Record profits at NWF
FARM feeds to fuel group NWF today revealed a bumper first half profit despite volatile commodity prices.
The robust performance by all of the Cheshire-based group’s divisions saw pre-tax profits rise 12.5% to £1.8m in the six months to November 30. Revenue at NWF was up 21.8% on last year to £198.1m.
The period saw the group offload its garden centre business for £14.5m in a move to concentrate on its distribution, feeds and fuels divisions.
In distribution, operating profit increased by 100% to £1m, while record oil prices saw profits soar 160% to £1.3m in its fuel division.
Although there was much volatility in raw material prices, operating profits at NWF feeds business, increased by 16.7% as a result of a strengthened sales force and effective purchasing.
Chairman Mark Hudson said NWF has made a strong start to the year during a period of significant price volatility in key raw materials and the results represent a record first half operating profit for the group.
He added that trading in the second half continues to be robust. He said: “Trading continues to be strong with the group well positioned in reasonably robust markets and with a capable experienced management team. Effective measures are in place for tracking business performance and the group is very aware of the economic challenges.
“I am pleased to report that since the period end we continue to trade in line with expectations, with all three divisions continuing to demonstrate improved performance ahead of prior year.”
