Ruralco profit slides 4% on takeover costs

Company News

by Anna Napoli

Ruralco (ASX:RHL) has announced a 4 per cent fall in reported net profit to $15.5 million for the first half of 2019.

The decline comes on the back of a rise in one-off costs including those associated with the company's proposed acquisition by Nutrien.

Revenue rose 3 per cent to $686 million.

The company declared an interim fully franked dividend of 10 cents per share representing a dividend payout ratio of 63 per cent.

Ruralco says in what has been a challenging season for its customers and many parts of its business, the company's strategy, including a focus on diversifying channels to market and geographical footprint and activities, has again delivered a resilient earnings result.

Shares in Ruralco (ASX:RHL) are trading 0.9 per cent lower at $4.39.