Agricultural chemical manufacturer Nufarm has reported sharply better conditions in the first half FY21 as markets recovered across the globe and the company benefitted from its ongoing performance improvement program.
The Melbourne company reported revenues up 20 per cent on the previous corresponding period to $1.65 billion, reflecting revenue growth in Australia, Asia Pacific and Europe.
Earnings before interest, tax, interest, depreciation and amortisation was up 118 per cent to $233.6 million for the half.
The company’s Seed Technologies businesses, which develop new seed varieties including newly developed Aquaterra omega-3 canola oil, also grew operating profits.
Currency shifts somewhat masked the true underlying performance of the company’s North American businesses.
Managing director Greg Hunt said: “Strong demand and channel restocking in key markets has delivered a very strong first half result.
“We are realising benefits from the leverage of our APAC business to improved seasonal conditions and the earnings recovery of our European business is on track.”
Nufarm has manufacturing and marketing operations in Australia, New Zealand, Asia, the Americas and Europe and sells products in more than 100 countries.
Hunt said earnings were significantly weighted to the first half.
“We have delivered a strong first half result and momentum has continued into the second half, however this has not altered our expectations for the full year.
“We remain very focused on out key objectives of growing volumes and revenue, improving margins, generating more cash and delivering strong returns.”
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