The Wynnstay group has reported a record 92 per cent boost in profits “arising from global events and inflation.”  

The Welsh agricultural supply company saw a huge rise to its pre-tax profits rocketing from £10.99 million in 2021 to £21.12 million in its full year results.

According to its annual report these were “exceptionally strong results” that “are significantly ahead of initial market expectations”.

The key to this explosion of profit was their fertiliser production – the company owns the second largest fertiliser production site in the UK – which brought in “significant one-off gains” after the sharp rise in fertiliser prices following the invasion of the Ukraine by Russia.

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Inflation also helped in other areas of the business such as feed, as the price of grain also shot up in price following the Ukraine war.

Gareth Davies, chief executive of Wynnstay Group plc, said whilst this year was exceptionally successful for their profits, he expected the company to continue to grow.

“These results are exceptional and set record highs across all key financial measures,” said Mr Davies. “While global events have driven substantial one-off financial gains that we do not expect to repeat, the Group in any case traded very strongly, helped by strong farmgate prices and growth and efficiency initiatives.”

“We also made excellent progress with our strategic growth plans – our recent acquisition in November 2022 of Tamar Milling further extends our trading footprint, and we continue to drive investment in capacity, efficiency, and staff across the Group.

“Trading in the new financial year to date has been in line with expectations. While there are economic headwinds, we remain confident of achieving our growth targets.”

The company have also expanded their share in feed markets through the acquisition of other feed companies throughout the year.

The acquisition of Humphrey Poultry Ltd, based in Hampshire, nearly doubled their market share in poultry feed whilst the further acquisition, Tamar Milling Ltd, an animal feed business based in Cornwall, has expanded their geographic reach in the south west of England.

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