Agricultural chemicals company Monsanto Company (MON – Analyst Report) is scheduled to release its second-quarter fiscal 2014 results before the opening bell on April 2. In the last quarter, the company delivered a positive earnings surprise of 6.35%. Let’s see how things are shaping up for the company prior to the announcement.
Factors to Consider
Monsanto reported improved year-over-year results in the first quarter of fiscal 2014. Adjusted earnings per share increased to 67 cents in the quarter from 62 cents in the year-ago quarter. The 7% year-over-year hike in revenues to $3.1 billion resulted from the launch of products and inorganic growth. However, the continuous product launches increases the company’s expenses.
In the first quarter of fiscal 2014, the company experienced a 12.4% year-over-year increase in operating expenses. These expenses are expected to continue increasing thereby affecting margins.
— Zacks Investment Research