By Don Nico Forbes
Archer Daniels Midland posted a rise in profit but lower revenue in the fourth quarter, and outlined up to $750 million in cost-saving measures amid softer market conditions.
The food-production and ethanol company on Monday posted a net profit of $567 million, or $1.17 a share, compared with $565 million, or $1.06 a share, for the same period a year earlier.
Stripping out one-time items, the company's earnings per share came in at $1.14, in line with analyst expectations, according to FactSet.
Revenue slipped to $21.5 billion from $22.98 billion, versus analyst views of $22.77 billion.
For 2025, the company said it expects adjusted earnings per share in the range of $4.00 to $4.75, compared with $4.74 in 2024, reflecting weaker market fundamentals and continuing biofuel and trade policy uncertainty.
It added that it will target cost savings of $500 million to $750 million over the next several years, in order to drive simplification and long-term growth.
"With softer market conditions and policy uncertainty around the world going into 2025, we are focused on improving our operational performance, accelerating costs savings, and simplifying our portfolio," Chief Executive Juan Luciano said.
Write to Don Nico Forbes at don.forbes@wsj.com
(END) Dow Jones Newswires
February 04, 2025 08:00 ET (13:00 GMT)
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