PGG Wrightson declares dividend as profits surge 248%
Agricultural support giant PGG Wrightson will pay a dividend this year on the back of an improved performance buoyed by increased optimism in the sector.
PGG Wrightson has raised its full year forecast despite challenging conditions in some sectors.
PGG Wrightson chief executive Mark Dewdney says PGG Wrightson (PGW) expects its full year earnings before tax in the $65 to $68 million range, up from the previous guidance of $61 to $67 million indicated in April.
Dewdney says its New Zealand earnings continue to exceed expectations. A strong autumn sales season in New Zealand underpins this earnings performance, and shows the resilience of PGW in spite of the challenging conditions being experienced in some agri-sectors.
The company now expects its retail business will improve on last year's record Operating EBITDA. "This will be a fantastic achievement given the cautious spending from our dairy clients over the year. This will be a result of the positive momentum we have sustained with customers and staff, and in part our exposure to sectors that have had a strong year, such as horticulture and beef."
He says the operating EBITDA for the year to June 30 will reflect two opposing forces.
"On the one hand tougher market conditions, particularly in the New Zealand dairy sector and in South America; on the other, the hard work we are putting into improving and growing PGW continues to pay off and we are benefiting from our market position in the agri-sectors that have been performing strongly."
PGW expects to announce its full year results on August 9 with details of the announcement to be confirmed closer to the time.
'Common sense' cuts to government red tape will make it easier for New Zealand to deliver safe food to more markets.
Balclutha farmer Renae Martin remembers the moment she fell in love with cows.
Academic freedom is a privilege and it's put at risk when people abuse it.
All eyes are on milk production in New Zealand and its impact on global dairy prices in the coming months.
Claims that some Southland farmers were invoiced up to $4000 for winter grazing compliance checks despite not breaching rules are being rejected by Environment Southland.
According to the most recent Rabobank Rural Confidence Survey, farmer confidence has inched higher, reaching its second highest reading in the last decade.
OPINION: For years, the ironically named Dr Mike Joy has used his position at Victoria University to wage an activist-style…
OPINION: A mate of yours truly has had an absolute gutsful of the activist group SAFE.