Bunge Global SA BG reported first-quarter 2025 adjusted earnings of $1.81 per share, which beat the Zacks Consensus Estimate of $1.27 by a margin of 42.5%. The bottom line, however, marked a 40.5% year-over-year plunge due to weak results across its segments.
Including one-time items, the company posted earnings per share of $1.48 compared with $1.68 in the year-ago quarter.
(Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Bunge Global SA Price, Consensus and EPS Surprise
Bunge Global SA Price, Consensus and EPS Surprise
Bunge Global SA price-consensus-eps-surprise-chart | Bunge Global SA Quote
Bunge Global’s net sales were $11.6 billion, down 13% from the year-ago quarter. The top line also missed the Zacks Consensus Estimate of $12.8 billion.
Bunge Global’s Cost & Margin Performances in Q1
The cost of sales was $11 billion, down 12% from the prior-year quarter. Gross profit plunged 32% year over year to $597 million. Selling and administrative expenses were $380 million, down 13% year over year.
Bunge Global reported an operating profit of $328 million, which marked a 24% decline from $433 million in the year-ago quarter.
Adjusted total segment operating profit slumped 46% year over year to $362 million. Total segment operating margin contracted 190 basis points to 3.1% from the first quarter of 2024.
BG’s Segmental Performances in Q1
Agribusiness: The segment’s sales declined 16% year over year to $8.2 billion. Volumes were 18,277 thousand metric tons compared with 20,192 thousand metric tons in the year-ago quarter.
Adjusted operating profit for the segment declined 45% year over year to $268 million due to lower results in both merchandising and processing.
The merchandising business’ adjusted operating profit was $61 million, marking a 19.7% decline from the year-ago quarter as improved performance in global grains and financial services business was more than offset by lower results in ocean freight.
The processing business’ adjusted operating profit plunged 50% year over year to $207 million. Higher results in Brazil, Europe and Asia soy crush value chains were offset by weaker results in North America, Argentina and European softseeds.
Refined & Specialty Oils: The segment’s sales fell 4.6% year over year to $3.1 billion. Volumes were 2,130 thousand metric tons compared with 2,195 thousand metric tons in the year-ago quarter.
The segment reported an adjusted operating profit of $123 million, a 39.7% drop from the year-ago quarter’s $204 million. This was attributed to lower results across all regions, barring Asia.
Milling: The segment’s sales decreased 2% year over year to $375 million. Volumes were up 2.7% year over year to 898 thousand metric tons. The segment reported an adjusted operating profit of $15 million, marking a 46% decline from the first quarter of 2024. Improved results in North America were offset by lower results in South America.
BG’s Cash & Balance Sheet Updates
Cash flow used in operating activities was $285 million in the first quarter of 2025 against an inflow of $994 million in the prior-year quarter. The decline was due to net changes in working capital. Cash and cash equivalents were $3.25 billion as of the end of the first quarter of 2025 compared with $3.3 billion as of the end of 2024. At the end of the first quarter of 2025, Bunge Global’s long-term debt was $4.7 billion, flat with 2024-end.
BG Provides 2025 Outlook
The company maintains its previously stated expectation of adjusted earnings per share of $7.75 for 2025, indicating a 15.7% year-over-year decline. The Agribusiness segment is expected to witness a year-over-year decline due to lower results in Processing.
The Refined and Specialty Oils segment’s full-year results are also anticipated to be down from 2024, reflecting a more balanced supply and demand environment in North America. The Milling segment is expected to deliver an improvement in 2025 results.
BG-Viterra to Create a Premier Agribusiness Solutions Firm
The company also stated that it is in the final stage of the regulatory process on the announced combination with Viterra. The merged entity will boast an enhanced global network with a diversified agriculture network covering all major crops.
Bunge Global Stock’s Price Performance & Zacks Rank
Shares of Bunge Global have lost 27% over the past year compared with the industry's 13.4% decline.
Zacks Investment Research
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Bunge Global currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Agriculture Stock
Archer Daniels Midland Company ADM posted first-quarter 2025 adjusted earnings of 70 cents per share, which surpassed the Zacks Consensus Estimate of 69 cents. However, the figure decreased from earnings of $1.46 per share in the year-ago quarter.
Archer Daniels Midland’s revenues fell 7.3% year over year to $20.2 billion and lagged the consensus estimate of $20.7 billion. The top line was hurt by lower revenues across all its segments.
The Andersons ANDE reported earnings of 12 cents per share in the first quarter of 2025, a 25% decline from 16 cents in the year-ago quarter. Andersons reported a 2% decline in revenues to $2.66 billion.
One Agriculture Stock Awaiting Results
Hydrofarm HYFM is scheduled to report first-quarter 2025 results on May 13. The consensus estimate for its top line is pegged at $50 million, indicating a 7.7% decline from the prior-year figure. The company is expected to report a loss of $2.50 per share, implying a slight improvement from the loss of $2.60 per share reported in the year-ago quarter. HYFM has a trailing four-quarter average earnings surprise of negative 16.70%.
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