Archer Daniels Midland (ADM) saw its profits rise for its first quarter ending March 31 due to a positive performance by its oilseeds segment.
Net earnings for the company were up 16 percent to $393 million, compared to $339 million in net earnings posted for the first quarter the previous year. Operating profit was up by 4.1 percent to $704 million, compared to $676 million for the same quarter a year before, and revenue was up by 3.6 percent to $1.55 billion compared to 1.49 billion for the first quarter the year prior.
Drilling down, profit posted by the company’s oilseed segment were up by 12 percent to $350 million, as global markets drove soybean crush margins up, and ADM broke volume records for both North and South America.
Within the oilseed division, income from Refining, Packaging, and Biodiesel were notably higher at $120 million due to the passage of the 2017 biodiesel tax credit.
These results were the first reported after the company reorganized its business into four divisions: Oilseeds, Origination, Carbohydrate Solutions, and Nutrition.
Lynda Kiernan is Editor with HighQuest Group Media and of the Oilseed & Grain News. If you would like to submit a contribution for consideration, please contact Ms. Kiernan at email@example.com.