4th April 2014
A robust set of annual results and an upbeat forecast for future business from agriculture specialist Anpario has cheered investors and brokers.
The FTSE AIM All-Share listed firm, which produces and distributes natural feed additives has enjoyed a spectacular 101% share price rise over the past year and this week reported a 12% uplift in sales revenue to £26.3m as well as a 20% improvement in gross profit to £9.2m in its results for the 12 months to 31 December 2013.
It also highlighted double-digit growth in gross profit delivered in all geographic regions with significant advances in revenue achieved in Brazil and China.
Richard Rose, group chairman, says: “The balance sheet remains strong with no debt and the cash generative nature of the business gives us the means to make acquisitions, at the right price, should the opportunity arise. The outlook for global agricultural markets presents exciting opportunities and Anpario is well placed to maintain its strong growth record.”
On the back of the upbeat market update, brokers at The Share Centre have put Anpario back onto their ‘buy’ list. Graham Spooner, investment research analyst at the firm says: “We downgraded the stock at the beginning of January as the share price performance exceeded our expectations last year; however the recent pull back and solid results has created a more attractive entry point for higher risk investors looking for a long term niche investment idea.
“There is limited choice for UK investors to gain exposure to agriculture. Anpraio should benefit from the growing global population and improving living standards in developing countries, which will increase demand for meat and fish.”