News

Cargill ingredients business "rebounds"

11 Jan 2017

Cargill has reported financial results for the fiscal 2017 second quarter and first half ended Nov. 30, 2016. The company said that earnings in Food Ingredients & Applications saw a solid rebound over last year’s second quarter.

Cargill has reported financial results for the fiscal 2017 second quarter and first half ended Nov. 30, 2016. Adjusted operating earnings rose 80% to $1.03 billion in the second quarter, compared with $574 million in the year-ago period. For the half, earnings stood at $1.86 billion, up 57% over last year. Net earnings for the quarter on a U.S. GAAP basis were $986 million, down 29% from $1.39 billion a year ago, when Cargill realized large gains from business divestitures, which are excluded from adjusted operating earnings. First-half net earnings were down 3% to $1.84 billion for the same reason. Revenues were $26.9 billion and $54 billion for the quarter and half, respectively, each down 1% from last year.

“We are energized by the results across our businesses, which are due to the hard work and commitment of our teams worldwide,” said David MacLennan, Cargill’s chairman and chief executive officer. “Our increased profitability gives us confidence that we are achieving the broad-based structural improvements we have sought.”

Earnings in Food Ingredients & Applications saw a solid rebound over last year’s second quarter. The segment continued to strengthen its operational efficiencies across the board, achieving good gains in sweeteners and edible oils in most regions. Cocoa and chocolate realized moderately better results as improved press margins in Europe helped make up for crop difficulties in West Africa that limited origination volume.