Agricultural commodities trader Bunge Ltd has raised its full-year profit forecast on strong performance in its refined and specialty oils business.
Tight supplies and strong demand have kept grain and oilseed prices high since Russia's invasion of Ukraine, benefiting Supply chain middlemen like Bunge, which make money processing, trading and shipping crops around the world.
"We are investing in our core oilseed business as well as the growing opportunities in specialty fats and oils, renewable feedstocks and plant-based proteins," chief executive officer Greg Heckman said in a statement.
Bunge now expects full-year earnings of at least $13.50 per share, compared with its prior forecast of $12.
Net income attributable to Bunge fell to $380 million (€379 million), or $2.59 cents per share, in the quarter ended 30 September, from $653 million (€651.2 million), or $4.28 per share, a year earlier, partly due to higher energy costs in Europe that hurt demand, and pandemic-related restrictions.
Greg Heckman, chief executive Officer, commented, “Our strong results this quarter demonstrate our team’s outstanding coordination and discipline as well as the flexibility of our global platform in this rapidly changing market. These strengths enabled us to better partner with our customers at both ends of the value chains to deliver innovative and sustainable solutions to consumers around the world.”
Elsewhere, Archer-Daniels-Midland Co reported a 96% surge in third-quarter profit on robust demand for grain and oilseeds and tight global supplies.
News by Reuters, additional reporting by ESM – your source for the latest supply chain news. Click subscribe to sign up to ESM: European Supermarket Magazine.