Leading agricultural firm Archer Daniels Midland (ADM) today announced a leadership reshuffle, a move that comes as the company positions itself for "continued growth" .
ADM's chief executive officer Patricia Woertz is to extend her role to chairman of the firm's board of directors, succeeding G. Allen Andreas, who has resigned.
Named CEO and President of ADM in April 2006, Woertz has focused on moving the company closer to its strategic goal: extending its financial momentum and accelerating the growth of its BioEnergy business while expanding the its leading position in the agricultural processing value chain.
The announcement comes less than a week after the firm posted strong second quarter and half year sales. ADM on Thursday said its net sales for the three months ended December 31 2006 reached almost $11bn, up 18 percent from the previous year, while sales for the six-month period rose 14 percent to $20.4bn.
Net earnings for the quarter were $441m, compared to $368m last year. Net earnings for the six month period were $844m, up from $554m.
Woertz last week said that the firm is continuing to make progress along its strategic path.
In November, ADM announced a global growth strategy designed to boost its position in agricultural processing, including expansion in its cocoa processing business. The move is an attempt to "capitalize on the exceptional opportunity ahead" , as global demand increases for both food and fuel.
The firm identified three strategic areas that it said offer the highest potential for significant, value-added growth: expansion of the geographic scope of its core model, diversification of its feedstocks and growth of its BioEnergy business. Key to the growth drive will be technology and innovation.
And just last week the company announced the sale of its Arkady and distilled monoglycerides businesses to Caravan Ingredients, owned by Dutch bakery ingredients firm CSM.
The sale, at $55m, included the division's product lines, such as bakery enhancers, mixes, enrichments and distilled monoglycerides, as well as the existing customer base, brands, trademarks and other intellectual property associated with the business. No physical assets were included in the sale.
ADM said the move was designed to streamline its operations and focus on its core areas of expertise.