August 2, 2006

ADM rakes in US$410.3 million profit for this quarter

Archer Daniels Midland Co said Tuesday (Aug 2) its fourth-quarter profit more than doubled, aided in part by better ethanol prices.

Quarterly profit totaled US$410.3 million, compared with a profit of US$195.5 million, during the same period last year.

Gains include an US$8 million security gain, an US$11 million gain from the sale of long-lived assets, a Brazilian tax credit of US$18 million, a US$28 million charge relating to asset impairment and a US$9 million charge relating to asset retirement.

Revenue, however, increased only 1 percent to US$9.55 billion from US$9.42 billion last year.

ADM said oilseeds processing operating profit grew 61 percent to US$195 million, thanks to a favourable market while corn processing operating profit increased 69 percent to US$286 million due to better ethanol selling prices and volumes.

For the year, profit climbed 25 percent to US$1.31 billion, from US$1.04 billion, during the same period last year.

Revenue for the year rose 2 percent to US$36.6 billion, from US$35.9 billion last year.