Download full report with analyst certification and important disclosures
Nov 20 2019, 07:10 GMT
Origin Enterprises
Challenging on-farm conditions trigger earnings revision
- Sectors : Foods
- Companies : Origin Enterprises
DAVY VIEW
Origin Enterprises’ Q1 update confirms weather-led challenges on-farm in the UK and Ireland, resulting in a poor winter plantings campaign. The anticipated shift to a spring cropping profile will be insufficient to offset the poor start to the year. We expect to lower our EBIT forecasts by c.7% and group EPS by c.7-8%. Origin’s model remains vulnerable to externalities. The Q1 out-turn may prompt an acceleration of productivity measures to address a more complex trading environment. Trading at multi-year lows, today’s release is likely to compound negative sentiment.
