Bunge Limited (BG) 24 Apr 242024 Q1 Earnings call transcript

Good day, and welcome to Bunge First Quarter 2024 Earnings Release and Conference Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Ruth Ann Wisener. Please go ahead.

Thank you, operator, and thank you for joining us this morning for our first quarter earnings call.

I to let accompany started, we know get slides have our we want you to that Before discussion. Events These Investor can Presentations. under Center the and on our be website at found at bunge.com

industry events, to of on forward-looking and Bunge's are includes you performance forward-looking its today's these review posted as financial to to uncertainties. the we Reconciliations X from website to the could view subject measures Bunge file most materially contained in comparable factors. differ that SEC with remind measure those on and our conditions. to GAAP like encourage I'd reflect presentation and information cause in statements current statements directly you These respect to presentation, well. various Slide actual concerning that are financial factors to has direct risks provided reports future and results that with non-GAAP additional you this

Executive are over On John to the call morning Financial this Greg. the Neppl, call Bunge's Greg Officer; I'll turn Chief and Officer. now Chief Heckman,

a great XXXX start we've We're Ann, market experienced which Thank to few I reflect want past strong for years. thanking focus than quarter the morning, amid team continued a and everyone. more Ruth and delivering to results, in good off another you, good environment by start of execution. balanced over the

platform, global and navigate can we and shifts and demonstrated capabilities speed. agility again demand supply team's with our Our in

longer can strengthen only customers on not term. business remains with value Our focus the we but investing all delivering great provide over today our while to so that stakeholders to solutions

midyear, with together, toward the well authorities as Viterra. planning confidence hit the we've progress our remaining we and We're ability ground day the for planning teams work to We we transaction very expect still the strengthened process. gaining to our announced on as working X with relevant excellent the on combination through regulatory We running integration are and moved the close to continue in only our are has with engage how pleased approvals. making

that to and our Repsol, switch our a ability on progressed our broke multi-energy the oilseed Spain, joint previously in ground strategic with other fuels growth projects announced We We on plant in renewable will announced company partnership we with a market. improve partner, global supply venture Louisiana, Chevron. processing

also India, enabling to more We oil customers in serve a state-of-the-art efficiently our our successfully commissioned region. growing refinery edible in food us

delivered core another strong Turning driven solid our across to performance businesses. We our results. by quarter,

also results We good saw noncore in joint venture. sugar our

fourth against million the we making Viterra of plan meaningful of $XXX the following we shares, the reported we quarter, since announcement repurchased transaction. addition, Bunge progress In the repurchase outlined

the place. year the in on of guidance work adjusted last are the into and demonstrating business. we the $X. quarter ahead to of see forward we we've the done limited, remain rest to and world, environment for benefit the of markets manage the maintaining of markets half the continuing EPS of remains Looking what our we the today, evolving supply-demand our our back year in full approximately discussed to curves visibility strengthen XXXX, Based dynamics the in many We're around

close hand through and detail, call additional walk results outlook now to with over in then financial John John? I'll our and the more thoughts. we'll to some

Greg, Thanks, good morning, and everyone.

on highlights to X. earnings Slide the turn Let's

compared Our $X.XX to quarter reported the per first earnings $X.XX XXXX. in quarter first share was

$XXX taxes, earnings million million EBIT EPS our associated $X.XX unfavorable with Adjusted of versus last difference mark-to-market an was or before interest share quarter $X.XX the Adjusted the in year. year. of and integration Viterra. impact announced related per a was costs timing quarter the included prior in with results $X.XX negative per $XXX combination business segment to transaction reported in share and versus Our $X.XX core and

million results $XXX were volumes Refined than more offset Asia North Asia. partially and last of up where year. by America America by lower crush were results a were by with Europe chains from our but as year. solid and and results slightly higher lower and results in quarter, were in line a processing year, Oils and offset than strong in offset value Specialty margins. in grains in value oils South merchandising, by global Agribusiness, chains from the driven primarily in Europe Results South higher lower quarter In results In were prior results lower last in Higher down North more had were America.

