MARKET DEVELOPMENT
Agriterra Boosts Revenues By Over 50%
Agriterra Boosts Revenues By Over 50%
12/06/2013 (Proactive Investors UK) - Pan African agricultural group Agriterra increased revenues by more than 50% to US$20.8mln last year.
The AIM-listed company, which has beef, maize, cocoa, fruit and palm oil divisions, saw a 146% rise in revenues from its beef operations in Mozambique to US$2.2mln, thanks to a successful expansion of its cattle operations.
Revenues from the maize milling business in the same country rose 61% to US$15.6mln, helped by a 68% increase in maize milled and a 59% increase in maize sold.
A disappointing harvest hit cocoa and coffee revenues in Sierra Leone this season, but the development of the company’s own plantation provides extra security of supply in years to come, it stressed.
Agriterra Director Andrew Groves said: “This has been a transformational year for Agriterra, where a combination of growth and investment has enabled our beef business to start generating material revenues for the group.
“Together with record trading from our grain business, I am delighted to report that revenues across the group increased by over 50% during the year to US$20.8m.”
He continued: “Growth and investment remain our key focus over the coming year and beyond, with the expansion of our chain of beef retail units being a critical objective.”
The group boats a strong cash balance of US$18.5mln, meaning it is in the “enviable position” of supporting its growth using its own treasury. It is also hoping to recoup US$17.8mln in compensation from work carried out on the Block Ba oil project in South Sudan – a part of the business that is no longer active.
The AIM-listed company, which has beef, maize, cocoa, fruit and palm oil divisions, saw a 146% rise in revenues from its beef operations in Mozambique to US$2.2mln, thanks to a successful expansion of its cattle operations.
Revenues from the maize milling business in the same country rose 61% to US$15.6mln, helped by a 68% increase in maize milled and a 59% increase in maize sold.
A disappointing harvest hit cocoa and coffee revenues in Sierra Leone this season, but the development of the company’s own plantation provides extra security of supply in years to come, it stressed.
Agriterra Director Andrew Groves said: “This has been a transformational year for Agriterra, where a combination of growth and investment has enabled our beef business to start generating material revenues for the group.
“Together with record trading from our grain business, I am delighted to report that revenues across the group increased by over 50% during the year to US$20.8m.”
He continued: “Growth and investment remain our key focus over the coming year and beyond, with the expansion of our chain of beef retail units being a critical objective.”
The group boats a strong cash balance of US$18.5mln, meaning it is in the “enviable position” of supporting its growth using its own treasury. It is also hoping to recoup US$17.8mln in compensation from work carried out on the Block Ba oil project in South Sudan – a part of the business that is no longer active.