(Reuters) -U.S. agrichemicals firm Corteva posted a smaller fourth-quarter loss on Wednesday, helped by strong sales volumes.
Crop Protection volume increased 16% over the previous year, driven primarily by Latin America, on demand for new products, while seed volume increased 19% due to the expected increase in Safrinha corn planted area in Brazil.
The company’s profit has been dented since 2023 by a slump in demand for insecticides and fungicides as farmers have slowed purchases in the face of lower income and rising costs.
The insecticide maker said it is beginning to see stabilization in the crop protection industry, with continued volume gains in the fourth quarter, yet it expects price pressure will persist.
The company is among the largest crop-protection product makers in the United States, competing with the likes of Syngenta and German firms BASF and Bayer in the agricultural chemicals sector.
Shares however were down over 4% after the bell, as Corteva’s 2025 earnings forecast fell short of Wall Street expectations, signaling continued volatility in the agricultural market.
Corteva forecast full-year 2025 operating earnings to be in the range of $2.70 to $2.95 per share. Analysts’ expectation was of $3.13 per share, as per data compiled by LSEG.
“As we look to 2025, we acknowledge the fluid macro environment but still see agri market fundametals impproving,” CEO Chuck Magro said in a statement.
The company expects to repurchase about $1 billion of shares during 2025.
Net loss attributable to the Indianapolis-based company came in at $41 million, or $0.06 per share, for the three months ended December 31, compared with a loss of $253 million, or 36 cents per share, last year.
(Reporting by Mrinalika Roy in Bengaluru; Editing by Alan Barona)
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