Delta and Pine Land Company, a leading commercial breeder, producer and marketer of cotton and soybean planting seed, today announced record financial results for the third fiscal quarter and nine months ended May 31, 2000.

Third quarter net income, excluding unusual items, was $0.89 per diluted share, an increase of 62% from $0.55 per diluted share in last year's third quarter. Third quarter net income including unusual items was $0.88 per diluted share compared to $0.51 in the comparable prior year period. Net sales for the third quarter increased 12% to $177.4 million from $158.6 million in the year-ago quarter.

The strong third quarter performance reflects the continued shift by farmers from conventional products to more profitable transgenic products. Furthermore, third quarter sales of cottonseed varieties containing both the Bollgard and Roundup Ready genes increased approximately 70% over such sales in the prior year. Combined operating expenses and interest expense in the third quarter of 2000 declined to $12.2 million from $14.7 million.

Net income for the nine-month period, excluding unusual items and the cumulative effect of a change in accounting principles, was $0.98 per diluted share, an increase from $0.58 per diluted share for the comparable prior year period. Nine-month net income including these unusual items was $2.09 per diluted share, reflecting receipt of $81 million from Monsanto net of related expenses, compared to $0.41 in the comparable prior year period. Net sales for the period increased 20% to $286.1 million from $238.6 million in the comparable prior year period.

For the nine months ended May 31, 2000, transgenic cottonseed sales comprised approximately 85% of unit sales compared to 80% in 1999, reflecting cotton farmers' continued adoption of transgenic technologies. Combined operating expenses and interest expense for the nine months declined to $34.7 million from $39.2 million. Transgenic soybean sales in 2000 increased to 69% of soybean sales up from 60%. 

Delta and Pine Land Company is a commercial breeder, producer and marketer of cotton planting seed. Headquartered in Scott, Mississippi, with multiple offices in seven states and facilities in several foreign countries, DLP also breeds, produces and markets soybean planting seed.

Company news release
N2763