logo
Sign in or Register

Already a member?

Sign in

Or sign in with your account on:

Not a member yet?

Register
    

 


Monsanto Q4 Losses Worse Than Expected, Announces $930 Million Acquisition

By  +Follow October 3, 2013 8:18AM
Share:
Tickers Mentioned:

Monsanto Co. (MON) announced on Wednesday the results from its fiscal fourth quarter that showed a widening loss and sales that came up short of analyst predictions as sales from the company’s Seeds and Genomics segment decreased.  Meanwhile, the agricultural product giant said that it was spending $930 million to buy farm analytics company The Climate Corp.

For the quarter ended August 31, Creve Coeur, Missouri-based Monsanto reported revenue of $2.20 billion, up  5 percent from $2.10 billion in the same quarter of 2012.  Diluted earnings for the quarter was $249 million, or 47 cents per share, versus a net loss of $229 million, or 42 cents per share, in the year prior quarter.

Wall Street expected a net loss of 43 cents per share on revenue of $2.26 billion.

The company’s sales in its Seeds and Genomics segment declined from $1.20 billion in the 2012 quarter to $1.19 billion.  Within that group, corn seed and traits improved from $588 million to $618 million.  Sales of Monsanto’s genetically modified soybean seeds declined from $142 million in last year’s quarter to $87 million in the recent one.  Total agricultural productivity helped boost sales, climbing rom $2.1 billion last year to $2.2 billion.

However, operating expenses rose from $1.14 billion to $1.2 billion.

Monsanto chairman and chief executive Hugh Grant remained optimistic, saying, “The strength of our broad global portfolio enabled us to deliver a third consecutive year of strong business results, and by building off our proven strategy we're confident the key elements are in place to carry that momentum through to achieve strong business growth in 2014.”

Separately, the company announced that it will pay $930 million in cash for San Francisco-based Climate Corp., a technology company that was the product of Google and other Silicon Valley engineers in 1996.  Climate uses technology to help farmers with growing seasons based upon weather forecasts and data analysis.  Monsanto plans to incorporate the data products into its FieldScripts precision planting platform to provide farmers with weather stats and agronomic data, which is slated for launch in 2014.

“The acquisition is expected to expand on The Climate Corporation’s leadership in the area of data science, which represents the agriculture sector’s next major breakthrough, and will immediately expand both the near- and long-term growth opportunities for Monsanto’s business and Integrated Farming Systems platform,” Monsanto said in a statement today.

CEO Grant’s aforementioned optimism didn’t translate to a rosy outlook in Wall Street’s eyes.  In fiscal year 2014, Monsanto expects to achieve EPS of $5.00 to $5.20 after approximately $0.14 of dilution related to The Climate Corp. acquisition.  Analysts were expecting earnings of $5.31 per share.

Investors initially focused on the earnings miss and soft guidance, sending shares to three-week lows at $101.78 before recovering to end the day at $104.04 for losses of only 0.96 percent on the day.  So far in 2013, shares of MON are up about 12 percent and twice fought resistance at $108.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer


Liked What You Read? Join Equities.com and Connect With Your Favorite Financial Experts FOR FREE! Members of Equities.com gain access to our leading financial news and content, active social investment community, proprietary research tools including the 2014 Small-Cap Stars, E.V.A. reports and more.

