International agri-services group Origin Enterprises has reported an increase in annual profits and revenues on the back of favourable organic and acquisition growth, sending its shares higher.
Origin Enterprises said its revenues for the year to the end of July grew by 10.5% to €1.798 billion, while its pperating profits jumped by 15.6% to €82.3m.
Pre-tax profits for the year were also higher, rising by 9.7% to €77.17m from €70.33m the same time last year.
The company has proposed a 1.5% increase in its total dividend to bring it to 21.32 cent.
Origin's chief executive Tom O'Mahony said that the results reflected the company's commitment to maintaining a diversified business portfolio.
He noted that an "excellent" first-time contribution from Latin America along with the benefit of good demand levels in Ireland and the UK more than offset the impact of a more challenging operating environment in Continental Europe.
Highly competitive trading conditions within the Ukrainian market impacted profitability, he added.
Looking ahead, the CEO said that demand for agronomy services and crop inputs for Ireland and the UK is expected to normalise in the coming year and to be lower than the above average market demand levels experienced in 2019.
He added that fertiliser and feed demand is not expected to match the demand created by the fodder crisis in the first half of 2019.
"Against the backdrop of the uncertain nature of Brexit, and its timing, we continue to prioritise a prudent approach to risk management and capital allocation," Mr O'Mahony said.
Shares in the company moved higher in Dublin trade today.