Nufarm (ASX:NUF) announces a $215m writedown on European assets

Company News

by Rachael Jones

Nufarm (ASX:NUF) expects to recognise non-cash, impairment charges in relation to its European assets of approximately $215 million in financial statements for the year ended 31 July 2020.

This comprises a pre-tax impairment of intangible assets of approximately $190 million and a derecognition of tax assets of approximately $25 million.

While there are early indications that raw material costs for products in the portfolios Nufarm acquired in 2018 are easing, input costs for a small number of products are expected to remain elevated in the medium term and this has also been reflected in the carrying value assessment.

Shares in Nufarm (ASX:NUF) are trading 4.34 per cent higher at $4.09.

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