£100m sales at Wynnstay

SHROPSHIRE-BASED agricultural supplier Wynnstay has burst through the £100m turnover mark, according to its end of year results.

The company, which supplies cattle feeds, seeds and agro-chemicals and owns a chain of 24 shops in Wales, saw turnover rise 22% to £103.4m, with like-for-like profits up 11% to £2.6m.

It benefited from a move from the independent OFEX exchange to the London Stock Exchange‘s Alternative Investment Market in May, which raised £1.1m in share capital.

Shares have risen 43% since relisting, closing at 273p on Jan 26.

Bernard Harris, Wynnstay managing director, said: “In spite of difficult trading conditions, I am pleased to report record results.

“Results are especially creditable for having been achieved in one of the most volatile markets for raw materials in over 30 years.

“The cost of wheat, for example, a major ingredient for feeds, almost doubled in price before returning to little more than the opening values in the late summer.”

The feed division, which accounts for over a third of Wynnstay‘s business, saw sales grow by 15%, thanks to a partnership on cattle feed with the Welsh Meat Company.

And in the arable division, which also generates about a third of group sales, turnover was up 8% after growth in seeds, agro-chemicals and grain trading.

Even fertiliser sales remained stable, the company said, despite the sluggish market brought on by high winter and spring prices and CAP uncertainty.

The stores business, which now includes Eifionydd Farmers, saw like-for-like sales grow 8% on the back of strong demand for pet products and especially equine products, where sales rocketed 38% on the year.

Mr Harris reported that the company was in a strong financial position and poised to make further acquisitions.