Results for MON
Penny Stockington
6 Jul 15 10:27:17
$SUTI Has Gained 66.67%, Since Our Penny Stock Blog Alert! Huge News: http://t.co/llIxl7cUOL $BAESY $BWP $MON
Mike Walson
6 Jul 15 10:16:00
A MUST read document, click http://t.co/PeWacytAhb. Thanks, @Emily. $JOBS $MON $WUBA� http://t.co/YQIbseiXe5
Mike Walson
6 Jul 15 10:12:27
$MON #retirement #stocks I am John, new researcher. Please review my work under http://t.co/YxCklRaV9n � http://t.co/7wgZlGV7yJ
Stock Dawgzz
6 Jul 15 10:09:50
Our Platinum Subscribers Saw Their Penny Stock Alerts Gain Over 200% In 2 Weeks! Big Update: http://t.co/Lhta1y8KaK $BAESY $BWP $MON
Stock Rocket
6 Jul 15 09:58:52
Our Penny Stock Newsletter Alerts Gained 200% In 2 Weeks! Get Our Next Pick Early: http://t.co/4eX1MHBloV $BAESY $BWP $MON
Breaking News Now
6 Jul 15 09:49:02
$MON: Stock in Focus - Monsanto Company (NYSE:MON): http://t.co/cr82VNqo0u
Market Int Center
6 Jul 15 09:33:00
Potential Monsanto $MON Trade Has 6.65% Downside Protection ( http://t.co/ZXV9X8xfVh )
Mike Walson
6 Jul 15 09:24:22
Hello from Emily $PX $INTC $MON $DOW #data. Take a look at http://t.co/YxCklRaV9n � http://t.co/xiof7rYei7
Mike Walson
6 Jul 15 09:20:14
What do you think about http://t.co/YxCklRaV9n? #overvalued #boomer #warrenbuffet #financial $BHP $MON $RIO� http://t.co/C4eOUBytnU
Mike Walson
6 Jul 15 09:14:58
Hello, it is Peter. I just finished http://t.co/YxCklRaV9n #personalfinance #equity $MON $UL� http://t.co/39oZTePqkT
Greg Levett
6 Jul 15 08:30:59
and $MON CEO on 'The Monsanto Years' - "@Neilyoung is my hero. But I think he has things to learn about agriculture." http://t.co/3HLRZVDWCc
Mike Walson
6 Jul 15 07:50:15
A MUST read document, click http://t.co/PeWacytAhb. Thanks, @John. $MON $DOW $UL� http://t.co/q8rPN9Inyj
Mike Walson
6 Jul 15 07:47:51
Hello from John $SAP $BHP $FB $MON #financialnews #socialfa. Take a look at http://t.co/PeWacytAhb � http://t.co/F5P4BiFbNC
iamanonymous
6 Jul 15 07:47:35
http://t.co/dx8MHML79y Hello from John $CSCO $MON #financial #economy #money #boomer. Take a look at … http://t.co/7phhupmWbC
Mike Walson
6 Jul 15 07:46:00
Hello from John $CSCO $MON #financial #economy #money #boomer. Take a look at http://t.co/PeWacytAhb � http://t.co/t30gCvjqYU
Mike Walson
6 Jul 15 07:42:16
A MUST read document, click http://t.co/PeWacybYSB. Thanks, @John. $MON $UL $AAN� http://t.co/sys7DFMfaG
Mike Walson
6 Jul 15 07:37:29
A MUST read document, click http://t.co/PeWacytAhb. Thanks, @John. $SAP $MON $DOW� http://t.co/SQ2rxSqIgw
Mike Walson
6 Jul 15 07:35:53
Hello, it is John. I just finished http://t.co/PeWacytAhb #overvalued #moneymanagement #economy $LYB $MON $MSFT $PG� http://t.co/CrZV6pQanN
Mike Walson
6 Jul 15 07:29:35
$MON #money #data #401k I am John, new researcher. Please review my work under http://t.co/PeWacytAhb � http://t.co/dUiZQGE1YK
Mike Walson
6 Jul 15 07:26:57
What do you think about http://t.co/PeWacytAhb? #401k #personalfinance #stocks $MON $GOOG� http://t.co/8T4S8lrxOD
anti Monsanto bot
6 Jul 15 07:14:00
RT @WKRBNews: Morningstar Issues “A” Credit Rating to Monsanto Company $MON http://t.co/KwIfO88qiB
WKRB News
6 Jul 15 07:13:19
Morningstar Issues “A” Credit Rating to Monsanto Company $MON http://t.co/KwIfO88qiB
Penny Stockington
6 Jul 15 07:10:58
$SUTI Has Gained 66.67%, Since Our Penny Stock Blog Alert! Huge News: http://t.co/llIxl7cUOL $BAESY $BWP $MON
Stock Dawgzz
6 Jul 15 07:08:04
Our Platinum Subscribers Saw Their Penny Stock Alerts Gain Over 200% In 2 Weeks! Big Update: http://t.co/Lhta1y8KaK $BAESY $BWP $MON
Breaking News
6 Jul 15 07:04:04
$MON: Morningstar Issues “A” Credit Rating to Monsanto Company (MON): http://t.co/H1liUcanzm
Stock Rocket
6 Jul 15 06:58:13
Our Penny Stock Newsletter Alerts Gained 200% In 2 Weeks! Get Our Next Pick Early: http://t.co/4eX1MHBloV $BAESY $BWP $MON
Stockaholics
6 Jul 15 06:55:56
$SUTI Has Now Seen 400% Gains In The Past 2 Weeks! Special Update: http://t.co/l1zbyeWEGo $BAESY $BWP $MON
StockNewsWires
6 Jul 15 06:12:01
$MON: Monsanto (MON) Stock Falls After Refusing to Raise Syngenta Bid: http://t.co/zwLIj1J16P
Trader Daily
6 Jul 15 06:11:17
