Stock Analysis on Net
Stock Analysis on Net

Monsanto Co. (NYSE:MON)

This company has been moved to the archive! The financial data has not been updated since April 5, 2018.

Analysis of Investments

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Adjustment to Net Income (Loss): Mark to Market Available-for-sale Securities

Monsanto Co., adjustment to net income attributable to Monsanto Company

US$ in millions

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12 months ended: Aug 31, 2017 Aug 31, 2016 Aug 31, 2015 Aug 31, 2014 Aug 31, 2013 Aug 31, 2012
Net income attributable to Monsanto Company (as reported) 2,260 1,336 2,314 2,740 2,482 2,045
Add: Unrealized net gains (losses) on investment holdings, net of tax (2) (2) — — 9 —
Less: Realized net (gains) losses on investment holdings, net of tax 2 1 (3) (3) (6) 5
Net income attributable to Monsanto Company (adjusted) 2,260 1,335 2,311 2,737 2,485 2,050

Based on: 10-K (reporting date: 2017-08-31), 10-K (reporting date: 2016-08-31), 10-K (reporting date: 2015-08-31), 10-K (reporting date: 2014-08-31), 10-K (reporting date: 2013-08-31), 10-K (reporting date: 2012-08-31).

Adjusted Profitability Ratios: Mark to Market Available-for-sale Securities (Summary)

Monsanto Co., adjusted profitability ratios

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Aug 31, 2017 Aug 31, 2016 Aug 31, 2015 Aug 31, 2014 Aug 31, 2013 Aug 31, 2012
Net Profit Margin
Reported net profit margin 15.44% 9.89% 15.43% 17.28% 16.70% 15.14%
Adjusted net profit margin 15.44% 9.89% 15.41% 17.26% 16.72% 15.18%
Return on Equity (ROE)
Reported ROE 35.10% 29.47% 33.10% 34.79% 19.76% 17.28%
Adjusted ROE 35.10% 29.44% 33.06% 34.76% 19.79% 17.32%
Return on Assets (ROA)
Reported ROA 10.59% 6.77% 10.56% 12.47% 12.01% 10.11%
Adjusted ROA 10.59% 6.76% 10.54% 12.45% 12.03% 10.14%

Based on: 10-K (reporting date: 2017-08-31), 10-K (reporting date: 2016-08-31), 10-K (reporting date: 2015-08-31), 10-K (reporting date: 2014-08-31), 10-K (reporting date: 2013-08-31), 10-K (reporting date: 2012-08-31).

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by revenue. Monsanto Co. adjusted net profit margin ratio deteriorated from 2015 to 2016 but then improved from 2016 to 2017 exceeding 2015 level.
Adjusted ROE A profitability ratio calculated as adjusted net income divided by shareholders’ equity. Monsanto Co. adjusted ROE deteriorated from 2015 to 2016 but then improved from 2016 to 2017 exceeding 2015 level.
Adjusted ROA A profitability ratio calculated as adjusted net income divided by total assets. Monsanto Co. adjusted ROA deteriorated from 2015 to 2016 but then improved from 2016 to 2017 exceeding 2015 level.

Monsanto Co., Profitability Ratios: Reported vs. Adjusted

Adjusted Net Profit Margin

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Aug 31, 2017 Aug 31, 2016 Aug 31, 2015 Aug 31, 2014 Aug 31, 2013 Aug 31, 2012
As Reported
Selected Financial Data (US$ in millions)
Net income attributable to Monsanto Company 2,260 1,336 2,314 2,740 2,482 2,045
Net sales 14,640 13,502 15,001 15,855 14,861 13,504
Profitability Ratio
Net profit margin1 15.44% 9.89% 15.43% 17.28% 16.70% 15.14%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in millions)
Adjusted net income attributable to Monsanto Company 2,260 1,335 2,311 2,737 2,485 2,050
Net sales 14,640 13,502 15,001 15,855 14,861 13,504
Profitability Ratio
Adjusted net profit margin2 15.44% 9.89% 15.41% 17.26% 16.72% 15.18%

Based on: 10-K (reporting date: 2017-08-31), 10-K (reporting date: 2016-08-31), 10-K (reporting date: 2015-08-31), 10-K (reporting date: 2014-08-31), 10-K (reporting date: 2013-08-31), 10-K (reporting date: 2012-08-31).

