Bunge released its third quarter results on October 26 lifting its 2023 outlook though earnings were lower year-on-year.
According to reports, solid crushing results in Brazil, Asia and North America, and good vegetable oil demand helped Bunge offset weaker results in Argentina, where a severe drought slashed crop harvests this year.
Bunge is still working to close a merger with Viterra by mid-2024 that would create a $34 billion agribusiness powerhouse to rival ADM and Cargill.
"Our operating model enabled us to maximize our global footprint as we responded effectively to shifting market conditions," said Greg Heckman, CEO. "At the same time, we reached an important milestone in our strategic combination with Viterra, achieving overwhelming shareholder support for the transaction that we expect to accelerate Bunge’s growth."
Heckman said Bunge has made progress on other growth initiatives, including enhancing its footprint, building relationships with both farmer and end-consumer customers, and strengthening its digital capabilities.
Highlights of Q3 results
- Q3 GAAP diluted EPS of $2.47 vs. $2.49 in the prior year; $2.99 vs. $3.45 on an adjusted basis excluding certain gains/charges and mark-to-market timing differences
- In Agribusiness higher Processing results were more than offset by lower results in Merchandising
- Higher Refined and Specialty Oils results driven by strength in North America
- Significant progress on Viterra transaction and other growth initiatives
- Repurchased ~$600 million of common shares since Q2
- Increasing full-year adjusted EPS outlook to at least $12.50
