Cargill on Thursday reported a loss of $51 million in the quarter ending May 31, compared to a profit of $376 million in the same quarter of 2014, according to a company release.
Revenue was $28.4 billion in the quarter, compared with $36.2 billion in the year-ago quarter.
For the full fiscal year ending May 31, Cargill had a profit of $1.58 billion, down 13 percent from the prior year. Revenue for the year fell 11 percent to $120.4 billion.
David MacLennan, Cargill’s president and CEO, blamed the quarterly loss on asset impairment related to the company’s enterprise resource planning system and an additional charge related to Venezuela’s currency as well as, more generally, slower economic growth in emerging economies.
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“The economic environment remains sluggish in many emerging markets where we have invested significantly over the past several years,” he said in a statement. “Even so, we aim for growth and profitability through these cycles.
“We are moving forward with good progress on changes begun last year to optimize the business portfolio, reduce costs and increase operational effectiveness.”
The company’s Animal Nutrition & Protein segment, which includes the operations under the umbrella of Wichita-based Cargill Meat Solutions, saw lower profits in the fourth quarter as high cattle costs in the North American market decreased beef’s competitiveness relative to other meats.
However, the unit saw higher profits for the full year, with strong performances in global animal nutrition; Central American poultry; and U.S. pork, turkey and egg further processing.