Replies to post #5311 on The Rising Influence of Rising Affluence

[DewDiligence]

Thanks for posting about MON's FY3Q12 results and FY2013 outlook. I was listening to the live CC, which ended a short while ago. Will have more to say on this later.

[DewDiligence]

The trial re DD’s infringement of MON’s Roundup Ready patent and license is finally underway:

#msg-77460721

Note: this trial has nothing to do with the antitrust case in which MON is the defendant.

[DewDiligence]

MON slides from today’s annual ‘Whistle Stop’ event:

http://www.monsanto.com/investors/Documents/Whistle%20Stop%20Tour%20VI%20-%20Aug%202012/WST-Grant_Introduction.pdf

[DewDiligence]

This MON newswire from June is even more topical today.

http://www.bloomberg.com/news/2012-06-27/monsanto-sees-advantage-in-u-s-drought-testing-corn-output.html

›Monsanto Sees Advantage in U.S. Drought Testing Corn Output

By Jack Kaskey - Jun 27, 2012

Monsanto Co. (MON), the world’s biggest seed company, said it stands to gain from the worst U.S. Midwest drought in a decade because the difficult conditions may demonstrate its superior yields and create seed shortages for competitors.

Drought may cut seed output at smaller U.S. competitors, while Monsanto has the option of shipping more seed from Latin America, Chief Executive Officer Hugh Grant said today on a conference call to discuss third-quarter earnings. Monsanto also stands to win new customers who see the company’s seeds outperforming the competition in hot weather, he said.

“Our genetics tend to do well in warm, dry conditions,” Grant said on the call. “It’s not something that you hope for, but we have an edge in that.’”

U.S. corn futures have surged 28 percent since June 15 as a Midwest heat wave damages the largest crop in 75 years. Monsanto’s third-quarter earnings climbed 35 percent, topping analysts’ estimates, as sales of corn seed rose to a record, the St. Louis-based company said today. Monsanto will be able to fill shortages in U.S. seeds next year, Grant said.

The company will raise enough seed to supply a 96 million-acre corn crop, 2 million to 4 million acres more than anticipated in the company’s forecast for a “mid-teens” percentage rise in 2013 earnings, Chief Financial Officer Pierre Courduroux said on the call. U.S. corn growers planted 95.9 million acres this year, according to U.S. Department of Agriculture estimates.

Etc.‹

[DewDiligence]

MON's FY4Q12 CC is 10/3/12 at 9:30am ET. The guidance for FY2013 will likely be what moves the stock one way or the other.