Archer Daniels Midland Co Stock Price, News & Analysis

ADM reported first-quarter 2022 net earnings of approximately $1.1 billion and adjusted earnings per share (EPS) of $1.90, up from $1.39 a year earlier. The firm attributed these results to robust demand, effective risk management, and a tighter supply environment, particularly due to a smaller South American crop. Segment operating profit reached $1.539 billion, a notable increase from $1.105 billion. The company anticipates continued tightness in global grain markets due to various crop disruptions, projecting 2022 results to exceed those of 2021.

ADM announced its 2022 Annual Meeting of Stockholders will take place virtually on May 5, 2022, at 8:30 a.m. CDT, due to ongoing COVID-19 concerns. Stockholders are encouraged to vote using the 16-digit control number provided on their proxy materials. The meeting will not allow in-person attendance. Detailed information regarding this change can be found in the proxy supplement filed with the Securities and Exchange Commission on April 14, 2022.

ADM announced a $300 million investment to expand its soy protein concentrate production in Decatur, Illinois, nearly doubling extrusion capacity. This expansion includes the establishment of a new Protein Innovation Center aimed at enhancing product development in response to rising demand. The initiative is projected to be completed by Q1 2025 and will utilize advanced technologies for sustainable operations. The global alternative protein market is expected to grow significantly, with ADM's sales in this sector outpacing industry growth at a projected 10% CAGR.

ADM has announced the appointment of Vikram Luthar as the new Chief Financial Officer, effective immediately. Luthar, who joined ADM in 2004, has held various leadership positions and is recognized for his expertise in finance and strategic growth areas such as health and nutrition. He succeeds Ray G. Young, who served as CFO since 2010 and will now focus on strategic counsel as Vice Chairman. Chairman and CEO Juan Luciano expressed confidence in Luthar's ability to lead ADM into its next growth phase.

ADM is set to announce its financial results for Q1 2022 on April 26, 2022, before market opening. A slide presentation will be accessible for download at that time. Additionally, a webcast will take place at 8 a.m. Central Time to discuss the results and provide company updates. Stakeholders can access the webcast and the presentation via www.adm.com/webcast.

Ray G. Young has been appointed Vice Chairman of ADM, transitioning from his role as Chief Financial Officer as the company seeks a successor. Young will provide strategic guidance on key initiatives crucial for ADM's growth. Chairman and CEO Juan Luciano expressed gratitude for Young's contributions to ADM's transformation into a leader in sustainable nutrition. The company will start a search for a new CFO with both internal and external candidates to ensure a seamless transition.

ADM has priced its inaugural sustainable bond at $750 million with a coupon rate of 2.900%, maturing in 2032. The funds will support ESG initiatives under its Sustainable Financing Framework, targeting projects in sustainable agriculture, green buildings, and food security. The bond offering is set to close on February 28, 2022. With this issuance, ADM aims to enhance its commitment to sustainability, responding to consumer demand for responsibly produced products.

ADM's Ag Services & Oilseeds president, Greg Morris, and head of Investor Relations, Vikram Luthar, will participate in a fireside chat at the Bank of America 2022 Global Agriculture and Materials conference on March 3 in Fort Lauderdale, Florida. They will discuss ADM’s transformation, ongoing strategic execution, and positive outlook for 2022, aiming for earnings of $6-$7.00 per share by 2025. The event will be streamed live at 9:30 a.m. Eastern Time.