Bunge’s quarterly profit fell due to weak oilseed processing margins

Agricultural commodities trader Bunge Global posted lower-than-expected fourth-quarter profit as weak oilseed processing margins in key markets impacted the company’s results in its core agribusiness segment, Reuters reported.

The company said its processing business will remain under pressure in 2025 due to weak margins and challenging economic conditions, as well as global trade tensions and uncertainty over biofuels policy, which are creating headwinds for agricultural traders. A global market glut of staple crops such as soybeans and corn last year drove prices to four-year lows. Adjusted earnings in the processing sub-segment fell nearly 60% due to weaker soybean processing results in the Americas and weak markets in Europe. Adjusted earnings in Bunge’s refined and specialty oils division fell 25%, partly due to uncertainty over U.S. biofuels policy.

Bunge shares fell 4.3% before the close of trading.

Earlier, ADM posted its lowest quarterly profit in six years also amid problems with oilseed refining margins and said it was cutting costs and jobs, following another trading giant Cargill.

Tags: Bunge