improved other in improved driven by program. in more environment. other America, reflected Higher year. the corporate related performance-based compensation. from primarily our expenses a and are ventures favorable were operations South origination results in margins market timing to The insurance last results Bunge higher milling Milling, and of reflecting In Corporate captive decrease

volumes venture, In sugar prices. sugar offset higher our ethanol noncore prices bioenergy and and joint more lower than

decrease compared The reflected $XXX to to devaluation. primarily rate For prior peso pretax discrete tax tax in the XX% quarter approximately The income effective million the tax year. related in $XXX lower adjustment Argentine the million expense the quarter, higher was of income. a due reported was to

$XX As slightly effective was down the to estimated compared million last in primarily to have of our midpoint increased due we the annual levels. of debt tax rate. result, interest expense slightly the average Net a range year of quarter

trends continued delivering you where EBIT the our EPS team's initiatives company long-term excellent and X, can months. to X with performance reflects position Slide growth. XX strong a see variety also to The while our the past over along of adjusted the trailing on turn execution Let's for years,

closing had we Viterra. In million the in of prior our from retained sustaining CapEx, details After health use growth to invested dividends, of CapEx funds million shares, we X resulted $XXX of generated million of environmental which flow Of paid $XXX includes in of and the $XX of to safety, $XXX maintenance, Slide in combination billion $XXX repurchased cash we cash of $XXX allocation. to first this Bunge commitment with allocating previously in achieving and operations. productivity-related million adjusted the million $X amount, quarter, million million flow. discretionary capital $XXX announced our our repurchase shares available. This

At Moving $X to RMI, approximately billion. net quarter Slide our exceeded or really end inventory, marketable debt X. by

leverage the X.Xx adjusted the reflects which net quarter. to was first of our end adjusted at EBITDA debt ratio, adjusted Our

X billion providing Of that was our close available upon liquidity Viterra loan commitments end, ongoing the to Slide to our amounts term $X the committed that billion, program These our to credit draw facilities highlights capital position. part become At manage includes us needs. $X.X to billion. $X.X quarter have billion currently, approximately available Viterra the the we secured us billion are quarter of end, unused at we CP of transaction. our we the at of to $X to billion liquidity all planning, ample had capital recently $X size Further, fund which doubled structure from will $X as in transaction. addition of of

to Please XX. turn Slide

For months, of adjusted adjusted well also of RMI weighted was well the cost of X%. trailing XX ROIC cost above ROIC X.X%. XX.X%, above our average was capital of capital XX.X%, average our weighted

Moving to XX. Slide

a XX.X%. cash produced months, $X.X For flow and billion the approximately trailing flow of cash of discretionary yield we XX

to and Slide outlook. XX turn XXXX Please our

remarks, current curves. of his taking margin Greg forward mentioned in environment into first results, As quarter account the

to full up results our to the previous the from year expect to outlook pending the to our transactions year. Milling, last EPS Specialty outlook due processing year corporate expected to regions. are from and record similar full close a previous margins our results results last full year be full primarily supply shift Note and to be outlook in In similar other, In from that most XXXX remain results outlook similar And and year, any particularly to are be are and last forecasted in previous in Oils, similar year. to We our down in during previous and continue year, excludes adjusted to $X. are Agribusiness, expected expected where are In results that of reflecting forecast prior expected approximately up be to lower full year to compressed down environment, U.S. from this year Refined year. and

in year, year lower ethanol venture & in prices. expected be our and full previous Bioenergy outlook are Sugar noncore, reflecting In line significantly Brazil with last from our results joint to down

and the expects adjusted XX%; annual which expenditures of XX% million $XXX is depreciation from down in an previous for approximately in the net and $XXX a capital to billion; million. $XXX effective XXXX, amortization billion to interest range tax $X.X following our rate of of the $X.X of expense Additionally, to expectation of $XXX million, company million range million; $XXX to

closing that, to over turn I'll Greg comments. things With for back some

Thanks, John.

