DLF reports record revenue and earnings for the financial year ending June 30, 2020.
The DLF Seeds Group reported a revenue of DKK 7,437m (€1b) in 2019/20 which was an increase of DKK 2,143b (€288m) compared to last year. Earnings rose by a 48.4% measured in terms of EBITDA, and 45.5% in terms of EBIT in the mentioned period. Group EBIT totaled DKK 422.7m (€56.7m) and EBITDA totaled DKK 599.0m (€80.4m).
The growth in revenue and earnings were predominately attributable to the acquisition of PGG Wrightson Seeds, effective as of 1 May 2019. However, organic growth amounted to 4%, when adjusting for the acquisition, realized across the forage and turf business units. In addition, the vegetable seed multiplication business contributed significantly to Group earnings following an all-time-high crop 2019.
Truels Damsgaard, CEO, points to several explanations to the financial result:
“We have a strong global organisation with skilled employees in all our business units. With our solid regional infrastructure, sales network and supply chain, we are able to support our customers to the fullest - also in a season affected by C-19,” says Truels Damsgaard and adds that first quarter of the current financial year has started on the up, carrying forward the firm momentum of the fourth quarter of 2019/20.
“We are cautiously optimistic for the current year as we have had a significant Q1 performance. I’m humbled to see the dedication of our employees during these difficult and uncertain times. Everybody is going the extra mile,” he says.