World Grain - May 2018 - 22
M YC OF I
Cargill earnings fall 24% in third quarter
MINNEAPOLIS, MINNESOTA, U.S. - Cocoa, chocolate
and edible oils posted performance gains within Cargill's Food
Ingredients & Applications segment in the third quarter of the
manufacturing costs in Europe tempered results in global sweeteners and starches. Earnings within the segment decreased overDOOZKHQFRPSDUHGZLWKWKHSUHYLRXV\HDU¶VWKLUGTXDUWHU
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$495 million, which was down 24% from $650 million in the
2% to $27.85 billion.
Food Ingredients & Applications was the second-largest conWULEXWRUWR&DUJLOOHDUQLQJV6QRZ\ZHDWKHUERRVWHGVDOWVDOHV
but results were muted because of higher production costs, lower
sales prices for road salt and rising freight costs on packaged salt
products. Cargill in the quarter invested $25 million in a joint
venture with Puris, a producer of pea protein, and opened its
in Watkins Glen, New York, U.S.
for a fourth straight quarter. Performance in complete animal
feeds, premixes, additives and micro-nutrients contributed to
earnings as did beef and egg protein results in North America.
factors, including lower pricing in some markets.
Earnings for the Origination & Processing segment came in
quarter, allowing for better trading opportunities. Origination
in Brazil remained slow. Oilseed processing results in several
regions were poor, but margins strengthened at the end of the
5HVXOWV LQ WKH ,QGXVWULDO )LQDQFLDO 6HUYLFHV VHJPHQW GHFUHDVHGVOLJKWO\LQWKHWKLUGTXDUWHUSDUWO\EHFDXVHRIORZHUUHturns from Cargill's fund investments against a strong comparative period.
&DUJLOO FRPSDQ\ZLGH UHSRUWHG QLQHPRQWK DGMXVWHG RSHUDWing earnings of $2.4 billion, down 7% from $2.58 billion during
charge of $161 million related to the U.S. Tax Cuts and Jobs Act.
Excluding the charge, Cargill's results were on pace with last
³2XUVWHDG\UHVXOWVIURPRSHUDWLRQVGHPRQVWUDWHWKDWRXUVWUDtegic direction is the right one," said David MacLennan, chairPDQDQGFKLHIH[HFXWLYHRI¿FHURI&DUJLOO
May 2018 / World Grain / www.World-Grain.com