Juan Luciano on renewable energy policy
From Archer-Daniels-Midland Co ($ADM) Q1 2026 Earnings Call · · Castify Earnings Call
“We commend the administration and the EPA for advancing a renewable volume obligation that strengthens markets for American farmers and enhances America's energy security. The RVO drives demand for corn, soy, and other domestic feed stocks, and it supports a reliable domestic fuel supply chain that offers consumers dependable choices in their daily lives.”
On , Juan Luciano, Chairman, Chief Executive Officer & President at Archer Daniels Midland, spoke about renewable energy policy during Archer-Daniels-Midland Co ($ADM) Q1 2026 Earnings Call on Castify Earnings Call.
About Juan Luciano
Juan Luciano, chairman and CEO of Archer Daniels Midland, raised the company’s full-year 2026 adjusted earnings per share guidance to a range of $4.15 to $4.70, up from the prior range of $3.60 to $4.25, during the Q1 2026 earnings call on May 5, 2026. He attributed the increase to the continued execution of company priorities and a “constructive biofuels environment” following clarity on renewable volume obligations (RVOs). Luciano noted that the majority of a $275 million net negative mark-to-market impact from Q1 is expected to reverse in Q2, with the remainder reversing in the second half of the year. He also highlighted that the company sequestered approximately 300,000 metric tons of CO2 in Q1 as part of its carbon capture and storage efforts, and that ADM is on track to achieve $500 million to $750 million in aggregate cost savings over a three-to-five-year period beginning in 2025. Luciano commended the administration and the EPA for advancing RVOs, which he said strengthen markets for American farmers and enhance energy security. He also discussed uncertainties in the second half of 2026, including potential impacts from trade deals, energy prices, and consumer demand. On the Q1 2025 call, Luciano described strong RVOs as the most important driver for the biofuel outlook and expressed confidence that the EPA sees them as a priority. He noted that the industry was not running at rates to satisfy mandated volumes and that margins would need to rise to increase crush rates. Luciano also mentioned strategic decisions to optimize the network, including the closure of a crush facility in Kershaw, South Carolina, and the exit of domestic trading operations in China and Dubai.