Origin Enterprises - Interim Results Statement
05/03/2024 07:00
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RNS Number : 5470F Origin Enterprises Plc 05 March 2024
Origin Enterprises plc
INTERIM RESULTS STATEMENT
Solid H1 delivery despite challenging northern hemisphere weather conditions
and market dynamics
5 March 2024: Origin Enterprises plc ('Origin' or 'the Group'), the
international Agri-Services group, providing specialist agronomy advice, crop
inputs and digital solutions to promote sustainable land use, today announces
its interim results for the half year ended 31 January 2024 ('H1 2024').
Results Summary
31 Jan 2024 €'m 31 Jan 2023 Change 31 Jan 2022
€'m €'m €'m
Group revenue 854.9 1,180.0 (325.1) 877.1
Operating profit(1) 12.7 20.3 (7.6) 11.1
Associates and joint venture(2) 1.4 1.6 (0.2) 1.3
Total Group operating profit(1) 14.1 21.9 (7.8) 12.4
Finance cost, net (8.8) (8.6) (0.2) (4.8)
Profit before tax(1) 5.3 13.3 (8.0) 7.6
Adjusted diluted earnings per share (cent)(3) 3.75 8.70 (4.95) 4.99
Group net bank debt(4) (215.8) (130.9) (84.9)
Interim dividend per ordinary share (cent) 3.15 3.15 -
Highlights
· Underlying business volumes, excluding crop marketing, reduced by
2.6% due to adverse weather conditions impacting autumn/winter planting
activity in the northern hemisphere
· Expected correction in global feed and fertiliser raw materials
pricing contributed to the decrease in H1 2024 Group revenues to €854.9
million and operating profit of €12.7 million, set in the context of a very
strong H1 2023 performance driven by rising commodity markets and strong
on-farm demand
· Diversification of profit drivers, geographic and sectoral, continues
to reduce the impact of adverse weather events in our core UK and Ireland
market on our overall profitability
· Acquisition of Groundtrax Systems Limited further enhances our product
capability in the Amenity, Environmental and Ecology portfolio
· Cumulative acquisition spend of €54.2 million in last 12 months,
including the completion of put/call option for the residual 35% interest in
Fortgreen in Latin America, bringing it under 100% control
· In addition, there was a partial payment of suspended amounts owing
in compliance with international sanctions of €34.3 million, contributing to
an increase in net bank debt(4) to €215.8 million
· Higher interest rates in the period increased finance costs to €8.8
million
· Adjusted diluted earnings per share of 3.75 cent (H1 2023: 8.70 cent)
· Interim dividend of 3.15 cent per share (H1 2023: 3.15 cent per
share)
· €20.0 million FY24 share buyback programme approximately 27%
complete
· Appointment of TJ Kelly as Divisional Managing Director of Amenity,
Environment and Ecology from 1 August 2024 and a search process to recruit a
new CFO is well advanced. TJ will continue as an Executive Director of the
Board
(1 ) Before amortisation of non-ERP intangible assets and exceptional items
(2 ) Profit after interest and tax
(3) Before amortisation of non-ERP intangible assets, net of related
deferred tax (2024: €5.2 million, 2023: €4.7 million) and exceptional
items, net of tax (2024: charge of €2.7 million, 2023: charge of €1.4
million)
(4) Net bank debt excludes IFRS16 Lease liabilities
Commenting on the results, Origin Chief Executive Officer, Sean Coyle said:
"The Group delivered a solid operating profit in H1 2024 compared to a very
strong H1 2023 performance. The H1 result was achieved despite challenging
planting and weaker in-field conditions across our markets. This performance
has been underpinned by the Group's continued focus on the strategic
diversification of its earnings base.
A challenging planting profile and a downward-moving price environment
resulted in reduced early season volumes across our portfolio, with Ireland
and the UK, and Continental Europe experiencing more challenging conditions.
Latin America and our Amenity, Environmental and Ecology businesses delivered
solid results despite also being impacted by fertiliser price dynamics.
