Is AGRO (Adecoagro SA) halal?

Q: Is AGRO (Adecoagro SA) halal?

HALAL: Agricultural production — farming permissible. Adecoagro is a farming company producing sugar, rice, and dairy. Core agriculture business is permissible. Its March 31, 2026 6-K reports $5,185.522 million of assets, $1,857.058 million of interest-bearing debt, $172.531 million of cash, $57.004 million of short-term investments, $472.575 million of receivables and $398.680 million of quarterly revenue. Debt/assets is 35.81%, liquidity/assets is 4.43%, receivables-plus-cash/assets is 12.44%, and disclosed interest income is 2.28% of revenue; the debt ratio fails the examined financial limits even though core agriculture remains permissible.

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AGRO

Adecoagro SA

HALAL — SCREEN DOES NOT PASSstock

Is AGRO Halal?

Agricultural production — farming permissible.

What You Should Know

Adecoagro is a farming company producing sugar, rice, and dairy. Core agriculture business is permissible. Its March 31, 2026 6-K reports $5,185.522 million of assets, $1,857.058 million of interest-bearing debt, $172.531 million of cash, $57.004 million of short-term investments, $472.575 million of receivables and $398.680 million of quarterly revenue. Debt/assets is 35.81%, liquidity/assets is 4.43%, receivables-plus-cash/assets is 12.44%, and disclosed interest income is 2.28% of revenue; the debt ratio fails the examined financial limits even though core agriculture remains permissible.

⚠️ Concerns

•Commodity price volatility
•Minor interest income
•Debt/assets exceeds the examined limits
•Sugar, dairy and land-use mix

Current quantitative Sharia screen

Based on 6-K figures for the period ended 2026-03-31; calculated 2026-07-14.

USD · millions

Interest-bearing debt / assets

35.81%Above limit

Below 33.333% under FTSE Yasaar

1,857.058 / 5,185.522

Cash + interest-bearing securities / assets

4.43%Within limit

Below 33.333% under FTSE Yasaar

229.535 / 5,185.522

Receivables + cash / assets

12.44%Within limit

Below 50% under FTSE Yasaar

645.106 / 5,185.522

Non-compliant income / revenue

2.28%Within limit

No more than 5% under FTSE Yasaar

9.088 / 398.68

Methodology	Financial	Overall	What drives it
FTSE Yasaar v4.6, February 2026	Fails	Fails	Debt/assets is 35.81%, above the 33.333% limit; liquidity/assets is 4.43%, receivables-plus-cash/assets is 12.44%, and disclosed income is 2.28% of revenue.
MSCI Islamic (total-assets series) October 2024 methodology	Fails	Fails	Debt/assets is 35.81%, above the examined MSCI 33.33% limit; liquidity/assets is 4.43% and receivables-plus-cash/assets is 12.44%.
Malaysia SAC financial ratios single 5% activity benchmark adopted November 2025	Fails	Fails	Debt/assets is 35.81%, above the examined 33% limit; liquidity/assets is 4.43% and receivables-plus-cash/assets is 12.44%.
Market-cap denominator methods MSCI M-Series, S&P and Dow Jones methods differ	Not calculated	Incomplete	A properly licensed and reproducible historical market-cap series is not stored; filing-based asset ratios remain documented.

FTSE Yasaar

v4.6, February 2026

Financial: Fails
Overall: Fails

Debt/assets is 35.81%, above the 33.333% limit; liquidity/assets is 4.43%, receivables-plus-cash/assets is 12.44%, and disclosed income is 2.28% of revenue.

MSCI Islamic (total-assets series)

October 2024 methodology

Financial: Fails
Overall: Fails

Debt/assets is 35.81%, above the examined MSCI 33.33% limit; liquidity/assets is 4.43% and receivables-plus-cash/assets is 12.44%.

Malaysia SAC financial ratios

single 5% activity benchmark adopted November 2025

Financial: Fails
Overall: Fails

Debt/assets is 35.81%, above the examined 33% limit; liquidity/assets is 4.43% and receivables-plus-cash/assets is 12.44%.

Market-cap denominator methods

MSCI M-Series, S&P and Dow Jones methods differ

Financial: Not calculated
Overall: Incomplete

A properly licensed and reproducible historical market-cap series is not stored; filing-based asset ratios remain documented.

Business-activity disclosure

Adecoagro produces sugar, rice, dairy and other agricultural products. Core farming is generally permissible, while product mix, animal welfare and land-use impacts require qualitative review.

Limitation: The filing does not allocate every product and customer activity into a universal prohibited-activity numerator.

Purification

Adecoagro discloses $9.088 million of interest income but does not provide a complete prohibited-activity numerator or scholar-approved purification percentage.

Inputs, assumptions and primary sources

Amounts are USD millions from Adecoagro's March 31, 2026 6-K exhibit.
Borrowings of $1,515.727 million non-current and $341.331 million current are used; lease liabilities are excluded.
Cash and cash equivalents are $172.531 million and short-term investments are $57.004 million.
Current and non-current trade and other receivables total $472.575 million; first-quarter revenue is $398.680 million. Interest income is $9.088 million.
Farming, sugar, rice and dairy are generally permissible, while product, land-use and animal-welfare questions remain qualitative.

U.S. Securities and Exchange Commission: Adecoagro First Quarter 2026 Condensed Interim Financial Statements FTSE Russell: FTSE Yasaar Global Equity Shariah Index Series Ground Rules MSCI: MSCI Islamic Index Series Methodology Securities Commission Malaysia: Shariah-Compliant Securities Screening Methodology

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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