Learn To Invest
Stocks Special Reports LICs Credit Funds ETFs Tools SMSFs
Video Archive Article Archive
News Stocks Special Reports Funds ETFs Features SMSFs Learn
About

News

Nufarm expects more growth as profit lifts

Trevor Chappell  |  26 Sep 2017Text size  Decrease  Increase  |  
Email to Friend

Page 1 of 1

MELBOURNE - [AAP] Agricultural chemicals supplier Nufarm (ASX: NUF) expects further growth in the current financial year after boosting its annual profit in fiscal 2017 despite a challenging year for the industry.

Nufarm's full-year profit for the 12 months to July 31 soared to $114.5 million, compared to last year's $27.5 million profit which was heavily impacted by restructuring costs.

Underlying net profit, which excludes one-off items, rose 25 per cent to $135.8 million.

Chief executive Greg Hunt says Nufarm is on track to achieve at least $116 million in net benefits from efficiency programs in fiscal 2018.

"Nufarm expects to achieve further growth in the current financial year and is continuing to assess opportunities that might arise from broader industry consolidation moves," the company said in a statement on Tuesday.

In fiscal 2017, Nufarm lifted sales in Australia, North America and Asia, which helped offset Europe's slight decline.

Sales in South America were ahead of the prior year but liberalisation of the market in Argentina affected the profitability of that business.

Mr Hunt said it was a challenging year for the industry, with stiff competition driven by lower crop prices and lower demand for crop protection chemistry.

But Nufarm was still able to grow revenue and maintain margins.

Shares in Nufarm were 13 cents, or 1.45 per cent, lower at $8.85 at 1024 AEST.

NUFARM EXPECTS FURTHER GROWTH

* Annual net profit of $114.5m, up from $27.5m

* Revenue up 11.5pct to $3.1bn

* Final dividend up 1 cent to 8 cents, unfranked

 

AAP logo image

© [2017] Australian Associated Press Pty Limited (AAP) or its Licensors. This is the Morningstar service with content provided by AAP where indicated. AAP reserves all rights, including copyright, in services provided by it. The information in the service is for personal use only, does not constitute financial product advice (whether general or personal) and may not be re-written, copied, re-sold or re-distributed, framed, linked or otherwise used whether for compensation of any kind or not, without the prior written permission of AAP. You should seek advice from a professional financial adviser before making decision to acquire or dispose of a financial product.

This service is published for general information purposes only without assuming a duty of care. AAP is not in the business of providing financial product advice (whether personal or general advice), and gives no warranty, guarantee or other representation about the accuracy of the information or images contained in this service. AAP is not liable for errors, omissions in, delays or interruptions to or cessation of the services through negligence or otherwise. The globe symbol and "AAP" are registered trademarks.

Email To Friend