Monsanto's profit turbine corn in 1st quarter

Corn seed sales to South America turbinaram Monsanto's results in the first quarter of the fiscal year 2013. The company, a global leader in seed, yesterday reported a net profit of $ 339 million in the period, 169% greater than the gains of $ 126 million recorded a year earlier. Rising prices of herbicides also helped in the quarterly result.
The marketing of the company's corn jumped 27% in the quarter compared with the same period last year. Monsanto added that the marketing in United States is also on pace above registered a year before. The good results have made the company to raise its profit forecast for 2013. The multinational, headquartered in St. Louis, now foresees earnings $ 4.30 to $ 4,40 per share, up from $ 4.18 to $ 4.32 referred to earlier.
The low productivity of last year in the United States corn belt-caused by drought in 50 years-took the soybean and corn prices up, what's next for stimulating the demand for seeds in the United States and South America. Monsanto said it expects a 5 percent to 10 adjust% corn seed prices this year, with rural producers seeking premium varieties, for best performance.
In South America, who quickly comes adopting genetically modified varieties, Monsanto took advantage of the increase in volume and prices of seeds. In the region, says the multi, producers seek to acquire varieties with more than one type of genetically modified feature.
The agricultural productivity segment, consisting of herbicides and crop protection products, grew 31%, with sales of $ 1.18 billion.
Even amid an increase in glyphosate prices, Monsanto should not come back with strength to this market. In 2010, the company decided to reduce the manufacture of the product, due to a sharp drop in the prices of the herbicide. Hugh Grant, CEO of the multinational, mused that the appreciation of the chemical, which has contributed to the good results of the first fiscal quarter of 2013, should persist and boost the company's earnings during the year.