2017 Calculations

1 Net profit margin = 100 × Net income attributable to Monsanto Company ÷ Net sales
= 100 × 2,260 ÷ 14,640 = 15.44%

2 Adjusted net profit margin = 100 × Adjusted net income attributable to Monsanto Company ÷ Net sales
= 100 × 2,260 ÷ 14,640 = 15.44%

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by revenue. Monsanto Co. adjusted net profit margin ratio deteriorated from 2015 to 2016 but then improved from 2016 to 2017 exceeding 2015 level.

Adjusted Return on Equity (ROE)

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Aug 31, 2017 Aug 31, 2016 Aug 31, 2015 Aug 31, 2014 Aug 31, 2013 Aug 31, 2012
As Reported
Selected Financial Data (US$ in millions)
Net income attributable to Monsanto Company 2,260 1,336 2,314 2,740 2,482 2,045
Total Monsanto Company shareowners’ equity 6,438 4,534 6,990 7,875 12,559 11,833
Profitability Ratio
ROE1 35.10% 29.47% 33.10% 34.79% 19.76% 17.28%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in millions)
Adjusted net income attributable to Monsanto Company 2,260 1,335 2,311 2,737 2,485 2,050
Total Monsanto Company shareowners’ equity 6,438 4,534 6,990 7,875 12,559 11,833
Profitability Ratio
Adjusted ROE2 35.10% 29.44% 33.06% 34.76% 19.79% 17.32%

Based on: 10-K (reporting date: 2017-08-31), 10-K (reporting date: 2016-08-31), 10-K (reporting date: 2015-08-31), 10-K (reporting date: 2014-08-31), 10-K (reporting date: 2013-08-31), 10-K (reporting date: 2012-08-31).

2017 Calculations

1 ROE = 100 × Net income attributable to Monsanto Company ÷ Total Monsanto Company shareowners’ equity
= 100 × 2,260 ÷ 6,438 = 35.10%

2 Adjusted ROE = 100 × Adjusted net income attributable to Monsanto Company ÷ Total Monsanto Company shareowners’ equity
= 100 × 2,260 ÷ 6,438 = 35.10%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as adjusted net income divided by shareholders’ equity. Monsanto Co. adjusted ROE deteriorated from 2015 to 2016 but then improved from 2016 to 2017 exceeding 2015 level.

Adjusted Return on Assets (ROA)

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Aug 31, 2017 Aug 31, 2016 Aug 31, 2015 Aug 31, 2014 Aug 31, 2013 Aug 31, 2012
As Reported
Selected Financial Data (US$ in millions)
Net income attributable to Monsanto Company 2,260 1,336 2,314 2,740 2,482 2,045
Total assets 21,333 19,736 21,920 21,981 20,664 20,224
Profitability Ratio
ROA1 10.59% 6.77% 10.56% 12.47% 12.01% 10.11%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in millions)
Adjusted net income attributable to Monsanto Company 2,260 1,335 2,311 2,737 2,485 2,050
Total assets 21,333 19,736 21,920 21,981 20,664 20,224
Profitability Ratio
Adjusted ROA2 10.59% 6.76% 10.54% 12.45% 12.03% 10.14%

Based on: 10-K (reporting date: 2017-08-31), 10-K (reporting date: 2016-08-31), 10-K (reporting date: 2015-08-31), 10-K (reporting date: 2014-08-31), 10-K (reporting date: 2013-08-31), 10-K (reporting date: 2012-08-31).

2017 Calculations

1 ROA = 100 × Net income attributable to Monsanto Company ÷ Total assets
= 100 × 2,260 ÷ 21,333 = 10.59%

2 Adjusted ROA = 100 × Adjusted net income attributable to Monsanto Company ÷ Total assets
= 100 × 2,260 ÷ 21,333 = 10.59%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted net income divided by total assets. Monsanto Co. adjusted ROA deteriorated from 2015 to 2016 but then improved from 2016 to 2017 exceeding 2015 level.