Origin Enterprises Posts 12.6% H1 Operating Profit Boost
Agri-services group Origin Enterprises has posted a 12.6% boost in operating profits during its first half performance, reaching €2.3 million.
The company’s revenue grew by 3.98% to €586.9 million, while its total group operating profit rose 5.81% to €3.97 million in the six months ended 31 January 2018, year-on-year.
The group appointed Rafal Prendke as CEO of its continental European division and posted an interim dividend of 3.15 cents per share, on par with last year.
The company’s acquisition of Belgian fertiliser firm Pillaert-Mekoson in January 2018 provided the group with scalability in the continental European market, with further potential for growth, according to Origin CEO, Tom O’Mahony.
Commenting on the results, O'Mahony said:
“Origin has achieved a good first half result with favourable activity levels on farm supporting a 12.6% increase in Group operating profit in the seasonally quiet trading period.
“The acquisition of Belgium based Pillaert-Mekoson in the period scales our market position in Continental Europe and provides further buy and build consolidation and growth opportunity.
“Our objectives for digital services enablement across Origin’s customer and geographic markets were significantly advanced during the period," he continued.
“We continue to prioritise new growth opportunity in Agri-Services while focusing on cash generation, operational and commercial effectiveness. The autumn and winter cropping profile established to date provides a solid foundation for the seasonally more important second half when over 90% of earnings are typically generated.”
An update on the full year outlook will be available at the time of the third quarter trading update on 19 June 2018, according to O’Mahony.
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