Life sciences giant Bayer posted a better-than-expected first-quarter profit despite minimal revenue growth.
Revenue at the German-based company rose one-half percent to 11.94 billion Euros ($13.43 billion), or 3.2 percent after adjusting for currency fluctuations. That was a bit shy of the 12.1 billion euros estimated by analysts polled by Bloomberg News.
Revenue at the crop science division that employs about 1,000 workers in Research Triangle Park fell by 2.2 percent. Crop science revenue rose 1.2 percent after adjusting for currency fluctuations.
Earnings before interest, taxes, depreciation and amortization – and after excluding some costs – rose 16 percent to 3.3 billion euros, or $3.8 billion. Analysts were anticipating 3.1 billion euros.
The company said that the crop science division’s revenue was affected by “an ongoing weak market environment.”
Crop science revenue rose 1 percent in North America, or 3.8 percent after adjusting for currency fluctuations.
The crop science division, formerly known as Bayer CropScience, has been steadily expanding its presence in RTP, which serves as the division’s North American headquarters as well as the global headquarters for the seeds business.
Seeds sales rose 6.7 percent, or 11.9 percent after currency adjustments. But sales of herbicides, fungicides and insecticides fell.
Last year Bayer reorganized into three divisions – pharmaceuticals, consumer health and crop science – and spun out its plastics business into a separate company called Covestro.
Pharmaceutical sales rose 9.2 percent, or 12.2 percent after currency fluctuations, on the strength of sales of recently launched prescription drugs such as the anticoagulant Xareloto and the eye medicine Eylea.