The integration of recent complementary acquisitions in the Amenity,
Environmental, and Ecology division continues to progress, including our most
recent acquisition, Groundtrax Systems Limited, which extends our product
range and offering in the sustainable urban drainage systems sector. Our
ambition is for this division to represent 30% of Group operating profit by
the end of FY26 and on 1 August 2024 TJ Kelly will move from the CFO role to
take up a role as Divisional MD reflecting this ambition.
Outlook
On-farm sentiment remains cautious, as growers shift towards spring planting
and seek to optimise yields from a reduced autumn/winter planted area. Whilst
progress in spring planting and the main application period in the months
through to the end of May will be key to full year results, we now anticipate
full year earnings in the range of 44c to 49c, reflecting the effects of
adverse weather conditions. We continue to invest in broadening our product
portfolio and diversifying our earnings. Further guidance will be provided
with our Q3 Trading Update on 13 June 2024."
ENDS
This announcement contains inside information. The person responsible for
arranging release of this announcement on behalf of Origin is Barbara Keane,
General Counsel & Company Secretary.
Conference Call and Webcast details:
The management team will host a live conference call and webcast, for analysts
and institutional investors today, 5 March 2024, at 08:30 (Irish/UK time).
Registration details for the Conference Call and Webcast can be accessed at:
www.originenterprises.com
Alternatively, please contact FTI Consulting by email at
originenterprises@fticonsulting.com
Participants are requested to dial in 5 to 10 minutes prior to the scheduled
start time.
Enquiries
Origin Enterprises plc
TJ Kelly
Chief Financial Officer Tel: +353 (0)1 563 4900
Brendan Corcoran
Head of Investor Relations and Group Planning Tel: +353 (0)1 563 4900
Goodbody (Euronext Growth (Dublin) Adviser)
Joe Gill Tel: +353 (0)1 641 9278
Davy (Nominated Adviser)
Anthony Farrell Tel: +353 (0)1 614 9993
Numis Securities (Stockbroker)
Stuart Skinner Tel: +44 (0)20 7260 1314
FTI Consulting (Financial Communications Advisers)
Jonathan Neilan / Patrick Berkery / Niamh O'Brien Tel: +353 (0)86 602 5988
About Origin Enterprises plc
Origin Enterprises plc is an international Agronomy-Services group, providing
specialist advice, inputs, services and digital solutions to promote
sustainable land use. The Group has leading market positions in Ireland, the
United Kingdom, Brazil, Poland and Romania. Origin is listed on the Euronext
Growth (Dublin) and AIM markets of the Irish and London Stock Exchanges.
Euronext Growth (Dublin) ticker symbol: OIZ
AIM ticker symbol: OGN
Website:
www.originenterprises.com (http://www.originenterprises.com)
INTERIM RESULTS STATEMENT
Financial Review - Summary
6 months ended 6 months ended
31 Jan 2024 31 Jan 2023
€'m €'m
Group revenue 854.9 1,180.0
Operating profit(1) 12.7 20.3
Associates and joint venture, net(2) 1.4 1.6
Adjusted Group operating profit(1) 14.1 21.9
Finance cost, net (8.8) (8.6)
Pre-tax profit 5.3 13.3
Income tax charge (0.9) (3.0)
Adjusted net profit 4.4 10.3
Adjusted diluted earnings per share (cent)(3) 3.75 8.70
Adjusted net profit reconciliation
Reported net (loss)/profit (3.5) 4.2
Amortisation of non-ERP intangible assets 6.5 5.5
Tax on amortisation of non-ERP related intangible assets (1.3) (0.8)
Exceptional items, net of tax 2.7 1.4
Adjusted net profit 4.4 10.3
Adjusted diluted earnings per share (cent)(3) 3.75 8.70
Origin delivered an adjusted diluted earnings per share(3) in H1 2024 of 3.75
cent compared to 8.70 cent in H1 2023. On a like-for-like basis (excluding the
impact of currency movements and acquisitions) the underlying decrease in
adjusted diluted earnings per share(3) was 6.08 cent.
