Monsanto earnings fall 34% as South America plants less GMO corn

[Judi Lynn]

Monsanto earnings fall 34% as South America plants less GMO corn

Company that has come under fire for its genetically modified seeds said its earnings fell 34% in its first fiscal quarter

Associated Press
Wednesday 7 January 2015 11.03 EST


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A woman participates in a protest against transgenic corn last year in Mexico City, Mexico. Monsanto announced that its
first-quarter earnings dropped on lower sales to South American farmers. Photograph: Xinhua/Landov/Barcroft Media
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Monsanto said Wednesday its earnings fell 34% in its first fiscal quarter, as South American farmers cut back on planting corn, reducing demand for the company’s biotech-enhanced seeds.

US farmers harvested record crops of soybeans and corn last year, sending prices on those food staples to their lowest levels in years. That has resulted in farmers in South America and elsewhere reducing the number of acres they dedicate to corn. Monsanto said its business was also affected by reduced cotton planting in Australia.

The agriculture products company’s revenue fell more than 8% to $2.87bn in the period, on lower sales of corn seeds and herbicide. Analysts expected $2.96bn, according to Zacks.

The St Louis-based company reported a profit of $243m, or 50 cents per share, down from $368m, or 69 cents per share in the same period last year.

More:
http://www.theguardian.com/business/2015/jan/07/monsanto-earnings-fall-corn-south-america-genetically-modified-food

[dixiegrrrrl]

1. Good!

Hope the farmers all get united around this.

[DeSwiss]

2. K&R!

[NickB79]

3. The drop is from ALL corn varieties being cut back, not just GM ones

The US raked in a record crop of corn last year, driving the price to below break-even for many farmers.

At the same time, South American farmers planted huge amounts of GM soybeans to offset the reduction in corn plantings.

That land isn't lying fallow.