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Highlights

  • Nufram is an Australian manufacturer and marketer of chemicals for crop and seed protection
  • In 1HFY23, the company registered a 51% YoY surge in statutory NPAT to AUD 149 million
  • Gray Australia Pty Ltd has the highest stake in the firm, with a shareholding of approximately 15.04%

ASX-listed global firm, Nufarm Limited (ASX: NUF) delivers seed technology and crop protection solutions. The division of Nufram, Nuseed, commercializes and advances plant-based Omega-3 and is also engaged in the commercialization and development of advanced bioenergy feedstock technology.

In the first half of the financial year 2023 (1HFY23), the company witnessed a 9.7% YoY fall in revenue to AUD 1,954.5 million, while the underlying NPAT grew by 6.9% YoY to AUD 142.3 million. Statutory net profit after tax zoomed by 51% YoY to AUD 149 million during the stated period.  

During 1HFY23, the seed technologies segment reported a 25% YoY increase in revenue and 34% YoY growth in underlying EBITDA.

Top 10 shareholders of NUF

The top 10 shareholders of NUF have nearly 58.77% shareholding in the company, while the top four have around 39.25% shareholding. Gray Australia Pty Ltd and L1 Capital Pty Ltd. have the highest stakes in the firm, with a shareholding of ~15.04% and ~13.52%, respectively.

Recent business update

Through a business update dated 6 October 2023, the company informed that its director Gregory Allan Hunt had acquired 145, 890 shares by CPU Shares Plans Pty Ltd.

Outlook

In the full year 2023, the company expects to register underlying EBITDA of AUD 430 – 440 million and leverage in the range of 2.1x to 2.4x.

The company is focused on innovation in crop and seed protection and is also targeting operational excellence and increasing the part of the business, contributing to higher margin products.

NUF shared that it expects to exceed or meet the revenue aspirations for FY26, which is AUD 4.6 billion.

Share performance of NUF

NUF shares closed 1.83% down at AUD 4.3 apiece on 30 October. With this, NUF’s share price has dropped by 21.81% in the last 12 months and has decreased by 8.90% in the last one week.

The 52-week high of NUF is AUD 6.41 apiece, recorded on 9 December 2022, and the 52-week low is AUD 4.30 apiece, recorded on  30 October 2023.

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

 

Note 2: The reference date for all price data, currency, is 30 October 2023. The reference data in this report has been partly sourced from REFINITIV.