Archer Daniels Midland Company (ADM) Bank of America 2026 Global Agriculture and Materials Conference summary

Business performance and operational highlights

• Achieved five consecutive years of steady earnings in Carbohydrate Solutions, supported by strong ethanol margins and effective execution on opportunities.

• Integrated the Columbus, Nebraska biorefinery into the Trailblazer Pipeline, making it the largest CCS-enabled biorefinery globally.

• Focused on growth platforms: decarbonization, precision fermentation, and BioSolutions, with ongoing investments and project announcements.

• Maintained high plant utilization rates, set production records, and improved operational reliability across global facilities.

• Exited underperforming assets and formed joint ventures to address industry challenges, particularly in cottonseed crush.

Market trends and industry outlook

• Crush margins have been pressured by weaker basis values for soybean meal and oil, driven by increased capacity and biofuels policy uncertainty.

• Expectation of improved cash margins as biofuels policy clarity emerges and demand for soybean oil and meal rises.

• U.S. may become a net importer of soybean oil if proposed RVOs are enacted, with imports serving as a buffer for domestic supply fluctuations.

• Soybean meal demand and export volumes remain robust, with record levels anticipated in 2026.

Policy and regulatory impacts

• Biofuel policy, including RVOs and the 45Z credit, is a significant driver for ethanol and overall business planning.

• 45Z credit expected to provide a $100 million tailwind, though future policy changes could shift focus to 45Q credits for carbon sequestration.

• Ongoing regulatory uncertainties around imported feedstocks and RIN credits could impact market dynamics.