575 | 10,575 | ||
Pension Plan | ||||
AOCI, Net of Tax [Roll Forward] | ||||
Pre-tax gain recorded in other income (expense) - net | 27 | |||
Pre-tax gain recorded in other income (expense), tax expense | 10 | |||
Accumulated Other Comprehensive Income (Loss) | ||||
AOCI, Net of Tax [Roll Forward] | ||||
Beginning balance | (6,171) | (6,213) | (6,371) | (6,471) |
Ending balance | (6,091) | (6,436) | (6,091) | (6,436) |
Foreign Exchange Translation Adjustment | ||||
AOCI, Net of Tax [Roll Forward] | ||||
Beginning balance | (5,701) | (5,697) | (5,926) | (6,093) |
Other comprehensive income (loss) before reclassifications | 147 | (265) | 269 | 131 |
Amount reclassified from accumulated other comprehensive income (loss) | 0 | 0 | 103 | 0 |
Ending balance | (5,554) | (5,962) | (5,554) | (5,962) |
Deferred Gains (Losses) on Hedging Activities | ||||
AOCI, Net of Tax [Roll Forward] | ||||
Beginning balance | (368) | (373) | (343) | (254) |
Other comprehensive income (loss) before reclassifications | (66) | 47 | (92) | (70) |
Amount reclassified from accumulated other comprehensive income (loss) | (1) | (5) | 0 | (7) |
Ending balance | (435) | (331) | (435) | (331) |
Pension and Other Postretirement Liability Adjustments | ||||
AOCI, Net of Tax [Roll Forward] | ||||
Beginning balance | (102) | (143) | (102) | (124) |
Other comprehensive income (loss) before reclassifications | 0 | 0 | 0 | 0 |
Amount reclassified from accumulated other comprehensive income (loss) | 0 | 0 | 0 | (19) |
Ending balance | $ (102) | $ (143) | (102) | $ (143) |
Parent | Pension Plan | ||||
AOCI, Net of Tax [Roll Forward] | ||||
Pre-tax gain recorded in other income (expense) - net | 19 | |||
Pre-tax gain recorded in other income (expense), tax expense | 7 | |||
Non- Controlling Interests | Pension Plan | ||||
AOCI, Net of Tax [Roll Forward] | ||||
Pre-tax gain recorded in other income (expense) - net | 8 | |||
Pre-tax gain recorded in other income (expense), tax expense | $ 3 |
EARNINGS PER COMMON SHARE (Deta
EARNINGS PER COMMON SHARE (Details) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 USD ($) $ / shares shares | Jun. 30, 2022 USD ($) $ / shares shares | Jun. 30, 2023 USD ($) $ / shares shares | Jun. 30, 2022 USD ($) $ / shares shares | Mar. 23, 2022 $ / shares | |
Earnings Per Share | |||||
Net income (loss) attributable to Bunge common shareholders | $ | $ 622 | $ 206 | $ 1,254 | $ 894 | |
Weighted-average number of common shares outstanding: | |||||
Basic (in shares) | 150,609,139 | 151,799,677 | 150,345,757 | 147,183,925 | |
Effect of dilutive shares: | |||||
stock options and awards (in shares) | 1,570,265 | 2,273,037 | 1,886,376 | 2,687,006 | |
convertible preference shares (in shares) | 0 | 0 | 0 | 3,966,347 | |
Diluted (in shares) | 152,179,404 | 154,072,714 | 152,232,133 | 153,837,278 | |
Earnings per common share: | |||||
Net income (loss) attributable to Bunge common shareholders—basic (in dollars per share) | $ / shares | $ 4.13 | $ 1.36 | $ 8.34 | $ 6.08 | |
Net income (loss) attributable to Bunge common shareholders—diluted (in dollars per share) | $ / shares | $ 4.09 | $ 1.34 | $ 8.24 | $ 5.81 | |
Stock options and contingently issuable restricted stock units | |||||
Earnings per common share: | |||||
Antidilutive shares excluded from computation of EPS (in shares) | 1,000,000,000,000 | ||||
Convertible Perpetual Preference Shares | |||||
Earnings per common share: | |||||
Convertible preference share, common shares issued upon conversion | 1.2846 | ||||
Convertible perpetual preference shares, par value (in dollars per share) | $ / shares | $ 0.01 |
SEGMENT INFORMATION - NARRATIVE
SEGMENT INFORMATION - NARRATIVE (Details) | 6 Months Ended |
Jun. 30, 2023 segment | |
