November 11, 2009

AgFeed suffers huge drop in 3Q earnings

Animal feed and pork company AgFeed Industries Inc posted a 65-percent drop in third-quarter earnings, weighed down by higher expenses.

In the latest quarter, the company posted a net income of US$2.9 million, or 7 cents a share, compared with US$8.2 million, or 24 cents a share, a year ago.

The company said it earned 9 cents a share from continuing operations. Revenue for the quarter dropped 9 percent to US$45.1 million, while operating expenses climbed 29 percent.

Shares of the company closed at US$4.63 Monday (Nov 9) on Nasdaq.