19th Apr 2018 13:06
LONDON (Alliance News) - Camellia PLC on Thursday reported an "improved" 2017 performance with both revenue and profit increasing year-on-year.
Camellia, an agriculture and horticulture company, posted a pretax profit from continuing operations of GBP27.6 million, up slightly from the GBP26.5 million recorded in 2016. From discontinued operations, it swung to a GBP14.8 million after a loss of GBP20.0 million.
Revenue in 2017 increased to GBP298.3 million from GBP257.9 million.
Camellia increased its final dividend to 98.00 pence per share from 95.00p in 2016. This brings its total payout for 2017 to 135.00p, up from 130.00p the year before.
Profit was boosted by its GBP19.2 million sale of an asset management business during the period. Trading in 2017 started weakly, Camellia said, but the second half was "much better".
However, macademia volumes were affected by drought for a second year running, but specialty crops have continued providing an "excellent" return.
Tea production fell to 71.7 million kilogrammes from 73.4 million kilogrammes, as Kenya suffered from drought, but Malawi posted record production. Macademia production fell to 780 tonnes from 791 tonnes with drought likewise again biting in Malawi and South Africa.
Camellia's avocado production rose to 7.3 million kilogrammes from 7.1 million kilogrammes, in line with expectations despite dry conditions hitting fruit size. Specialty crops - including rubber, citrus, wine grapes, and pineapples - increased to 93,758 tonnes from 56,772 tonnes.
Looking forward, Camellia said it cannot give accurate yearly forecasts as so much depends on second half crop volumes. However, there are "early signs" of a good macademia crop, good tea prices, as well as a strong UK market.
Camellia shares were up 0.2% on Thursday at 12,000 pence each.
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