Q&A, to few turning thoughts. offer closing a to want Before I

of consumers. find to customers as solutions value in we team's our even chain, ability serve As both the better and needs ahead, work in we of look we ends confident us farmers allow to the to capture at opportunities remain

proud of our position the efficiency to done our global with work increased platform. of We're we've strategically the business

with combination optionality will Our needs. our the crops, assets, with diversification help accelerate across us food Viterra more further geographies to world's and security us providing customers, address help

to our that to sustainability products the also will back practices prioritize combination and role while bridge a adapt value farm. enhance and as This growers consumers between bringing end CI produce new low

and $XX hectares. to we premiums million than technologies that measurement technical farmers finance precision techniques example, regenerative program help will investment adopt used XXX,XXX ag agricultural Brazil double provision free also to would our pay emissions. announced a investment to tools be recently For assistance, to in and more The producers the of reduce to

canola also helping pilot customers. source and In an also a for commercial sustainability can and Corteva successfully with and of benefits cover winter growers, U.S., partnership environmental to crops hybrids crops have end the similar of Chevron requirements health Southern established of Agriscience. revenue our soil we These in meet be additional

XXXX growing critical harvest team innovation, by the food, to for I We're the our the of on to to feed collaboration to program and committed deliver impressed as and to world. essential the commitment we be work the fuel together Bunge continue provide significantly mission season.

Q&A. And with to turn that, we'll

first The Goldman Sachs. today from Adam Instructions] question [Operator Samuelson comes with

first outlook. balance of as context today? as that, world of than in kind just of of months level of just year maybe margins Greg, thinking you given what appropriate view see forward John, you weaker guess, the actually kind just the you year just is of Would today? characterize unchanged us you first at with processing and ago? curve can So just them for the and on the oilseed kind full where I sits the forward And been you around X view quarter would results about looking the this environment the question, had book give a conservatism your Or the limited an

we which really year the between will was approximately for to time, differently. really What when talked see we of half a talked that X of come and stronger second don't first we we half, it was QX the QX. No, course, little What see of kind about and continue XX-XX of last it Yes. seeing see. did we about some out

world, supply to and demand. farmers bit at as course, if is you kind walk QX responding but look at as will by see softer, about still stubborn as prices approximately the setup soy, prices in and we current XX-XX right So as same about still get year They we lower responded the then a of lower now, on crush the the halves see to little those more being you And pretty selling. the far are X. of around be balance

So you transition And at multi-years that's kind of what happens farmer prices. as you've higher from higher retention. got

course, on spot, very is off And the selling, in not the you've the wait have moved buyers So lower. only have chain for paid supply prices to as the but other that now to farmers been the we're products The transition the of the buyers, buy to market spot finished gone stresses seeing of of. right? a got that, has really

So as holding anymore. those they're down inventories not as inventories people really safety pull

through and recently at saw in seen harvest have end So came of harvest the the and improve Europe Brazil there a of have lot of we around with we Brazil origination, FX pace origination and improved Brazil. and little change have the pushes been as

as up a far other expecting here are really those will farmer Argentina been but is little see U.S. there, help you happens valuation They've then continue programs, later of that and last held to margins heard similar the that Europe. be any then started on as year. kind marketing producer are as has the the up very harvest, the margins. in crush definitely the better will to pick be low weaker we Brazil did we margins got and that the on story key discovery the crop we in as So QX be okay watches but curves as government, the China, what nearby. government price get and in volatile, Argentina, been better. forward. into okay kind of usual, X and expecting and year. And curves as new Spot The has QX very, then the

has So by they're doing good of still the led the and and leg soy been in that. and job versus through that's are down a seeds. And seeds pretty while year, oil managing North Europe team but supply America, good strong nice really in of then last

kind that's things So right how of sitting now. we see up

seem you And leg. to on of you to a and for get 'XX with balance supply just the fats year? does How XXC And waste on meaningfully. kind like in in fat up diesel of the waste credit the feedstock pick particular, your point versus If can renewable does Asia other that oil implementation last view that to I'd and over love on looking vegetable just It feedstock demand of the oils. at the out pretty RD the accelerating demand how of start U.S. transition been have oils are

might at slightly higher And the oil. start Yes. level a on I

of on has supply strength coming. benefit soft really been the flat. from the in If oil at palm, a look is you the Palm some

while And continued grow. has that in growth stopped so palm supply demand domestic has to

been volumes exportable down the palm going So have of globally.

seen as America low level been of the around for be the U.S. North North that from CI yes, high we've the some S&D into as and in get then to not feedstocks a more your oil. primarily has is in specific And So America, UCO, to the question quite imported it tight support

