Global agribusiness giant Bunge’s 2024 results dropped by almost 50% after quarterly earnings in its core Agribusiness segment were impacted by weak oilseed processing margins – particularly in South America – during its fourth quarter, World Grain reported.
During a conference call with analysts on 5 February, Bunge CEO Gregory A Heckman was quoted as saying that although the company continued to see the benefits of its global operating model, portfolio optimisation work and financial discipline, the reality was that it was operating in a “complicated global environment”.
As a result, Bunge now expected full-year 2025 adjusted earnings per share of approximately US$7.75, the 6 February report said.
“As we look at 2025, we definitely are in an environment that has less visibility than normal with the trade disruptions and some of the uncertainty around US biofuels,” Heckman added.
Bunge net income in the year ended 31 December 2024, was US$1.14bn, down from US$2.24bn in 2023.
Adjusted total segment earnings before interest and taxes (EBIT) decreased from US$3.03bn to US$2.02bn.
Heckman said the company’s merger with Glencore’s agricultural division Viterra, which gained regulatory approval from the Canadian government in January, was nearing completion.
“(We) continue to engage in constructive conversations with the regulatory authorities in China while we work through the final stages of the asset divestment process in Europe,” he said.
“We’re also in the late stage of the regulatory process for our acquisition of CJ Selecta, (which is a) leading manufacturer and exporter of soya protein concentrate in Brazil.”
Bunge was also expected to finalise its partnership with Spanish multi-energy company Repsol to develop new opportunities to help meet growing demand for lower carbon intensity feedstocks for renewable fuel production.
In October, Bunge also announced the completion of the sale of its sugar and bioenergy joint venture in Brazil to British multinational oil and gas company bp.
Adjusted segment EBIT within the Agribusiness unit totalled US$1.52bn in 2024, down 34% from US$2.3bn the previous year.
Net sales in the division dropped from US$42.76bn to US$38.6bn while volumes increased from 76M tonnes to 80.6M tonnes.
In the Refined and Specialty Oils unit, adjusted segment EBIT totalled US$739M, down from US$883M in 2023.
Net sales in the division dropped from US$14.6bn to US$12.77bn, while volumes increased from 8.9M tonnes to 9.1M tonnes.
In the fourth quarter of 2024, St Louis-based Bunge’s net income was US$602M, or US$4.36 per share, down from US$616M, or US$4.18 per share, the previous year.