Group revenue
Group revenue was €854.9 million in H1 2024 compared to €1,180.0 million
in the corresponding period last year, a decrease of 27.6%. On a constant
currency basis, revenues decreased by €336.3 million (28.5%).
The decrease in underlying business volumes, excluding crop marketing, was
2.6% in H1 2024 compared to H1 2023 (increase of 1.2% including crop
marketing).
Operating profit(1)
Operating profit(1) in H1 2024 was €12.7 million compared to €20.3 million
in H1 2023. On an underlying basis, the decrease in operating profit
year-on-year was €9.4 million.
Associates and joint venture(2)
Origin's share of profit after interest and taxation from associates and joint
venture amounted to €1.4 million, a €0.2 million decrease on H1 2023.
Net bank debt and financing costs
Net bank debt(5) at 31 January 2024 was €215.8 million compared to €130.9
million at 31 January 2023 and is 2.09 times EBITDA(4) for the twelve months
to 31 January 2024.
The increase in net bank debt, for the 12-month period ended 31 January 2024,
reflects an acquisition spend of €54.2 million, including the settlement of
the Fortgreen put/call option, payment of c.50% of outstanding suspended
supplier amounts in compliance with sanctions regimes amounting to €34.3
million and cumulative shareholder returns of €29.5 million.
Net finance costs amounted to €8.8 million compared to €8.6 million in H1
2023. The increase in net finance costs in the period was primarily driven by
higher interest rates across each of the markets in which the Group operates.
At period end, the Group's key banking covenants are as follows:
Banking Covenant H1 2024 H1 2023 FY 2023
Times Times Times
Net debt to EBITDA Maximum 3.5 2.09 1.03 -
EBITDA to net interest Minimum 3.0 9.28 9.91 8.57
Working capital
Following the seasonal investment in working capital in the period, the net
cash outflow from operating activities was €214.3 million (H1 2023: €131.5
million) and there was an increase in working capital at period end to
€164.4 million (H1 2023: €138.3 million). The period end working capital
position includes the residual net impact of trade payables which have been
suspended in accordance with international sanctions imposed by authorities in
response to the Russian invasion of Ukraine in 2022. We continue to closely
monitor the situation with regard to sanctions and act accordingly.
Sustainability
We are delighted to announce our participation in a £3.3 million Nitrogen Use
Efficiency project sponsored by the Department for Environment, Food and Rural
Affairs in the UK to optimise UK grassland farming's mineral nitrogen
fertiliser use. As the exclusive fertiliser company in this project, we will
leverage our expertise in crop nutrition and digital solutions to enhance farm
efficiency and environmental enhancement. Progress on the delivery of our
environmental objectives was sustained in the period and we maintained our CDP
rating at B.
Dividend
We are pleased to announce that an interim dividend of 3.15 cent per share (H1
2023: 3.15 cent per share) will be paid on 21 June 2024 to shareholders on the
register on 31 May 2024.
Share Buyback Programme
On 21 November 2023 the Group commenced a share buyback programme to
repurchase up to €20.0 million of ordinary shares. The programme is
progressing to plan and is currently approximately 27% complete.
Corporate Development
Subsequent to the period end, we completed the acquisition of Groundtrax
Systems Limited, a leading supplier of ground protection and sustainable urban
drainage systems, which extends our product range and offering in the Amenity
sector. During the period we completed the Fortgreen put/call option, bringing
it under 100% control.
Appointment of Divisional Managing Director of Amenity, Environmental and
Ecology Services
We are pleased to announce the appointment of TJ Kelly, Group CFO, to the
newly established role of Divisional Managing Director of our Amenity,
Environmental and Ecology Services division, effective 1 August, 2024. In
line with our strategic objectives, and consistent with recent acquisitions,
Origin is committed to accelerating its presence in amenity, environmental and
ecology markets. Providing sustainable ecological and environmental
solutions in the emerging nature economy, in areas such as forestry,
landscaping and habitat conservation, represents a significant growth
opportunity in existing and new geographies. Our ambition is for this division
to represent 30% of Group operating profit by the end of FY26. TJ's
appointment to this position reflects this ambition.