CI food One of was fuel as that about as there talk the So market in the the did go things the saw believe the and well and is by market supply we we adding we that that would and into to food as importing past well market for low enough UCOB as seeing as do imported. feedstocks palm its capacity switching work other

seen we're it fuel that a seen big So the of I softer process we've the UCL. margins to seen amount record think and good RD influx are as continuing we've the into of not while the and vegetable oils little you've market, as

in coming here 'XX. X.X got gallons we've So billion online

gallons another So on another in we're got We're still on to in track running. to in QX. new QX billion RD We've have and expecting up 'XX. and up plant X then plant plant X come

in demand year. is there So the later coming here

Adam, I just say -- this is John.

XXC, of process there. things In still terms in are

as will I think have certainly But oil know, we're that a going under few meaningful optimistic forward. a still role veg there's you things under review. --

that logical SAP. RD be closely. because, like in reset future the ultimately watching we're to is the will BD found the supply So And industry and I that and get follow-on clearly, for ample levels everyone think RVO

hopeful we're that sees So as EPA that the well.

Ben Bienvenu next The comes from with question Stephens.

Or environment, balanced through of expect the of is triggered we key the into give year enhance of through as year? there visibility? you maybe to And the the visibility that up a on guidance we're to points you is of the to reduced question are on the the if focus follow have all into want back what that, that have things market your in inherently the visibility insight more visibility us that milestones might some Recognizing those expect of move when year. I Adam's around kind and and that through level are half so, byproduct year?

Yes.

we've definitely years. had You're for this a visibility correct. There's year of less into than couple

kind much not all beyond So months. X at of

North as change and the the crop and next American signals, America marketing. their North here of marketing sort farmer farmer I as about crop think of behaviors out and progress that think then kind send rolling the behavior that that see they the in coming changes whether from we will off stocks as that's things the of the a

be farmer we been is in it logistical see making who's the come and the will holding corn in what the crop in about they're the Argentina. And in safrina they're Argentina, moving, soybeans, historical in off again, the then pretty producer storing, As and what decisions coordination challenges which Brazil marketing Brazil.

way what place regime programs there's government, see You've valuation. the new and the government got in so you there in if

So on more definitely it in other interesting end -- a markets as of It And year of transition the the balance year. an get will supply right, consumer, and the is the as be demand. they well.

more we back shift bit to from traffic and been see where brands at they've to eating slow a little in what we're down You brands. store finally switch little home. of the down seeing seeing And and a our that consumer, a hear continue to customers less seeing trade to private a to foodservice, QSR and from label the then finally

their of the it side. like get So how and out But the starting crop to it in the how everyone's crops getting see progresses finding and Northern finish and we'll kind how Hemisphere. harvested sorted we demand here planted hemisphere on we're southern it supply these way feels in get the and

repurchased good. Very half share repurchase of by believe was on John, in last of $X a $XXX the to repurchase million lot the stock expected you program, to the during sense. XXXX. quarters. goal of XQ, of to Makes stock made middle your progress billion repurchase billion $X I of X

expectation does here ahead that repurchase we you're of of that or the you billion of pull term? can the communicate the remaining Given in activity? cadence mean pause $X to short forward the timing around the we What's schedule your buyback best of it,

I we forward. going things some progress timing Yes. a the that little depend that. pull to and around how of transaction on think possible But could It's on really Viterra bit it's

make but target leverage as know, I know, going got to close we've the at ratios play hard as M&A of today with we'd you think pipeline we a hit in got projects close that the of of as CapEx, always to to not like on. because today sure commit we've it's only other you we've got the well, transaction. that And stuff deal,

It's part we'll the and allocation, transaction. this of an So we'll forward, keep the whether close before it's looking of it we go for after watch closely. or important here as opportunities

America. from question next with of comes The Bank Salvator Tiano

wanted to transaction ask would about the guess, So I yesterday view be I firstly, that announcement of Viterra uncompetitive. Canada, their about

west procurement the Western canola anticompetitive meal. they on Canada side said the of production Eastern for side oil and the think on on and negative I of

milestones these this about firstly potential remedies? little And So a that you given you the their are be outcomes with their timeline? -- transaction's the Or can impact talk may I to resolve do could guess, also, the what get can away there how view, nothing? with Is -- And some bit are issues? you what what them to provide and a -- chance have have divesting negotiate you do here?

