ADM (ADM.US) expects profits to decline for a third consecutive year and is planning to cut jobs to reduce costs.

Intelligible Finance learned that Archer-Daniels-Midland (ADM.US), one of the world's largest processors of oilseeds, corn, and wheat, said it expects profits to fall for a third consecutive year and will cut jobs as part of a plan to save up to $750m in costs over the next three to five years. The Chicago-based grain trader said it plans to cut 600 to 700 jobs globally this year as part of the cost-saving plan. ADM, which has seen profits fall for a second year in a row, is following larger rival Cargill Inc. as rising grain stocks have depressed prices and reduced the bargaining power of traders. The company has also faced a crisis including an accounting investigation that has wiped billions of dollars off its market value. "With a weaker global market environment and policy uncertainty in 2025, we will focus on improving operating performance, accelerating cost savings, and simplifying our portfolio," said Juan Luciano, chief executive, in a statement. ADM said it expects adjusted earnings per share of between $4 and $4.75 in 2025. The midpoint of the forecast is below the $4.74 per share in 2024 and also below analysts' average forecast of $4.66 per share. Adjusted earnings per share in the three months ended in December were $1.14, down 16 per cent from a year earlier. While this matched analysts' average expectations, it was the lowest fourth-quarter profit since 2018.