(Reuters) -U.S. agricultural chemical and seed company Corteva (NYSE:CTVA) on Wednesday reported a smaller third-quarter loss, helped by higher prices for its seeds.
Though global crop prices have scaled back from last year, they remained elevated compared to historical averages.
Corteva's third-quarter seed net sales rose to $878 million from $862 million a year earlier. However, sales volumes declined as a result of its exit from Russia and lower-than-expected corn planted area in Brazil.
Its crop protection segment, which sells insecticide and herbicide, reported an 11% drop in sales to $1.71 billion due to a decline in both volumes and prices.
The Indianapolis-based company had lowered its 2023 net sales forecast in October due to increased destocking propelled by a rise in carrying cost of stock for distributors, driven by higher interest rates and improved product availability.
According to analysts, farmers have delayed purchases of crop protection products closer to the day of application, resulting in a fall in prices.
Rival FMC Corp (NYSE:FMC) also flagged lower sales in South America, last month.
Corteva posted a net loss of $321 million, or 45 cents per share, in the quarter ended Sept. 30, compared with a loss of $331 million, or 46 cents per share, a year earlier.