Origin Enterprises reports 22% increase in revenues
AGRI-SERVICES group Origin Enterprises has reported a 22 per cent increase in revenues for its third quarter.
In a trading statement issued yesterday, Origin said it was performing in line with expectations and that 85 per cent of its annual profits would typically be earned in the second half of the trading year, ending July 31st.
Origin said third-quarter revenues increased by 22 per cent to €451.6 million, with group revenue at €959 million for the first nine months of the trading year, compared with €983.5 million in the same period last year.
The group said its outlook for the final quarter of the financial year “remains positive” and it was comfortable with consensus market estimates for adjusted fully diluted earnings per share of 44.5 cent.
The group said on-farm agronomy services in the UK “delivered an excellent performance” in the period, which had been underpinned by demand-led growth, and that favourable farming returns had combined with excellent growing conditions.
Interests in Poland also performed strongly in the quarter against a backdrop of “sizeable crop losses” due to a severe winter.
Origin said trading at its Valeo Foods division remained challenging because of a fragile consumer environment, but that Valeo had maintained volumes across core categories.
Welcon, Origin’s marine proteins and oils business, performed to expectation, but with profits and margins at lower levels than last year when its performance was “very strong”.
“Demand for fishmeal and fish oil remains strong, with a continuing positive outlook for pricing.”