Bunge Q2 Results

Bunge report better than expected agribusiness returns in it's second quarter, although returns from it's fertiliser business were weak.

Second quarter results in grain origination, oilseed processing and distribution were significantly improved from levels seen in the preceding three quarters, although lower than an exceptionally strong period last year, it says.

The fertiliser operating loss in the quarter was due to the combination of high cost inventory and decreasing international fertiliser prices which negatively impacted margins, it added.

In edible oils improved results in Europe and North America were more than offset by lower volume and margins in Brazil, which suffered from aggressive competition, they stated.

In milling higher volume was more than offset by lower margins. Wheat milling margins in the same period last year benefited from lower priced raw materials purchased earlier in a period of rising prices, they concluded.