The recruitment of a new Group CFO is well advanced and a further update will
be provided in due course. To ensure an orderly transition, TJ will continue
as Group CFO until the appointment of his successor. In his new role, TJ
will continue as an Executive Director of the Board.
(1) Operating profit and Group operating profit are stated
before amortisation of non-ERP intangible assets and exceptional items
(2) Profit after interest and tax
(3) Before amortisation of non-ERP intangible assets, net of
related deferred tax (2024: €5.2 million, 2023: €4.7 million) and
exceptional items, net of tax (2024: charge of €2.7 million, 2023: charge of
€1.4 million)
(4) Net debt/EBITDA ratio as per the requirements of the Group's
syndicated bank loan agreement
(5) Net bank debt excludes IFRS16 Lease liabilities
Review of Operations
Group Overview
Change on prior period
Constant Currency(5)
H1 2024 H1 2023 Change Underlying(4) €'m
€'m €'m €'m €'m
Revenue 854.9 1,180.0 (325.1) (350.5) (336.3)
Operating profit(1) 12.7 20.3 (7.6) (9.4) (7.8)
Associates and joint venture(2) 1.4 1.6 (0.2) (0.3) (0.3)
Adjusted diluted EPS (cent)(3) 3.75 8.70 (4.95) (6.08) (5.07)
(1 ) Before amortisation of non-ERP intangible assets and
exceptional items
(2 ) Profit after interest and tax
(3 ) Before amortisation of non-ERP intangible assets, net of
related deferred tax (2024: €5.2 million, 2023: €4.7 million) and
exceptional items, net of tax (2024: charge of €2.7 million, 2023: charge of
€1.4 million)
(4 ) Excluding currency movements and the impact of acquisitions
(5 ) Excluding currency movements
Origin delivered a solid operating profit performance in H1, set against an
exceptional H1 FY23. Group revenue decreased by 27.6% to €854.9 million on a
reported basis and by 28.5% on a constant currency basis. Operating profit
and adjusted fully diluted earnings per share reduced to €12.7 million and
3.75 cent, respectively.
The reduction in underlying business volumes, excluding crop marketing, was
2.6% in H1 2024 compared to H1 2023 (increase of 1.2% including crop
marketing).
Ireland and the United Kingdom
Change on prior period
Constant Currency(4)
H1 2024 H1 2023 Change Underlying(3) €'m
€'m €'m €'m €'m
Revenue 516.1 754.0 (237.9) (254.8) (240.6)
Operating (loss)/profit(1) (3.1) 2.9 (6.0) (7.6) (6.1)
Associates and joint venture(2) 1.4 1.6 (0.2) (0.3) (0.3)
(1 ) Before amortisation of non-ERP intangible assets and
exceptional items
(2 ) Profit after interest and tax
(3 ) Excluding currency movements and the impact of acquisitions
(4 ) Excluding currency movements
Ireland and the United Kingdom recorded a decrease in revenues of €237.9
million in the period. Operating profit reduced from €2.9 million in H1 2023
to an operating loss of €3.1 million in H1 2024.
The decreased contribution is a result of a reduced winter planting profile
impacting early season volumes across the crop protection and fertiliser
portfolios, together with the impact of a further correction in global feed
and fertiliser raw material pricing. These factors contributed to a reduction
in underlying business volumes of 5.7% in the period.
Integrated On-Farm Agronomy Services
Integrated On-Farm Agronomy Services saw reduced revenues and contribution in
the period. Persistent wet weather across the period resulted in delayed
in-field activity, and combined with a downward moving price market, led to
less purchasing on-farm.