XX might I Yes. higher Brazil, to those progress in EU. of a we're a of Canada, jurisdictions I little level, the some ones, look, are start you clearances this remaining at we we the and big and pleased unconditional with the XX, got at we've XX mean course, got U.S., Of of making. China point. kind if have issued of file the

is review. If you post-closing remember, Argentina

the it, side, product with concerns refined good From look, while we the indicates we don't of any we're Competition overall, grain is the meal get that our the oil majority doing step of to is at special purchasing that risk So but and know had the through exactly that, deal. that Report seen the good green they there look process sales you light, a of and ports, anything Canada we'll economics regulatory the specific, sales. in the of much it's haven't completed sure Bureau material news when no as on the what

we'll as the forward greater there to happy all and on and concerns those have raise as topics raised, So to where be they engage look regulators we with detail, concerns. were in been discussing we

with chains. the Canadian increase good be resilient So jobs. to of and provide of when this be Markets good the of continue maintain is We'll invest transaction continue Canadians you able end in and our boil capacity efficient Canada, them aren't right? throughout to food, thousands and will leadership easier. to ag day, any supply at getting all our and for we'll more to

and be forward we So early for don't It at, about feel to would just look the that, remedies where good Canada. it's details. we're to engage it's -- too but in we on any really on need to -- speculate see

the Okay. to cover I Perfect. And also wanted crop. about ask

to mentioned type that this start went this at think And the you these line? point the how of just benefit products well. actually I'm products kind trial what's the thinking monetized? can economics, like very do wondering, bottom to and the regard which with you start You of be winter could commercializing seeing some

broke canola? right You the question winter beginning. up at Was the on

exactly. Yes,

pleased performance we've running the were producer we pleased phase, in with with canola, and reaction. winter Look, production winter the the pilots of Yes. on We've trial very the canola. been the and been the

able talk Gulf. And bit about as to -- point little in so for to winter to it's the expansion I those, visibility cover we're our to the be to programs plan eventually serve scale any be those but the building up towards there now crops, canola impact that. And will the and get course, to then we the the our scale add, might producer that get Destrehan And a financials, to coming of and that early and up, in to the campaign. by uptake ability the we'll

as that's the a bit well. future little in So off

a bit So little build of we've time that capacity. as got we

from question with Stanley. next Haynes Steven The Morgan comes

in just before, Earlier, as global it. crush we if we this the year, side the come the your kind coming was of in to of bit U.S. talked There's I more more comments of a Argentina of a kind wondering side capacity the back market. of equation. bit the potentially a factor oil could about meal some

you . inclusion the about how opportunity are in meal kind and half? of domestic for export both thinking So second

you. Thank No.

seeing And 'XX, demand I prices soybean lower good. work. a mean I meal appears far doing out the their there, you it think higher So are pretty in here inclusion. called

profitability maybe look roughly they're expect the thing global When margins down if a stable. with better. and like are gets now, probably you globally, numbers expansion as are The regions animal there. we you some has and segment bottomed, poultry hog better, really look And margins and China and are the a at pork it all little then up animal for in poultry flat, Right the other up pork little bit. except together, poultry profitability feels

So like I okay is demand meal the feel there.

You talk to as Argentina, the up liquidate about world and last crop the of course, the and starts make year, Argentina for it to run had the rest when didn't sell farmer that of harvested crop.

