Adecoagro : 4Q16 Financial Statements

Adecoagro S.A. Consolidated Financial Statements as of December 31, 2016, 2015 and 2014 and for the years ended December 31, 2016, 2015 and 2014 Report of Independent Registered Public Accounting Firm

To the Shareholders of Adecoagro S.A.

We have audited the accompanying consolidated statements of financial position of Adecoagro S.A. and its subsidiaries as of December 31, 2016, and 2015, and the related consolidated statements of income and comprehensive income, of changes in shareholders' equity and of cash flows for each of the three years in the period ended December 31, 2016. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of Adecoagro S.A. and its subsidiaries at December 31, 2016 and 2015 and the results of their operations and their cash flows for each of the three years in the period ended December 31, 2016, in conformity with International Financial Reporting Standards as issued by the International Accounting Standards Board.

As discussed in Note 32.1, the company changed the manner in which it accounts for biological assets and property, plant and equipment.

Buenos Aires, Argentina. March 14, 2017

PRICE WATERHOUSE & CO. S.R.L.

by (Partner)

Marcelo de Nicola

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Legal information Denomination: Adecoagro S.A. Legal address: Vertigo Naos Building, 6, Rue Eugène Ruppert, L-2453, Luxembourg Company activity: Agricultural and agro-industrial Date of registration: June 11, 2010 Expiration of company charter: No term defined Number of register (RCS Luxembourg): B153.681 Capital stock: 122,381,815 common shares (of which 1,238,318 are treasury shares)

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Adecoagro S.A.

Consolidated Statements of Income

for the years ended December 31, 2016, 2015 and 2014

(All amounts in US$ thousands, except shares and per share data and as otherwise indicated)

Note	2016	2015 (*)	2014 (*)
Sales of goods and services rendered......................................	4	869,235	674,314	722,966
Cost of goods sold and services rendered ...............................	5	(678,581)	(557,786)	(605,325)
Initial recognition and changes in fair value of biological assets and agricultural produce ...............................................	15	125,456	54,528	100,216
Changes in net realizable value of agricultural produce after harvest ............................................................................	(5,841)	14,691	3,401
Margin on Manufacturing and Agricultural Activities Before Operating Expenses ..................................................	310,269	185,747	221,258
General and administrative expenses ......................................	6	(50,750)	(48,425)	(52,695)
Selling expenses......................................................................	6	(80,673)	(70,268)	(78,864)
Other operating income, net....................................................	8	(8,297)	31,066	11,977
Share of loss of joint venture ..................................................	16	-	(2,685)	(924)
Profit from Operations .........................................................	170,549	95,435	100,752
Finance income .......................................................................	9	7,957	9,150	7,291
Finance costs...........................................................................	9	(165,380)	(116,890)	(86,472)
Financial results, net ...............................................................	9	(157,423)	(107,740)	(79,181)
Profit / (Loss) Before Income Tax .......................................	13,126	(12,305)	21,571
Income tax (expense) / benefit ................................................	10	(9,387)	7,954	(10,535)
Profit / (Loss) for the Year ...................................................	3,739	(4,351)	11,036
Attributable to:
Equity holders of the parent ....................................................	2,039	(5,593)	11,116
Non-controlling interest ..........................................................	1,700	1,242	(80)
Earnings / (Loss) per share from operations attributable to the equity holders of the parent during the year:
Basic earnings per share	11	0.017	(0.046)	0.092
Diluted earnings per share	11	0.017	(0.046)	0.091

(*): The prior years have been adjusted to reflect the Company's adoption of amendments to IAS 16 and IAS 41 as further described in Note 32.

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The accompanying notes are an integral part of these consolidated financial statements.