Graincorp half-year profit falls 75pc to $50 million

Derek RoseAAP
Grain and oilseed markets have normalised after extraordinary years due to the war in Ukraine. (HANDOUT/LOAM BIO)
Camera IconGrain and oilseed markets have normalised after extraordinary years due to the war in Ukraine. (HANDOUT/LOAM BIO) Credit: AAP

Graincorp’s half-year profit has dropped by three-quarters as grain prices fell and the agribusiness experienced a decline in east coast production.

Graincorp on Thursday announced a $50 million net profit after tax in the six months to March 31, down from $200 million a year ago.

It delivered $164 million in underlying earnings before interest, tax, depreciation and amortisation, down from $383 million a year ago, as revenue fell 25.5 per cent to $3.38 billion.

Graincorp managing director and chief executive Robert Spurway said it was a resilient result, given that grain and oilseed markets were normalising following extraordinary recent years for the industry.

Get in front of tomorrow's news for FREE

Journalism for the curious Australian across politics, business, culture and opinion.


Russia’s 2022 invasion of Ukraine, responsible for a tenth of the world’s grain production, caused grain prices to skyrocket.

Mr Spurway said strong grain volumes in southern NSW and Victoria had been offset by below-average conditions in Queensland and northern NSW.

Early indications are favourable for the 2024/25 winter crop, however, with recent rain and healthy soil moisture supporting a strong planting period on the east coast.

The company predicted a full-year underlying profit of $60 million to $80 million on underlying earnings of $250 million to $280 million.

The company declared a 24 cent per share interim dividend, the same as in 2023.

It finished the half-year with $765 million in net debt compared with $1.4 billion a year ago.

Graincorp shares were up 6.2 per cent to $8.57 late on Tuesday morning.

Get the latest news from thewest.com.au in your inbox.

Sign up for our emails