We and expect be to run some harder in Europe. it of at expense areas, better, could Argentina this will year, the other and perform which come in may so that possibly

our will serve are So platform margins is that's But our there few as we our that be that's maximize in customers. and I some last shown of we've the and trade-offs. we adjust can the is where run the think beauty years what system global

next with The Tom Citi. comes from Palmer question

I wanted little quarter, a to bit just ask incremental on you of the note second softness. maybe did

come a it Is certain about we should that, certain regions maybe down particular? thinking be it's or driving in bit? segments where what's Just

Tom, is this Yes, John.

more If we first it's the timing. largely, been cadence quarter ended And in makeup a more by toward you QX the it's look kind hasn't when at of XX% much the quarter, up changed versus really for tilted segment, half. the We so QX. little But the of bit even XX%, total. --

in softness bit those X And we so a merchandising over-delivery bit in of QX QX items. seeing little and across in processing. saw where of little We're a

was -- that. hard really of on a our But So predict It's view based on to merchandising we'll bit some we'll versus that QX. always of a down timing. forecast, current little in see little a bit processing, more in QX see

the hold We're else And I April. everything time really of there's here. right only at still will steady. think fairly end

of a So to couple months here yet how out. shake things we've got see

later could where then bit expect do there visibility Is improved at this What's that point an that? environment And we maybe uptick, of over in I that guides you to kind really shift maybe a a into Understood. 'XX? any through, the pulls just consistent ago. of that? there as driving then And being little kind is quarter this read of year with that guess, of really XQ

on historically of in things couple America. A North of course, QX,

that like U.S. the the new and you has look gets pressure crop of new oil we new got then at then not same got you here the acres the economical And another coming up crop If amount harvest. producers as that crop another in on time, close to off. the are, about other, talked planted side at QX crop those imports. coming soybean And RD being as coming North carrying, this also in like plant the UCO you've assume harvested with put in that our the market grown, with marketing stock where and on up at while the That's America point, then plant QX. you've

talked especially just soft a get pull globally, SMEs kind fairly out North on And supported been what's outside So we with of earlier the about be globally are little with the tight. for you of tight we there everywhere as That's bit oils. in and QX. feel like could the then that constructive oils for palm demand overall pretty oil America

Heather with question Jones next Jones Heather Research. comes from The

I demand. want stick with oil to

and you be have the you whack it to soybean And closed? that values about unusually Greg, oil. the oil relative yes, like seems canola Chinese out palm trading mentioned So And UCO. -- of animal that just to relative also and at fats. seems historical is to a

take think And into that will is period? there longer so price rations wondering to if itself back an food or opportunity just soy a for you

product are our the products new come around have with enhancements. of is we or think have as on prices from working it's driven driving really customers one that volume back, seen I No, now, things we're food them the whether programs

projects at kind really So whereas we around the they're inflationary, cost looking focused reduction, driving saw had now were when volume. the of all we

see of is feed the may thing on with more that other profitability we animal The come as well. into back rations side, the the

we we we the good could generally -- think historically So are demand. for one prices thing know, lower

both the kick we'll see markets. food the support we I think but you're feed think quick from in, will right track. get It's I it the how on and some

a Okay. And X-part I question. then have

I you And I with And how should little when U.S. all the you are in increased just next coming plants you was new like the full you you into for just full the are thinking magnitude be wondering thinking year. okay. then flows about about what months. that year? months. with on X come year, Argentine Argentina asked because you're the the and think there's crush think, margins few meal you And thinking crush So But wondering noted, beyond how about the several market mentioned of visibility

Just about those side? margins oil be you to all the those how wondering, there? And are interplay how thinking think you're by just the -- do going lifted

Yes.

there'll we be down of There outlook an a the big chain of demand picture with we supply can't some what some talked in competitive. little a all this take think out or at feedstocks their projects course, carbon our we've animal uptake currently. continue of other balance, kind whether compete is stocks We profitability, earlier then of CI to on the some they RD and pace bit price. of other the their But little we've a are liquid around animal trying that meal to continuing what remember, Of don't a I is, the these side if come that at of pulled bit side globally. put globally. to was other really seeing on going everyone's right? on. the lower the is where palm And about the then pace, then know food And being on from feed low side. they fuels expansion be same on from can some side, growth got And thing talked the from oil demand on situation tightness, and

the feedstocks get some then in around moving of demand have develops globe or that CI low the So been country continent. projects as developed, in

So these flows constantly are changing.

we're So expect both be dynamic really oil. oil do pretty we and to glad and be meal on to from the on -- it operating continue global footprint, a we're side,

Theurer Barclays. Ben The next question comes from with

Greg, John.

