GO
Loading...

Enter multiple symbols separated by commas

Archer-Daniels Profits Rise 20%, Helped By Ethanol Demand

Archer-Daniels Midland , the nation's largest food processor, said its second-quarter profit rose 20%, driven in large part by a jump in corn-processing profit.

Net income in the second quarter ended Dec. 31 climbed to $441.3 million, or 67 cents a share, from $367.7 million, or 56 cents a share, a year earlier.

Revenue rose 18% to $10.98 billion from $9.3 billion a year ago.

The results topped Wall Street's expectations. Analysts polled by Thomson Financial had expected a profit of 60 cents per share on $9.52 billion in revenue.

"We are particularly pleased with the strong performance from all segments," ADM Chief Executive Officer and President Patricia Woertz said.

The Decatur-based company is also the country's largest producer of the fuel additive ethanol, made from corn.

ADM's corn-processing business, which includes its ethanol production, had a particularly strong quarter. Operating profit increased 42% from a year earlier to $335 million.

Strong prices for both ethanol and corn-based sweetener helped those results, according to ADM, but they were somewhat offset by high corn prices. Demand for ethanol has driven corn prices up in recent months.

The company held a conference call at 9am New York time.

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    To learn more about how we use your information,
    please read our Privacy Policy.

Don't Miss

U.S. Video

  • Hero miles for military members: Real estate magnate's plea

    Chairman of the Fisher House Foundation, Ken Fisher, discusses the Hero Miles program with CNBC's Dina Gusovsky. During Military Appreciation Month, Fisher is asking every traveler to donate 1,000 of their miles to replenish the Hero Miles programs that is in danger of running out.

  • Cramer shuts down this market's haters

    "Mad Money" host Jim Cramer on why this market can't stop, won't stop.

  • From the battlefield to the boardroom

    Your Grateful Nation is dedicated to helping Special Forces veterans enter the corporate world and Knot Standard provides complimentary suits to vets. Mad Money's Jim Cramer spoke with Rob Clapper, Your Grateful executive director; John Ballay, Knot Standard co-founder and president; Tej Gill, retired U.S. Navy Seal; and Darren McB, active duty U.S. Navy Seal.