StockMarketWire.com - Camellia reported a jump in profits as its agricultural crops benefited from good weather conditions and higher selling prices.

For 2018, underlying pre-tax profits rose 38% to £38.1m from £27.6m a year earlier and revenue increased to £309.8m from £298.3m.

'Our tea operations saw exceptional outputs, with record production of 103mkg, the company said. 'Our two other core crops also performed well, and with more benign weather, the macadamia crop improved in volume and we achieved a record avocado harvest. Our UK businesses also returned to a collective profit.'

The dividend was raised by 5.2% to 142p.

Looking ahead, the company said it was very high tea volumes in Kenya were driving down sale prices and could possibly pressure prices in other countries.

'Whilst it remains too early to make meaningful comments about individual crops, tea auction volumes in Kenya have been very high for some months with average sale prices below the cost of production since November which is of some concern,' the company said.

'Furthermore, these volumes are impacting the prices in Malawi and there is a risk that our other tea markets could be adversely affected as their seasons begin.


At 9:21am: [LON:CAM] Camellia PLC share price was -100p at 10550p



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