Ravensdown Chairman John Henderson. Photo / Simon Baker
Ravensdown Chairman John Henderson. Photo / Simon Baker
Ravensdown is paying a total annual rebate of $45 per tonne after a third year of strong results.
The 10 per cent increase in rebate on purchased products compared to last year was due to continued balance sheet strength, growing market share and a profit before tax and rebate of$51 million from continuing operations.
"All-year value is important to farmers, so I'm delighted we were able to deliver this rebate as well as having led major price reductions throughout the year," said Ravensdown Chairman John Henderson.
"This strong performance is now part of a consistent pattern Ravensdown has established. Strong years in 2015 and 2016 meant at the start of the last financial year, we were able to set ambitious targets to invest in infrastructure, to improve market share and to develop new technology," said John Henderson.
"I am so pleased that, for the third year in a row, our targets were achieved and we will still remain in the black after rebate and taxes."
Sales volumes were up by 2 per cent as the co-operative welcomed new customers yet revenue fell 5 per cent to $627 million because price reductions were delivered as early in the year as possible.
For those who bought solid fertiliser before 31 May 2017, $20 dollars of the total rebate has been in shareholders' bank accounts since 9 June. For fully paid-up shareholders, the remaining $25 per tonne will be paid in cash this month.
The co-operative's environmental consultancy, which helps farmers to mitigate their impacts and work with regulatory frameworks, was its fastest-growing service.
New technology called HawkEye was introduced to replace Smart Maps and help farmers assess and alter their nutrient levels across paddocks on an easily understood and readily shared map.
The Civil Aviation Authority has approved the co-operative's fleet of topdressing planes to be upgraded to the precision application service.
At a glance:
$42 million invested in infrastructure - new loaders, conveyors, roofing, laboratories and high precision blending machinery.
$5 million invested in new technology and $4 million supporting research and development.
Operating cashflow: $60 million.
Equity ratios: 80 per cent before rebate, 73 per cent after rebate.
Profit before tax and rebate from continuing operations: $51 million.
Revenue: $627 million.
Rebate of $45 per tonne: $20 per tonne paid, $25 per tonne to be paid in cash by month end.
