HUTCHINSON, Kan. — The earnings reports from companies with connections to the area continued Tuesday as Archer-Daniels-Midland released its first quarter numbers. The oil seed company reported a 53% jump in first-quarter profit, as the global grain trader was helped by higher demand and tight supplies of crops.
Net earnings attributable to ADM were $1.05 billion, or $1.86 per share, in the three months ended March 31, compared with $689 million, or $1.22 per share, a year ago. Operating profit totaled $1.53 billion compared with $1.10 billion in 2021.
“Looking forward, we expect reduced crop supplies — caused by the weak Canadian canola crop, the short South American crops, and now the disruptions in the Black Sea region — to drive continued tightness in global grain markets for the next few years.'' Chairman and CEO Juan Luciano said. “Longer term, markets continue to reflect the importance of the enduring global trends that are fueling performance across our portfolio by driving demand for our products, and within ADM, our productivity and innovation efforts are continuing to help us deliver on the evolving needs of our customers. Considering these factors, we expect 2022 results to exceed 2021.”
Ag Services, which makes up the ADM footprint in the Hutchinson area, were significantly higher versus the first quarter of 2021. Global Trade results were higher, driven by strong performances in destination marketing and global ocean freight.
Ag service profits totaled $1 billion compared with $777 million in the same quarter last year.
CLICK HERE to download the HutchPost mobile app.
CLICK HERE to sign up for the daily HutchPost email news update.