PGG Wrightson Limited (NZX: PGW) Announces Strong FY21 Half Year Result and Dividend

Tuesday 23rd February 2021

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PGG Wrightson Limited today announced its results for the first half of FY21.

Key highlights of the first six months to 31 December 2020 included:

· Revenue of $499.3 million (up 6%)

· Operating EBITDA** of $42.1 million (up $7.4 million or 21%)

· Net Profit after Tax (“NPAT”) of $18.0 million (up 41%)

· Fully imputed interim dividend of 12 cents per share

· Very strong performances from our Retail, Livestock and Real Estate businesses

· Strong balance sheet and improvement in cash flows from the prior comparative period

· Reconfirmed full year Operating EBITDA guidance of around $57 million

PGW Chairman Rodger Finlay said “Our strong half year results reflect well on the health of the business and the performance of our people as they continue to deliver for our customers in the agri-sector that is the powerhouse of New Zealand’s economy. It is particularly pleasing to be able to report that our Operating EBITDA for the six months to 31 December 2020 was $42.1 million; up 21% on the same period last year (1H20, $34.7 million).”

PGW delivered a NPAT of $18.0 million from continuing operations which was also up 41% on the corresponding period (1H20, $12.8 million).

Outlook

Mr Finlay said “Global markets continue to support New Zealand’s primary exports while international supply chains may pose some challenges in the short to medium term. Following the roll out of vaccines in our trading market countries we anticipate these challenges will ease over time. With these dynamics at play we are seeing reasonable confidence from our farmer and grower customers and remain optimistic about the prospects for the sector. Although there will always be unforeseen events, PGW and the country are in a stronger position than we were at the outbreak of the virus to navigate these.”

“The Directors are very pleased with the progress achieved in the first half and the financial performance of the business. We remain cautiously optimistic about the remainder of the financial year and believe the company is well placed to deliver our 2021 full year Operating EBITDA guidance of around $57 million.”

Please see the links below for details:

PGW Half Year Results Announcement_23 February 2021

PGW Half Year Results Presentation_23 February 2021

PGW Half Year Distribution Notice NZX_23 February 2021

PGW Results Announcement NZX_23 February 2021

PGW Half Year Report_23 February 2021

Source: PGG Wrightson Limited

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