ADM Q2: Flavours Drive Nutrition Growth, Strong Crushing Margins Boost Oilseeds

Decatur, United States — 04 August 2026

Archer-Daniels-Midland (ADM) has reported significant year-over-year operating profit growth across all three business segments for the second quarter of 2026, demonstrating commercial and operational execution amidst favourable market conditions. Total revenue reached US$22.68 billion, a 7.2% increase from the previous year, with net earnings climbing to US$908 million. This performance has led ADM to raise its full-year 2026 adjusted earnings outlook to US$5.15-US$5.60 per share, up from the prior US$4.15-US$4.70 guidance, according to CEO Juan Luciano.

The Nutrition segment was a pivotal driver, with operating profit surging by 51% to US$172 million. This growth was primarily attributed to the strong performance of its Flavors division and advancements at its Decatur East facility, enhancing Human Nutrition offerings. The company notes that the continued emphasis on taste and sensory solutions underscores their critical role in product development, reformulation, and meeting evolving consumer expectations for efficacy and palatability in supplements. Animal Nutrition also saw a 50% increase in operating profit due to operational improvements and strategic portfolio adjustments.

Carbohydrate Solutions' operating profit rose by 22%, driven largely by stronger North American ethanol margins. This uplift was supported by policy incentives, including the Renewable Volume Obligation, higher global energy prices, and reduced US corn costs, making ethanol more competitive. While this benefitted corn wet-milling operations, the segment experienced a partial offset from lower liquid sweetener volumes and margins, particularly in North America, as reported by Food Ingredients First.

The Ag Services and Oilseeds segment posted a 129% increase in operating profit, reaching US$867 million. This substantial growth stemmed from robust crushing margins, higher utilisation rates, and favourable market dynamics. The quarter included approximately US$100 million in net positive mark-to-market and timing impacts within the Crushing subsegment. ADM highlights strong soybean meal demand, with record exports from Brazil and the US contributing to market strength for oilseed-derived ingredients.

What this means for United Kingdom

UK supplement brand owners should anticipate stabilised or potentially reduced raw material costs for corn-derived ingredients, such as starches and some sweeteners, impacting Q3-Q4 2026 production windows. The strong performance in ADM's flavour division signals sustained consumer demand for palatable and innovative supplement formats, necessitating investment in flavour R&D and ingredient sourcing to maintain competitive differentiation. Procurement teams should reassess long-term contracts for vegetable oils and soy proteins, leveraging the robust oilseed crushing market to negotiate favourable terms. Regulatory teams must monitor specific US policy shifts, like the Renewable Volume Obligation, for any indirect impact on ingredient pricing and availability entering the UK market.

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