Company update: Monsanto
Crop breeder Monsanto said its lost $19 million in its fiscal first quarter, as compared to a profit of $556 million in the same quarter last year.
The world's #1 seed company said weak sales of its Roundup weed killer pushed it into the red for the quarter.
The company said Roundup sales were particularly weak in Brazil and Europe, where a global glut of generic Roundup herbicide, called glyphosate, depressed prices.
As Roundup profits have flagged, Monsanto has shifted focus to its growing biotech seeds division. The company is betting its future on developing new, patented crops that yield higher profits.
Total net sales were $1.7 billion, as compared to $2.65 billion in the same quarter last year.
Analyst were looking for the company to break even. Monsanto said it is looking for full year earnings of $2.85 to $3.11 per share.
Share of Monsanto are falling in reaction to the news, trading down a little over one percent.
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