Feeds and fuel boost half-year profits for NWF

A significant increase in the sales of feed products has boosted the profits of Cheshire-based agriculture company NWF Group.

Like-for-like Pre-tax profits, including exceptional items, grew 46.2% from £1.3m to £1.9m in the half year to November 30, while revenue climbed 15.6% to £295.8m from £255.9m.

In 2016, the listed company’s feeds division made a loss of £0.3m, but this time it has contributed £0.4m to the profit figure.

Chairman Philip Acton credited the improvement in feed  profitability “as a consequence of last year’s investment in Longtown and Wardle and more stable commodity prices”.

NWF has also delivered stronger performance in fuels, with headline operating profit of £1.1m million (H1 2016: £0.9 million, delivering strong volume growth with commercial customers to offset the lower levels of market demand for heating oil over summer/autumn months.

Chief executive Richard Whiting said: “NWF has delivered profit improvement in line with our expectations in the first half year with each of the divisions performing as planned.

“The significant increase in profits in Feeds is of particular note, demonstrating the expected return on the capital investment completed in 2017. Current trading is in line with the board’s full year expectations.”