(Alliance News) - Fuel, food, and feed distributor NWF Group PLC reported on Tuesday a "very positive" first half, with revenue and profit both higher.
NWF's revenue for the six months to November 30, 2019, was 5.6% higher year-on-year at GBP348.9 million, while pretax profit climbed by 26% to GBP2.4 million.
Pretax profit on a headline basis, which excludes various exceptional items, increased by 25% to GBP3.0 million.
NWF has kept its interim dividend flat on the year before at 1.0 pence per share.
Cheshire-based NWF reported "increased activity" in all divisions. Fuels was helped by increased gas oil and heating oil sales, as well as acquisitions.
The food business's profit was improved by efficiencies, NWF continued, while Feeds gained market share and managed to grow volumes despite the market contracted. Feeds profit rose despite lower commodity prices.
Fuels revenue was up 11% to GBP245.9 million, Food rose 2.5% to GBP24.4 million, but Feeds fell 6.8% to GBP78.6 million.
Chief Executive Richard Whiting said: "We had a very positive first half, with all divisions trading in line with, or exceeding, expectations. We have continued the expansion of NWF in line with our strategy; acquiring five fuel businesses in the last 12 months, increasing our annualised volumes by almost 30%.
"We are also significantly expanding the Food division with a major new contract and warehouse, which is expected to benefit our next financial year. Current trading is in line with the board's expectations for the full financial year."
NWF shares were 3.9% higher on Tuesday morning in London at a price of 187.87 pence each.
By George Collard; georgecollard@alliancenews.com
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