Segment Reporting Information | |
Number of reportable segments | 4 |
Sugar and Bioenergy | BP Bunge Bioenergia | |
Segment Reporting Information | |
Equity method investment, ownership percentage | 50% |
SEGMENT INFORMATION - FINANCIAL
SEGMENT INFORMATION - FINANCIAL INFORMATION BY SEGMENT (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Operating Segment Information | |||||
Net sales | $ 15,049 | $ 17,933 | $ 30,377 | $ 33,813 | |
Cost of goods sold | (13,684) | (17,161) | (27,831) | (31,837) | |
Gross profit | 1,365 | 772 | 2,546 | 1,976 | |
Selling, general and administrative expenses | (420) | (334) | (773) | (642) | |
Foreign exchange (losses) gains | (66) | (110) | (17) | (98) | |
EBIT attributable to noncontrolling interests | (4) | (20) | (29) | (33) | |
Other income (expense) – net | 12 | (6) | 27 | (53) | |
Income (loss) from affiliates | 25 | 20 | 44 | 65 | |
Total segment EBIT | 912 | 322 | 1,798 | 1,215 | |
Total assets | 25,712 | 27,419 | 25,712 | 27,419 | $ 24,580 |
Inter—Segment Revenues | |||||
Operating Segment Information | |||||
Net sales | (2,055) | (3,070) | (4,412) | (6,044) | |
Selling, general and administrative expenses | 0 | 0 | 0 | 0 | |
Foreign exchange (losses) gains | 0 | 0 | 0 | 0 | |
EBIT attributable to noncontrolling interests | 0 | 0 | 0 | 0 | |
Other income (expense) – net | 0 | 0 | 0 | 0 | |
Income (loss) from affiliates | 0 | 0 | 0 | 0 | |
Total segment EBIT | 0 | 0 | 0 | 0 | |
Total assets | 0 | 0 | 0 | 0 | |
Inter—Segment Revenues | Agribusiness | |||||
Operating Segment Information | |||||
Net sales | (1,999) | (2,892) | (4,155) | (5,379) | |
Inter—Segment Revenues | Refined and Specialty Oils | |||||
Operating Segment Information | |||||
Net sales | (56) | (86) | (93) | (198) | |
Inter—Segment Revenues | Milling | |||||
Operating Segment Information | |||||
Net sales | 0 | (92) | (164) | (467) | |
Inter—Segment Revenues | Sugar and Bioenergy | |||||
Operating Segment Information | |||||
Net sales | 0 | 0 | 0 | 0 | |
Operating | Agribusiness | |||||
Operating Segment Information | |||||
Net sales | 10,875 | 12,747 | 21,727 | 23,978 | |
Cost of goods sold | (9,878) | (12,431) | (19,922) | (22,798) | |
Gross profit | 997 | 316 | 1,805 | 1,180 | |
Selling, general and administrative expenses | (151) | (119) | (283) | (240) | |
Foreign exchange (losses) gains | (64) | (93) | (25) | (84) | |
EBIT attributable to noncontrolling interests | 1 | (13) | (20) | (17) | |
Other income (expense) – net | 7 | (14) | 18 | (77) | |
Income (loss) from affiliates | (5) | 16 | (5) | 30 | |
Total segment EBIT | 785 | 93 | 1,490 | 792 | |
Total assets | 17,789 | 18,889 | 17,789 | 18,889 | |
Operating | Refined and Specialty Oils | |||||
Operating Segment Information | |||||
Net sales | 3,601 | 4,445 | 7,489 | 8,421 | |
Cost of goods sold | (3,268) | (4,120) | (6,814) | (7,834) | |
Gross profit | 333 | 325 | 675 | 587 | |
Selling, general and administrative expenses | (98) | (87) | (193) | (176) | |
Foreign exchange (losses) gains | 5 | (8) | 10 | (8) | |
EBIT attributable to noncontrolling interests | (7) | (7) | (11) | (4) | |
Other income (expense) – net | (16) | (5) | (31) | (8) | |
Income (loss) from affiliates | 0 | 0 | 0 | 0 | |
Total segment EBIT | 217 | 218 | 450 | 391 | |
Total assets | 3,883 | 4,616 | 3,883 | 4,616 | |
Operating | Milling | |||||
Operating Segment Information | |||||
Net sales | 490 | 677 | 1,005 | 1,280 | |
Cost of goods sold | (450) | (551) | (934) | (1,083) | |
Gross profit | 40 | 126 | 71 | 197 | |
Selling, general and administrative expenses | (24) | (28) | (45) | (52) | |
Foreign exchange (losses) gains | (1) | 0 | (1) | 3 | |
EBIT attributable to noncontrolling interests | 1 | (1) | 1 | (1) | |
Other income (expense) – net | (2) | 0 | (3) | 0 | |
