HUTCHINSON, Kan. —Archer Daniels Midland (ADM) released its quarterly earnings report on Tuesday.
ADM had an adjusted earnings per share of $1.86 in Q3 and Chairman and CEO Juan Luciano said the company is well positioned to end 2022 strong, and carry that momentum into 2023.
Ag Services & Oilseeds delivered substantially higher year-over-year results.
Ag Services results were significantly higher than the third quarter of 2021. The short crops in South America supported U.S. exports, driving improved volumes and margins in North American origination, which had significant negative impacts from Hurricane Ida in the prior year.
Better margins in global ocean freight, driven by good execution amid dynamic global trade flows, powered better results in Global Trade. South American origination saw improved volumes and margins driven by increased farmer selling in addition to higher volumes through ADM's export facilities.
Crushing results were significantly higher, with margins driven by resilient global demand for both meal and oil. Strong rapeseed margins in EMEA, driven by robust oil demand and continued market dislocations, along with positive impacts from an insurance settlement, helped drive improved results. North American soy crush margins continued to benefit from renewable diesel demand. Also, net positive timing effects in the quarter were about $175 million, as compared to the approximately $70 million in the prior-year quarter. Positive results were partially offset by lower crush volumes, including impacts from idled facilities in Ukraine and Paraguay.
ADM operates five elevators in the Hutchinson area, employing around 65 workers.