29 Jan 2014 09:00
29 January 2014
Asian Citrus Holdings Limited
("Asian Citrus" or "the Group")
Trading Update
As anticipated and based on the preliminary assessment of the unaudited management accounts of the Group for the six months ended 31 December 2013, turnover and core net profit will be lower than the comparative period for the six months ended 31 December 2012.
The key factor impacting this trading performance, as previously highlighted on 27 November 2013 and more recently updated in respect of the winter orange crop on 21 January 2014, was the decreased winter orange production and average selling price for both Xinfeng Plantation and Hepu Plantation for the six months ended 31 December 2013, which has had a profound impact on the Company's gross profit margins for these operations.
Additionally, profitability was impacted by a higher volume of fertilisers and pesticides consumed as a result of the inclement weather and persistent heavy rainfall in 2013, as stated in the Company's announcement dated 27 November 2013.
It remains too early in the financial year to judge the materiality of the above factors to the Group's likely full year performance, which in the second half will reflect the price achieved for the Group's summer orange crop and the impact of weather on the volume of fertilisers and pesticides used by the Group.
The assessment of the change in fair value of biological assets for the six months ended 31 December 2013 is still under review. The change in fair value of biological assets has no effect on the Group's cash flow.
The information contained in this announcement is based only on the preliminary assessment of the unaudited management accounts of the Group for the six months ended 31 December 2013 and the information currently available to the Board. The Company's management accounts are being reviewed by the auditor and has not yet been completed, the management accounts may be subject to adjustments. The interim results of the Group for the six months ended 31 December 2013 are expected to be released in late February 2014.
For further enquiries:
Asian Citrus | |
Tony Tong / Tommy Tong, Executive Director | +852 2559 0323 |
Cantor Fitzgerald Europe (NOMAD and Broker) | |
Rick Thompson / David Foreman (Corporate Finance) | +44 (0) 20 7894 7000 |
Richard Redmayne (Corporate Broking)
| |
Weber Shandwick Financial | +44 (0) 020 7067 0700 |
Nick Oborne, Stephanie Badjonat |