Ill. food processor's profit up 7 percent, but shares fall

CHAMPAIGN, Ill. -- Food processor Archer Daniels Midland Co. said Monday its second-quarter profit rose 7 percent as higher earnings from oilseed processing and rising demand for feed grains offset declining margins in its ethanol business.

The results, however, were just shy of Wall Street's expectations and shares fell almost 3 percent.

Profit for the quarter ended Dec. 31 rose to $473 million, or 73 cents per share, from $441 million, or 67 cents per share, in the same period a year earlier.

Revenue rose 50 percent to $16.5 billion.

Analysts polled by Thomson Financial had forecast a profit of 74 cents per share excluding one-time items on revenue of $12.75 billion.