ADM’s Profit Shrinks On Crop Market Downturn

Jan 31, 2025 at 03:24 PM CST
Archer-Daniels-Midland Co.’s quarterly profit shrank more than expected as the grain trading giant faces a downturn in crop markets. Chicago-based ADM reported earnings of $1.03 a share for the three-month period ended in June, down 46% from a year earlier, and the lowest since 2020 for the period. That trailed the $1.24 average of analyst estimates compiled by Bloomberg. The company’s shares slid as much as 2.2% in New York before regular trading hours. ADM ranks No. 74 on the Transport Topics Top 100 list of the largest private fleet operators in North America, and No. 9 on the agriculture sector list. Crop traders’ profits have been under pressure from ampler supplies of grains and lower prices, reversing the windfalls from previous years after crop losses and trade disruptions sent grain prices to all-time highs. The profits they make from processing soybeans into meal and oil — a key earnings driver — have also eroded.

Jan 31, 2025 at 03:24 PM CST

Archer-Daniels-Midland Co.’s quarterly profit shrank more than expected as the grain trading giant faces a downturn in crop markets.

Chicago-based ADM reported earnings of $1.03 a share for the three-month period ended in June, down 46% from a year earlier, and the lowest since 2020 for the period. That trailed the $1.24 average of analyst estimates compiled by Bloomberg. The company’s shares slid as much as 2.2% in New York before regular trading hours.

ADM ranks No. 74 on the Transport Topics Top 100 list of the largest private fleet operators in North America, and No. 9 on the agriculture sector list.

Crop traders’ profits have been under pressure from ampler supplies of grains and lower prices, reversing the windfalls from previous years after crop losses and trade disruptions sent grain prices to all-time highs. The profits they make from processing soybeans into meal and oil — a key earnings driver — have also eroded.