Archer-Daniels-Midland Co., the largest corn processor, posted lower-than-expected first-quarter earnings and revenue after harsh winter weather affected trading operations.
Net income was 40 cents a share compared with 41 cents a year earlier, the Decatur, Illinois-based company said today in a statement. Excluding inventory costs, profit was 55 cents, trailing the 74-cent average of 14 analysts’ estimates compiled by Bloomberg. Sales fell 4.7 percent to $20.7 billion, missing the $22 billion average estimate.
Operating profit at ADM’s agricultural services unit, its largest by revenue, was $153 million, $2 million higher than a year earlier.
“Our businesses delivered mixed results,” Chairman and Chief Executive Officer Patricia Woertz said in the statement. Agricultural services “again generated weak results due to a low margin environment as well as logistics and weather challenges in the U.S.”
ADM dropped 4.1 percent to $42.56 at 7:07 a.m. before the start of regular trading in New York.