Monsanto $MON Stock Falls After Refusing to Raise Syngenta Bid http://t.co/rU55q5bC47
TheStreet SpeedDesk
6 Jul 15 06:09:34
Monsanto $MON Stock Falls After Refusing to Raise Syngenta Bid http://t.co/90eoMIM0d1
Sleek Money
6 Jul 15 05:35:51
Brokerages Set Monsanto Company Price Target at $123.76 $MON http://t.co/48FEzEsNMP
Stock Market Outlook
6 Jul 15 05:34:31
Commodities Today: Markets Pull Back Sharply, What To Watch For http://t.co/VtrFBYzO7W $FCX $MON $POT
Energy Stocks SA
6 Jul 15 05:34:31
Commodities Today: Markets Pull Back Sharply, What To Watch For http://t.co/qMRJh32Iy9 $FCX $MON $POT
Quantpost Basic Mats
6 Jul 15 05:34:31
$FCX $MON $POT News: "Commodities Today: Markets Pull Back Sharply, What To Watch…" http://t.co/erRBQP22Sv Analyze: https://t.co/13AEzwbyD4
Seeking Alpha
6 Jul 15 05:34:30
Commodities Today: Markets Pull Back Sharply, What To Watch For http://t.co/fyiu3sxErn $FCX $MON $POT
Penny Stock Secret
6 Jul 15 05:04:35
$71,000 in ONE TRADE!! By Follwing Their Signals More Info Here http://t.co/SVqoMkrw2z .. $MOH $MON $MOS
Zonebourse News
6 Jul 15 04:25:03
#Montupet : MONTUPET : PUBLICATION DU NOMBRE DE DROITS DE VOTE AU 30 JUIN... http://t.co/WOa2NZLO3J $MON
Interactiv Trading
6 Jul 15 04:24:02
$MON #MONTUPET - MONTUPET : PUBLICATION DU NOMBRE DE DROITS DE VOTE AU 30 JUIN 2015 http://t.co/Bz2YHHNfam
Penny Stockington
5 Jul 15 23:34:14
$SUTI Has Gained 66.67%, Since Our Penny Stock Blog Alert! Huge News: http://t.co/llIxl7uvGj $BAESY $BWP $MON
Stock Rocket
5 Jul 15 23:26:27
Our Penny Stock Newsletter Alerts Gained 200% In 2 Weeks! Get Our Next Pick Early: http://t.co/4eX1MHBloV $BAESY $BWP $MON
Stockaholics
5 Jul 15 23:23:40
$SUTI Has Now Seen 400% Gains In The Past 2 Weeks! Special Update: http://t.co/l1zbyeF3OQ $BAESY $BWP $MON
ProVesting
5 Jul 15 23:19:04
$MON: Large Outflow of Money Witnessed in Monsanto Company: http://t.co/6ZCbl1up8I
Capital Market Labs
5 Jul 15 22:24:26
$MON Trade Card -> http://t.co/bKCxw2SydV http://t.co/QuyIvb4dIt
Stockaholics
5 Jul 15 20:29:02
$SUTI Has Now Seen 400% Gains In The Past 2 Weeks! Special Update: http://t.co/l1zbyeWEGo $BAESY $BWP $MON
Analyst Actions
5 Jul 15 19:39:01
$MON: Analyst action by Barclays on Monsanto: http://t.co/D8Bwm6hEh6 http://t.co/hIO65IIQVc
KT
5 Jul 15 19:08:22
RT @WrigleyTom: Earnings & Economic Calendar $SONC $BBRY $CCL $DRI $MON $LEN $BBBY $ACN $BKS $MU $NKE $SNX $FINL http://t.co/1xqyD0rrKG
StockNewsWires
5 Jul 15 18:19:04
$MON: Company Shares of Monsanto Company Rally 2.98%: http://t.co/Wp82wilkU5
Michael Cook
5 Jul 15 17:05:29
Our Penny Stock Pick On $GEQU Has Been Performing Powerfully For Our Platinum Members! Big News: http://t.co/91VffBsuoJ $BAESY $BWP $MON
Michael James
5 Jul 15 17:05:19
We have a MASSIVE New Penny Stock Pick, Coming This Week! Get It Early: http://t.co/NH4n77GxeB $BAESY $BWP $MON
Paul Henry
5 Jul 15 17:04:24
Our Penny Stock Picks Have Gained 3,600% In 9 Months! Subscribe To Get Our Future Picks: http://t.co/0VyTzPR97b $BAESY $BWP $MON
				
				
By  +Follow October 3, 2013 8:18AM
Share:

Comments

 

blog comments powered by Disqus

 

 Today's Must Reads

Microsegmentation: The Future of Cybersecurity?


How this Playboy Playmate Became a Better Stock Trader Than You

Long Term Rates Are On The Up…What’s Next?

The Modern Web: So Many Ways to Invest in Wireless Mobile Stocks

It's Time for the Rest of the Country to Legalize Weed

 

Do you expect a 10% correction by the end of 2015? in Equities.com Polls on LockerDome

About us

Equities.com is an advanced financial data portal and social network designed to connect self-directed investors with the world’s most innovative startup and small cap companies. Through our in-depth coverage of small cap markets, comprehensive research and stock valuation reports, state of the art issuer products, and world class events, Equities.com provides the social tools and insight that drive tomorrow’s investment relationships and opportunities.

Market Data powered by QuoteMedia.
Copyright © QuoteMedia. Data delayed 15 minutes unless otherwise indicated. Terms of Use.

Login or Register

LOG IN