Income (loss) from affiliates | 0 | 0 | 0 | 0 | |
Total segment EBIT | 14 | 97 | 23 | 147 | |
Total assets | 1,086 | 1,488 | 1,086 | 1,488 | |
Operating | Sugar and Bioenergy | |||||
Operating Segment Information | |||||
Net sales | 72 | 57 | 136 | 121 | |
Cost of goods sold | (70) | (55) | (134) | (117) | |
Gross profit | 2 | 2 | 2 | 4 | |
Selling, general and administrative expenses | 0 | 0 | 0 | 0 | |
Foreign exchange (losses) gains | 0 | 0 | 0 | 0 | |
EBIT attributable to noncontrolling interests | 0 | 0 | 0 | 0 | |
Other income (expense) – net | 2 | 0 | 2 | 0 | |
Income (loss) from affiliates | 47 | 4 | 66 | 36 | |
Total segment EBIT | 51 | 6 | 70 | 40 | |
Total assets | 382 | 376 | 382 | 376 | |
Corporate and Other | |||||
Operating Segment Information | |||||
Net sales | 11 | 7 | 20 | 13 | |
Cost of goods sold | (18) | (4) | (27) | (5) | |
Gross profit | (7) | 3 | (7) | 8 | |
Selling, general and administrative expenses | (147) | (100) | (252) | (174) | |
Foreign exchange (losses) gains | (6) | (9) | (1) | (9) | |
EBIT attributable to noncontrolling interests | 1 | 1 | 1 | (11) | |
Other income (expense) – net | 21 | 13 | 41 | 32 | |
Income (loss) from affiliates | (17) | 0 | (17) | (1) | |
Total segment EBIT | (155) | (92) | (235) | (155) | |
Total assets | $ 2,572 | $ 2,050 | $ 2,572 | $ 2,050 |
SEGMENT INFORMATION - NET INCOM
SEGMENT INFORMATION - NET INCOME TO SEGMENT EBIT (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Reconciliation of total segment EBIT: | ||||
Net income (loss) attributable to Bunge | $ 622 | $ 206 | $ 1,254 | $ 894 |
Interest income | (40) | (11) | (83) | (20) |
Interest expense | 129 | 92 | 241 | 203 |
Income tax expense (benefit) | 198 | 36 | 381 | 144 |
Noncontrolling interests' share of interest and tax | 3 | (1) | 5 | (6) |
Total Segment EBIT | $ 912 | $ 322 | $ 1,798 | $ 1,215 |
SEGMENT INFORMATION - NET SALES
SEGMENT INFORMATION - NET SALES TO EXTERNAL CUSTOMERS (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Revenue from External Customer [Line Items] | ||||
Sales from commodity contracts (ASC 815) | $ 10,666 | $ 12,411 | $ 21,271 | $ 23,354 |
Sales from contracts with customers (ASC 606) | 4,383 | 5,522 | 9,106 | 10,459 |
Net sales to external customers | 15,049 | 17,933 | 30,377 | 33,813 |
Corporate and Other | ||||
Revenue from External Customer [Line Items] | ||||
Sales from commodity contracts (ASC 815) | 0 | 0 | 0 | 0 |
Sales from contracts with customers (ASC 606) | 11 | 7 | 20 | 13 |
Net sales to external customers | 11 | 7 | 20 | 13 |
Agribusiness | Operating | ||||
Revenue from External Customer [Line Items] | ||||
Sales from commodity contracts (ASC 815) | 10,293 | 11,929 | 20,582 | 22,496 |
Sales from contracts with customers (ASC 606) | 582 | 818 | 1,145 | 1,482 |
Net sales to external customers | 10,875 | 12,747 | 21,727 | 23,978 |
Refined and Specialty Oils | Operating | ||||
Revenue from External Customer [Line Items] | ||||
Sales from commodity contracts (ASC 815) | 262 | 379 | 440 | 630 |
Sales from contracts with customers (ASC 606) | 3,339 | 4,066 | 7,049 | 7,791 |
Net sales to external customers | 3,601 | 4,445 | 7,489 | 8,421 |
Milling | Operating | ||||
Revenue from External Customer [Line Items] | ||||
Sales from commodity contracts (ASC 815) | 41 | 47 | 115 | 109 |
Sales from contracts with customers (ASC 606) | 449 | 630 | 890 | 1,171 |
Net sales to external customers | 490 | 677 | 1,005 | 1,280 |
Sugar and Bioenergy | Operating | ||||
Revenue from External Customer [Line Items] | ||||
Sales from commodity contracts (ASC 815) | 70 | 56 | 134 | 119 |
Sales from contracts with customers (ASC 606) | 2 | 1 | 2 | 2 |
Net sales to external customers | $ 72 | $ 57 | $ 136 | $ 121 |