Wynnstay revenue rises to £194m

 

The Welshpool-based farm and feed business revealed a 14% hike in profits to £4.5m in the half year to April with revenue growing to £194m from £165m in the same period a year earlier.

 

As part of its impressive growth plan, it will be expanding its Welshpool operation with a farm and trade store opening for business on Monday (July 11).

 

Wynnstay Group chief executive Ken Greetham told the Daily Post: “After record annual results we have achieved encouraging half year figures in line with our expectations.

 

“Our growth reflects the benefits of past acquisitions, most recently Wrekin Grain in May 2011 as well as continuing organic expansion. The pleasing performance from Wynnstay Stores is driven by ongoing high levels of non-discretionary spend by farmers, while our total number of Just for Pets stores has been increased to 20 in the period.

 

“The diverse range of activities continues to be a key strength and, coupled with a positive outlook for the UK agricultural sector, we remain positive that Wynnstay is well-placed for further growth this financial year with favourable prospects ahead.”

 

Almost £30m of the increase in revenue was attributed to higher sales in the company’s new GrainLink business.

 

Its agricultural supplies division contributed sales of £154.97m (2011: £129.76m) while specialist retailing operations added £38.68m (2011: £34.65m).

 

Net finance costs were £0.23m (2011: £0.18m), as a result of higher overall net debt levels due to the funding of last year’s acquisition.

 

Mr Greetham said: “There has been growth through acquisition but also natural growth because of demand in the agricultural sector right now. We’ve relocated the Oswestry store and expanded our premises in Welshpool, which created jobs. More jobs will come as we grow.”

 

He added: “We employ more than 800 people now as a group and there is potential for that to continue.

 

“This success has not just come to us. We have a stable workforce who work hard; we are proud to be in this business, a British business which is in a good position.”