By Josée Rose

Archer Daniels Midland's first-quarter earnings dropped "in a challenging and uncertain external environment" however the company backed its full-year guidance, though it's expected to come in at the lower end of its range.

The processor of agricultural commodities like oilseeds, corn and wheat said first-quarter net income fell to $295 million, or 61 cents a share, from $729 million, or $1.42 a share, a year earlier. Analysts polled by Factset had been expecting earnings of 67 cents a share.

On an adjusted basis, earnings fell to 70 cents a share, while analysts expected adjusted results of 66 cents a share.

Revenue for the quarter fell to $20.18 billion, compared with analyst expectations of $22.8 billion.

Archer said first-quarter costs were higher due to incentive compensation adjustments, and operating profit in its ag services and oilseeds unit fell 52%.

Archer still expects full-year adjusted earnings of $4 to $4.75, based on its "self-help agenda and execution agility," though results are expected to be at the lower end of that range due to current market conditions. Analysts are expecting adjusted earnings of $4.07 for the year.

Write to Josée Rose at josee.rose@wsj.com

(END) Dow Jones Newswires

May 06, 2025 07:23 ET (11:23 GMT)

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