Last week, Switzerland based agricultural products company,
) reported improved sales for its first quarter of 2013. Being a
half yearly reporting company, all the financials of Syngenta
were not announced.
Sales in the reported quarter increased 6.0% year over year to
$4.6 billion. This was led by a rise in revenue across most
regions, viz., Latin America, Eastern Europe and Southeast Asia,
which can be ascribed to Syngenta's obtaining a leadership
position in these regions. Moreover, increased prices in both
Crop Protection and Seeds business segments added to the
Undeterred by a prolonged winter, Syngenta proceeded on its
growth trajectory in
where sales soared by 6.0% to $1.3 billion; sales in
Europe, Africa and the Middle East
increased by 10.0% to $1.9 billion, led by new product launches
and sales of those products that were delayed in the last
Sales in the
region grew due to good business in Thailand, Indonesia and
Bangladesh. However, this was offset by a decline in Australian
sales which suffered because of severe weather conditions,
resulting in 1% year-over-year decline in sales to $525.0
million. Business in
improved by 14.0% to $568.0 million largely due to the fungicides
and insecticides sales.
Sales in Crop Protection went up 9.0% year-over-year to $3.1
billion with a 16.0% rise in the Latin American region. Seeds
grew by 5.0% year-over-year to $1.3 billion with a 20.0% increase
in the Asia Pacific region.
Syngenta received an approval for its rootworm control
technology Agrisure Duracade in the reported quarter, and is
expected to launch the same in 2014. Syngenta maintains a
long-term sales growth target of 8.0%, which it expects to be
hurt by higher seed production costs.
Syngenta currently carries a Zacks Rank #3 (Hold). Other
agricultural chemicals companies worth a look are
The Andersons, Inc.
CVR Partners, LP
); each carrying a Zacks Rank #2 (Buy).
ANDERSONS INC (ANDE): Free Stock Analysis
MONSANTO CO-NEW (MON): Free Stock Analysis
SYNGENTA AG-ADR (SYT): Free Stock Analysis
CVR PARTNERS LP (UAN): Free Stock Analysis
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