• Statutory NPAT of $29.8m, underlying NPAT down 24% on pcp
• Strong recovery in crop protection, with uEBIT +34% on pcp
• Challenging market conditions negatively impacted omega-3 business

Nufarm reported a statutory net profit after tax (NPAT) of $29.8 million for the first half of FY25. This compares to a profit of $49.2 million in the prior corresponding period, which benefited from a one-off recognition of deferred tax assets. Underlying NPAT was $38.5 million, down 24% on the prior year. Underlying EBIT of $102.7 million was 15% below the prior corresponding period, largely due to weakness in the omega-3 oils business and higher overhead costs. The company reported strong growth in underlying EBITDA and EBIT in its crop protection segments, with a 34% increase in EBIT compared to the prior year. This was driven by more normal levels of competition and greater stability in active ingredient pricing. In the Seed Technologies division, revenue was $249 million and underlying EBIT was $15.9 million, a 71% decline on the prior year. This was due to lower licensing revenues, lower margins in omega-3, and lower canola revenues in Australia. The company announced it is undertaking a review of its Seed Technologies division to explore options for enhancing value across the multiple seeds and traits platforms. The company expects EBITDA from Seed Technologies for the second half to be around $20 million below the prior year due to the continued weakness in fish oil pricing. Nufarm also noted several uncertainties around the US tariff situation and weather conditions that could impact the second half performance.

Nufarm no longer expects to achieve $100m of omega-3 revenue in FY25 due to lower than anticipated fish oil prices. The company is currently assessing options for managing omega-3 inventory.

Nufarm believes it is well positioned, but remains conscious that market, trade policy and weather conditions could impact the second half. The company is focused on reducing costs and improving return on funds employed, and is on track to deliver a 25-day year-on-year reduction in inventory (excluding omega-3) and $50m in run rate annualised cost savings by the end of FY25.