Elders posted a 54.7% rise in half year profit to $24.6 million as soaring cattle prices drove sales of large properties and brought in better livestock earnings.
Revenue at the agribusiness was up 16% to $727.8 million for the six months.
“High cattle prices have driven both higher livestock earnings and also real estate sales demand for large cattle farming properties,” says CEO Mark Allison.
The company is pursuing growth across both domestic and international markets, with increased operations in Tasmania, China and Vietnam.
Allison says increased competition and higher supply costs in the live export market will continue to put pressure on earnings, particularly in Vietnam and Indonesia.
“Cattle and sheep prices are expected to remain strong, due to tight supply and high demand,” he says.
“Strong activity in rural real estate is expected to continue with interest rates remaining low.”
The company expects to start paying dividends again in the 2017 financial year.
Here are the results for the six months to the end of March in detail:
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