Land O’Lakes Inc., Arden Hills, Minn., reported first-quarter profit more than tripled with gains reported across all segments, including Crop Inputs, where earnings improved due to higher volumes and favorable product mix in Crop Protection Products in advance of spring planting.
Cooperative-wide net earnings surged to $136 million from $37 million a year earlier. Sales rose 4 percent, to $3.9 billion from $3 billion.
“The operating environment and fundamentals are strong in each business segment,” said Beth Ford, Land O’Lakes President and CEO.
“The Ag sector is bolstered with our agronomic leadership in Winfield United, rising grain prices, and farmers investing in their crops in preparation for spring planting, and is well-positioned to take advantage of the most favorable market environment since 2014,” said Ford. “As businesses continue to re-open in 2021, the marketplace for Dairy Foods Foodservice is rebounding rapidly. Animal Nutrition has also seen continued growth in the lifestyle segment as people continue to invest in their animals.”
Overall, the company said improved performance more than offset the impact of higher supply chain costs across the portfolio. It said 2021 first-quarter performance was the strongest of the past decade.