By Ryan Hanrahan
Major global agribusinesses over the past week have raised their 2026 profit forecasts on strong oilseed processing outlooks and strong demand across key crop markets, particularly in the United States.
Reuters reported that “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,” Reuters reported. “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,” Reuters reported.
Similarly, Reuters reported that “U.S. agriscience company Corteva on Thursday raised its forecast for full-year adjusted profit, based on strong demand across key crop markets. The (U.S.) acreage shift toward soybeans and away from corn is expected to support demand for seed traits, as farmers adjust planting decisions in response to higher input costs and tighter margins.“
“However, Corteva’s shares fell 3.7% in extended trading as revenue for the second quarter fell short of analysts’ estimate,” Reuters reported. “Crop prices were mixed in the reported quarter, with gains in soybean and corn offset by weak wheat prices amid ample supplies, keeping farm incomes under pressure and farmers cautious on spending.”
Source : illinois.edu