24th Mar 2015 09:06
LONDON (Alliance News) - Wynnstay Group PLC Tuesday said it had made a good start to its current financial year, with both its agricultural and retail divisions performing in line with management expectations.
In a statement ahead of the company's Annual General Meting, the agricultural supplies company said feed demand over the winter has been encouraging with volumes up on the previous year, fertiliser sales have increased in recent weeks after soft autumn demand, and demand for spring seed has been good. Grain trading volumes are also up on the year, but farmers are still holding significant stock from the 2014 harvest, it added.
"Across our specialist retailing activities, our Country Stores, which are geared towards the needs of farmers, are performing well and Just for Pets, our pet products outlets, continues to experience like-for-like growth. We anticipate adding new stores to both chains in 2015," it added.
Wynnstay said it recently completed a planning exercise to map out its potential organic and acquisitive growth potential over the next five years.
"While there are short term challenges for the industry, particularly around the current level of output prices, especially for the milk sector, we remain positive about prospects for Wynnstay and intend to continue to expand on the broad foundations established over many years," it said.
Wynnstay's financial year runs until the end of October. In January, it reported reported higher pretax profit for its last financial year, buoyed by the growth of its specialist rural retail business which more than offset weakness in its agricultural division, and said that while the UK agriculture sector looks challenging for the short-term, it's confident for the longer-term.
Wynnstay shares were up 2.0% at 520.00 pence Tuesday morning.
By Steve McGrath; [email protected]; @stevemcgrath1
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