Thursday, 28 July 2022 15:25

Ravensdown reports $95m profit in 2021/22

Written by  Staff Reporters
Ravensdown chief executive Garry Diack. Ravensdown chief executive Garry Diack.

Ravensdown’s 2021/22 Annual Results, announced yesterday, include an overall Group profit of $95 million.

The results also include an underlying profit of $68 million in the core fertiliser business, before taxation and rebate.

Chairman, Bruce Wills called it one of Ravensdown’s “best ever results”, achieved in a year dominated by volatile pricing and global supply challenges.

Total fertiliser sold was slightly up at 1.22 million tonnes, and revenue at $922 million was up $210 million on last year, reflecting the rising price environment that dominated the year.

“The rapidly rising international prices makes fertiliser hard to budget for our farmers. To help them, Ravensdown focussed on product margins and yielded a FY22 group margin percentage lower than last year.”

Chief executive Garry Diack says Ravensdown’s fundamental belief is that this cash is better in use on-farm than in the company’s hands.

“Consistent with out cooperative values we have positioned the balance sheet for another challenging year in 2023 with $347M of stock in store – providing confidence to customers for spring.”

Ravensdown Shipping Services provided a $26 million boost to the Group’s bottom-line performance.

“The volatility of the market is not going away, and we need the capacity to capitalise on procurement pricing opportunities, and we need to continue investment in technological support to reduce New Zealand’s fertiliser footprint. The need for a capital buffer for the increasing risk a cooperative structure faces, compels a conservative approach to shareholder rebate for 2022,” says Diack.

Given this year’s performance and next year’s challenges, a shareholder rebate of $25 per tonne has been declared.

The year at a glance

  • Profit from continuing operations before tax, bonus share and rebate: $95 million
  • Operating cashflow after rebated to shareholders: -$60 million
  • Equity ratios: 64% before rebate and 62% after rebate
  • Rebate of $25 per tonne to be paid in cash by the end of August for fully paid-up shareholders
  • Revenue: $922 million
  • $4 million invested in new technology and $6 million supporting research & development

More like this

Featured

Fencing excellence celebrated

The Fencing Contractors Association of New Zealand (FCANZ) celebrated the best of the best at the 2025 Fencing Industry Awards, providing the opportunity to honour both rising talent and industry stalwarts.

B+LNZ launches AI assistant for farmers

Beef + Lamb New Zealand has launched an AI-powered digital assistant to help farmers using the B+LNZ Knowledge Hub to create tailored answers and resources for their farming businesses.

National

Machinery & Products

Tech might take time

Agritech Unleashed – a one-day event held recently at Mystery Creek, near Hamilton – focused on technology as an ‘enabler’…

John Deere acquires GUSS Automation

John Deere has announced the full acquisition of GUSS Automation, LLC, a globally recognised leader in supervised high-value crop autonomy,…

Fencing excellence celebrated

The Fencing Contractors Association of New Zealand (FCANZ) celebrated the best of the best at the 2025 Fencing Industry Awards,…

» Latest Print Issues Online

The Hound

A step too far

OPINION: For years, the ironically named Dr Mike Joy has used his position at Victoria University to wage an activist-style…

Save us from SAFE

OPINION: A mate of yours truly has had an absolute gutsful of the activist group SAFE.

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter