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Planet Labs expands partnership with BASF Digital Farming

EditorNatashya Angelica
Published 21/05/2024, 17:38
PL
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SAN FRANCISCO - Planet Labs PBC (NYSE: NYSE:PL), an Earth data and insights company, announced the expansion of its commercial partnership with BASF Digital Farming GmbH. This collaboration is set to enhance BASF's digital agriculture products and services, leveraging Planet's daily satellite data.

The partnership focuses on integrating Planet's satellite imagery into BASF's xarvio® Digital Farming Solutions, aiming to support sustainable and efficient farming practices. With the world facing increasing food supply demands, such innovations are seen as pivotal in transforming agricultural productivity.

Planet operates the largest fleet of Earth observation satellites, which provides near-daily imagery to monitor global changes. BASF's xarvio® FIELD MANAGER platform, which serves over 100,000 users, will benefit from the enhanced operational reliability offered by Planet's data sources, including the Crop Biomass Planetary Variable product and PlanetScope monitoring data.

The Crop Biomass Planetary Variable product combines radar and optical signals to supply cloud-free, analysis-ready data feeds. This information assists agronomists and farmers in managing their fields more efficiently by enabling targeted use of crop inputs. Complementing this, PlanetScope offers near-daily imagery at 3.5m resolution, allowing for precise monitoring of agricultural fields worldwide.

Dr. Thomas Schilling, Managing Director and Global Head of Platform Engineering at BASF Digital Farming, highlighted the measurable benefits of using Planet's satellite data and expressed enthusiasm for scaling the impact through the expanded partnership.

Since 2020, BASF has utilized Planet's services to provide in-season insights and recommendations for various crops, aiming to sustain yields while optimizing the use of crop protection products.

Planet, founded by three NASA scientists in 2010, delivers geospatial solutions to over 1,000 customers across multiple sectors. BASF's xarvio® products, powered by advanced crop modeling, deliver agronomic advice to optimize crop production in a sustainable and profitable manner.

This strategic partnership underscores the growing importance of satellite data in advancing agricultural practices and the commitment of both companies to support growers with cutting-edge technology. The information for this article is based on a press release statement.

InvestingPro Insights

As Planet Labs PBC (NYSE: PL) fortifies its relationship with BASF Digital Farming GmbH to enhance digital agriculture, investors may be curious about the company's financial health and market performance. With a market capitalization of $563.8 million, Planet Labs has been navigating the competitive landscape of geospatial analytics.

An impressive gross profit margin of 51.53% for the last twelve months as of Q4 2024 reflects Planet's ability to maintain profitability in its core operations. This is particularly relevant as the company scales its partnerships and expands its offerings in the digital agriculture space. The revenue growth of 15.39% over the same period underscores the company's expanding market presence and the increasing demand for its Earth data and insights.

Still, it is worth noting that despite the strong gross profit margins, analysts have raised concerns about the company's profitability. According to InvestingPro Tips, analysts do not anticipate the company will be profitable this year, and two analysts have revised their earnings downwards for the upcoming period. This insight suggests that while the partnership with BASF may bolster Planet's strategic position, the path to net profitability may still be challenging.

For those looking to delve deeper into Planet Labs' financials and future prospects, InvestingPro offers additional tips and metrics. There are currently 6 more InvestingPro Tips available for Planet Labs, which can be accessed through InvestingPro's platform. Interested readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking a wealth of data to inform investment decisions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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