Adds CEO quote, updates shares

By Karl Plume and Katha Kalia

April 29 (Reuters) - U.S. agribusiness Bunge Global BG.N raised its full-year adjusted profit forecast on Wednesday, citing strong oilseed processing margins and an improved biofuel demand outlook after the U.S. raised its biofuel blending mandate.

The Missouri-based company said it expects full-year 2026 adjusted earnings per share in the range of $9.00 to $9.50, up from its previous outlook for $7.50 to $8.00, after reporting a first-quarter adjusted profit that topped Wall Street expectations.

Bunge shares were up 1.4% in early trading, hovering near an 18-year peak posted earlier this month.

Global grain prices have surged since the start of the Iran war, triggering a flurry of corn and soybean sales by farmers who squirreled away last year's harvests due to weak prices and bolstering crop trading and processing volumes for Bunge. Soaring crude oil markets due to the war also sent soybean oil prices to the loftiest levels in more than three years, swelling crush margins for the world's largest oilseed processor.

The rally marked a turnaround for Bunge and peers such as Archer Daniels Midland ADM.N and Cargill CARG.UL after a global grains glut and trade disruptions had depressed earnings for the agribusinesses in recent quarters.

Higher U.S. biofuel blending mandates released by the U.S. Environmental Protection Agency last month after a lengthy delay also lifted uncertainty that had weighed on earnings in recent quarters.

But tariff battles and impacts from the ongoing Iran war remain risks.

The war "has meaningfully disrupted global trade flows, logistics costs and supply chains," CEO Greg Heckman said in a conference call, adding that the conflict would continue to impact fuel and fertilizer prices and may alter what farmers plant in the next growing season.

Bunge posted an adjusted profit of $1.83 per share for the three months ended March 31, beating analysts' average estimate of 87 cents per share, according to data compiled by LSEG.

Net sales from its soybean processing and refining segment were up 43.4% at $9.55 billion in the quarter from the previous year.

Softseed processing and refining segment reported quarterly net sales of $3.9 billion, compared with $1.52 billion a year ago.