Aug 4 (Reuters) – Archer-Daniels-Midland raised its forecast for full-year adjusted profit and beat quarterly earnings estimates on Tuesday, citing a strong oilseed processing outlook.
A rally in U.S. grain prices since the start of the Iran war has triggered fresh farmer selling of corn and soybeans, which were stored from last year’s crop during a prolonged period of low prices.
In the wake of U.S. and Israeli attacks on Iran, farmers across the U.S. Midwest sold stored corn, soybeans and wheat as prices rallied, with grains flowing to ethanol plants and soybean processing facilities.
Chicago-based ADM expects 2026 adjusted earnings between $5.15 and $5.60 per share, compared with a prior forecast of $4.15 and $4.70 per share.
Shares of the company rose 2.7% in premarket trading.
The company posted an adjusted profit of $1.84 per share for the three months ended June 30, topping analysts’ average estimate of $1.44, according to data compiled by LSEG.
(Reporting by Sumit Saha in Bengaluru; Editing by Shinjini Ganguli)