obviously of growth pending investments, update as of projects the follow other to pending, have increase, we allocation. results. like have there? as to a for terms for I when but you the relevant the do to think What playing Can wanted other obviously, you still I current projects capital going Just the you on contribution productivity they're cetera. know year, be have this et And us role seems just mean, the Viterra bunch CapEx somewhat you of to up in are some elevated. a which out

just So be . first that would around framework. That question. my

Yes. Sure.

we Ben, know, announced But commissioned that in so plant, that addition few globally. recently. mentioned, plant Greg we've Destrehan, the on that number groundbreaking finally that ones in to relatively Krishna a We've ago. a we've you underway. a here Indiana expansion one SPC going is on got weeks other obviously, as mentioned the was of the plant projects, got a small which Morristown And

recently, course, underway. that oils then, and in to the unloading that's course, Those the oil, Avondale acquisition an specialty going in the expansion of in Netherlands expansion in Amsterdam, complement plant the expansion we're greenfield Of at are specifically had project our plant on -- barge also Destrehan the working that's we there. And the facility. Destrehan, port at

bigger in things of process. the of are the Krishna. rest really all side because expansion those underway some on the we're rest multiyear really commissioned. than those builds. probably So are little all the of other a CapEx those Those are online The are And are before really Avondale of those but completion sooner, the come those of are really talking -- will XXXX

and that looking are have it deal this Whether and then, course, up sitting there the 'XX previously is after or the to late yet but year. but so running. all we CJ on that hoping happens as are close And we those the optimistic going later very before there. that's we're things And side Selecta still Viterra progressing be we're progress is be track of announced M&A well. to good, to probably out They're about that on before yet seen,

merchandising, then Okay. of because into last question, into and of actually like Perfect. half cadence it of stabilized feels about you Very kind softer year back And improved think second the was how little clear. XQ do now my it Agribusiness sequentially. a the within merchandising,

kind less more So is levels nicely good side, year to that way it? Agribusiness more Is fair same get cadence the and of are and a by said your to as think last you Is within and you of XQ or the this and about of it predominantly what that within think you that to merchandising. onset would takes to being Or we now? what annual stable the business? puts assume like processing the it guidance driven at like that within the down about have

in I got in We've opportunity should tough on I'd don't view be be And said, And to, were We right expecting going we're pretty fairly we've still good were a that at sequentially ago so always I with in now, pretty half I first just of a to a relatively as -- like of opportunity. the It's months QX, QX, -- like that's think forward But we're out, second good start. call our one. so say merchandising aggressive year. a where we to the a pointed year, go, there there. some consistent pulled some off half, It's -- to Right modest, we total. ago. here year year be out track we'll the there's but we year. see. of you the quarter-to-quarter. say, timing versus couple feel for overly I'll the start all now, we're it's then always last Yes, from QX with of

next Strelzik comes with Andrew BMO. from The question

investors just be I -- demand concerned but market a talked trying from I a side, we've the a that I outlets seem more renewable wanted lot just guess to seems about I'm time. perspective, go know about as to about to diesel think bit little back a oil inclusion to soybean given in one the moving be And to forward. feedstock

soybean talked globally So vegetable Do the later tightness outside on a about side. more you the my the You U.S. is year? opportunity oils I this see U.S. to exporter the more for oil the question guess meaningful become on export

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it. Got

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you are that doing we will glad we I are tell Now really that.

what improve or to where plant global in doing capital So is an the personally, for building where to today just decades cost a want exist term. investor. is our continues stand-alone for we're our a that that's for in place the footprint long plant we to stand-alone be being I it position I wouldn't as is. We like a And very put guess ground going position our that putting we're thoughtful

imagine, at the margin to well as fairly but on in hold, those that those continue could the projects stages, that that Andrew, least our would now. this we've would there early closely. really, on unless and that you not that where think proposed maybe And expectation was And underway put or completed, were are be is things things that we get watch seen I'd get anything just number today we going with a of I environment change. part those for probably done are add

This turn would to over remarks. for Greg session. closing any concludes question-and-answer to Hackman the conference like back I the

you look us everyone and again for to today speaking your forward for Bunge. soon. thank with joining We interest to in like Just

day. So have a great

now today's presentation. has conference concluded. Thank you for The attending

now may disconnect. You