Shareholders' Equity

3 Months Ended

Mar. 31, 2025

Equity [Abstract]

Shareholders' Equity

Shareholders’ Equity

The Company has authorized one billion shares of common stock and 500,000 shares of preferred stock, each with zero par value. No preferred stock has been issued. 

Treasury stock

At March 31, 2025 and December 31, 2024, the Company had approximately 235.7 million shares and 237.6 million shares, respectively, of its common shares in treasury. Treasury stock of $4.8 billion and $4.8 billion at March 31, 2025 and December 31, 2024, respectively, is recorded at cost as a reduction of common stock, and treasury stock of $2.3 billion at each of March 31, 2025 and December 31, 2024 is recorded at cost as a reduction of reinvested earnings.

Repurchase Program

On March 12, 2024, the Company entered into an accelerated share repurchase (“ASR”) transaction agreement (“ASR Agreement”) with Merrill Lynch International, an affiliate of BofA Securities, Inc., to repurchase $1.0 billion (the “Prepayment Amount”) of ADM common stock. The ASR transaction was part of ADM’s existing share repurchase program to repurchase up to 200 million shares through December 31, 2024, which was later increased and extended, as described below.

Under the terms of the ASR Agreement, on March 13, 2024, the Company paid the Prepayment Amount and received no upfront shares of common stock. The total number of shares of common stock repurchased under the ASR Agreement were determined based on volume weighted-average prices of the common stock during the term of the ASR transaction less a discount and subject to certain adjustments pursuant to the terms of the ASR Agreement.

On March 28, 2024, the Company received an interim delivery of 8,880,986 shares at an average share price of $60.60 or $538 million in aggregate. The Prepayment Amount initially recorded in additional paid in capital was partially reclassified to reinvested earnings for the $538 million amount repurchased. On April 15, 2024, the Company received a final delivery of 7,325,733 shares at an average share price of $63.05, or $462 million in aggregate, as final settlement of the ASR transaction and the amount was reclassified to reinvested earnings.

On December 11, 2024, the Company's Board of Directors approved a second extension of the stock repurchase program through December 31, 2029 and the repurchase of up to an additional 100 million shares under the extended program. As of March 31, 2025, the Company had 115 million shares remaining under its share repurchase program until December 31, 2029.

Accumulated Other Comprehensive Income

The following tables set forth the changes in AOCI by component for the three months ended March 31, 2025 and 2024 (in millions).

	Three Months Ended March 31, 2025
	Foreign Currency Translation Adjustment		Deferred Gain (Loss) on Hedging Activities		Pension and Other Postretirement Benefit Liabilities		Unrealized Gain (Loss) on Investments		Accumulated Other Comprehensive Income (Loss)
Balance at January 1, 2025	$	(2,999)	$	126	$	(100)	$	(15)	$	(2,988)
Other comprehensive income (loss) before reclassifications	25		12		(20)		(3)		14
Gain (loss) on net investment hedges	(158)		—		—		—		(158)
Amounts reclassified from AOCI	—		(17)		(2)		—		(19)
Tax effect	38		(1)		6		—		43
Net of tax amount	(95)		(6)		(16)		(3)		(120)
Balance at March 31, 2025	$	(3,094)	$	120	$	(116)	$	(18)	$	(3,108)

	Three months ended March 31, 2024
	Foreign Currency Translation Adjustment		Deferred Gain (Loss) on Hedging Activities		Pension and Other Postretirement Benefit Liabilities		Unrealized Gain (Loss) on Investments		Accumulated Other Comprehensive Income (Loss)
Balance at January 1, 2024	$	(2,539)	$	158	$	(108)	$	2	$	(2,487)
Other comprehensive (loss) before reclassifications	(77)		(50)		(2)		(7)		(136)
Gain on net investment hedges	84		—		—		—		84
Amounts reclassified from AOCI	—		(19)		(2)		—		(21)
Tax effect	(20)		10		1		(1)		(10)
Net of tax amount	(13)		(59)		(3)		(8)		(83)
Balance at March 31, 2024	$	(2,552)	$	99	$	(111)	$	(6)	$	(2,570)

The following table sets forth the reclassifications out of AOCI for the three months ended March 31, 2025 and 2024 (in millions).

	Amount reclassified from AOCI				Affected line item in the Consolidated Statements of Earnings
	Three Months Ended March 31,
Details about AOCI components	2025		2024
Deferred (Gain) Loss on Hedging Activities
	$	(17)	$	(19)	Cost of products sold
	(17)		(19)		Earnings before income tax
	4		4		Income tax expense
	$	(13)	$	(15)	Net earnings

The Company’s accounting policy is to release the income tax effects from AOCI when the individual units of account are sold, terminated, or extinguished.