Brazil growers boost Plant Impact revenue to £7.3m
Increased shipments of Preston-based Plant Impact’s flagship soybean product Veritas to Brazil for the 2016/17 growing season have contributed to a 55% boost in revenue to £7.3m.
The AIM-listed specialist in research and development in crop enhancement products said that, onn a constant currency basis, revenue in the nine months to April 30 has increased around 30% compared with the same period last year as the group benefits from the relative weakness of Sterling.
Third-quarter revenue of £2.4m (2016: £0.5m) included the final shipments of Veritas product for that growing season, particularly timed for later stage soybean and dry bean crops.
Revenue in the third quarter for other parts of the world was modest, as expected.
“The group’s business plans for fourth quarter trading, set at the start of the year, included an expectation of revenue from early shipments of Veritas for the 2017/18 Brazil season,” a company statement said.
“ Usage of Veritas by Brazilian growers in the field over the course of the 2016/17 growing season was significantly up on the prior year and in-field technical performance of the product has been strong.
“ However, challenging industry-wide trading conditions in the country have meant that end of season inventory levels of agricultural chemical products in Brazil, including Veritas, are higher than expected.”
It went on: “Fourth-quarter trading in other products and geographies is progressing well and is expected to be at least in line with the board’s expectations which were for material growth compared with the minimal revenue achieved in the same period last year.
“In particular, this fourth quarter will see the first season revenue for Fortalis in the US, further sales of Banzai into West Africa and the usual northern hemisphere revenues for traditional fruit and vegetable products.”
