Nufarm Limited
(ASX:NUF) has warned it will meet its first half guidance at the lower end of the range, due to persistent hot and dry conditions in key growing areas.
The agricultural chemical company says it expects to report EBIT for the first half at the lower end of its range between $50 million and $60 million.
Nufarm says unfavourably hot and dry weather in key Australian growing regions during December and January has resulted in unusually low sales activity and depressed margins.
However the group’s South American business is set to offset its Australian operations, with an excellent first half result expected.
Nufarm’s European, North American and Asian operations are tracking line with expectations.
Nufarm delivered a net profit of $81.75 million in fiscal 2013.
