Agriculture Seed Giant Monsanto Boosts 2013 Projections
By Amanda Brodhagen, Farms.com
Monsanto Co., the global giant in the seed business has raised its earnings outlook for fiscal 2013, citing increased growth in sales in Latin America and early U.S. sales.
Monsanto`s shares have been surging in pre-market trading Tuesday morning, as its reported earnings and revenues have exceeded 2013 forecast. The stock is trading at 3.9 percent in premarket trading after the announcement on boosted fiscal-year profit outlook.
The agriculture giant is now projecting for $4.30 to $4.40 per share, which is up from its previous outlooks of $4.18 to $4.32 per share. If this is achieved, this year will mark a third straight year of continued growth for the company.
Monsanto reported that corn seed and trait sales in Latin America and the U.S. are the key drivers of the jump in sales. The company is now seeing the benefits of its expansion efforts in Brazil and Argentina. Sales for the seeds and genomics segment increased by 14 percent in Q1 to $1.8 billion, with corn seed and traits net sales increasing by 27 percent over last year`s quarter to $1.1 billion.