The challenging weather conditions encountered across the UK to date has
impacted the planting profile with a shift to spring planting expected. Total
autumn and winter plantings for principal crops are estimated to be 20% behind
last year at 2.1 million hectares, with the expected area of winter wheat back
24% to 1.4 million hectares, however on-going rainfall puts the viability of a
portion of this crop at risk.
At this point in the year, combined autumn/winter and spring plantings for the
2024 crop production year are expected to be 4% behind 2023 at 4.1 million
hectares.
Business-to-Business Agri-Inputs
Business-to-Business Agri-Inputs had a steady H1 2024 with reduced revenues,
compared to H1 2023 driven by the continued correction in global feed and
fertiliser raw material pricing. Volumes have also been impacted by the
adverse weather experienced to date.
Fertiliser
Fertiliser delivered a satisfactory result in H1 2024, with reduced volumes
set in the context of the continuing global correction in fertiliser raw
material pricing. Despite these challenges, the Group continues to execute
strongly across the business.
In addition to focusing on growing its speciality and bespoke nutrition
product ranges, the Group continues to maintain a focus on sustainable land
use and soil health and we will continue to invest in innovative products to
meet evolving needs of our customers.
Feed Ingredients
Feed Ingredients delivered a satisfactory performance in H1 2024, in line with
expectations.
The Group's animal feed manufacturing associate, John Thompson & Sons
Limited, in which the Group has a 50% shareholding, also delivered a solid
performance in the period.
Amenity, Environmental and Ecology
The Group's Amenity, Environmental and Ecology business delivered a good
result in the period, recording increased revenues and operating profit
compared to the prior year. The result reflected a positive operating profit
from the Group's recent acquisitions in this sector, with integration
progressing to plan.
Continental Europe(1)
Change on prior period
Constant Currency(4)
H1 2024 H1 2023 Change Underlying(3) €'m
€'m €'m €'m €'m
Revenue 139.0 222.9 (83.9) (86.0) (86.0)
Operating profit(2) 1.5 2.6 (1.1) (1.2) (1.2)
(1 ) Excluding crop marketing. While crop marketing has a
significant impact on revenue, its impact on operating profit is
insignificant. An analysis of revenue and profit attributable to agronomy
services and inputs more accurately reflects the underlying drivers of
business performance
(2 ) Before amortisation of non-ERP intangible assets and
exceptional items
(3 ) Excluding currency movements and the impact of acquisitions
(4 ) Excluding currency movements
Continental Europe had a satisfactory start to the year in the seasonally
quieter first half, delivering an operating profit of €1.5 million. Cautious
farm sentiment and raw material price uncertainty has resulted in delayed
on-farm purchasing decisions in the period compared to 2023 which had seen
stronger early season demand in anticipation of on-farm price increases.
Consequently, excluding crop marketing volumes, underlying business volumes
decreased by 6.1% in H1 2024, compared to H1 2023.
Poland
Poland had a solid start to the year despite reduced volumes and contribution
across the business, in the seasonally quiet H1. In 2024 we have experienced
more cautious farm sentiment reflecting weather and output price concerns.
Autumn and winter plantings are forecasted to be marginally ahead of FY23 at
5.6 million hectares. Crop establishment to date is generally good across
Poland, with the total cropping area for the 2024 growing season expected to
be broadly equivalent to last year at 9.0 million hectares.
Romania
Romania had a slow start to the year, recording reduced volumes and earnings
compared to the prior period, reflecting cautious farm sentiment from weather
and output price concerns.
Dry conditions in autumn led to delayed planting and autumn and winter
plantings are expected to be 5% behind of the prior year at 3.4 million
hectares. Combined winter and spring plantings for the growing season are
currently forecasted to be in line with last year at 8.4 million hectares.
Latin America
Change on prior period
Constant Currency(3)
H1 2024 H1 2023 Change Underlying(2) €'m
€'m €'m €'m €'m
Revenue 94.7 89.6 5.1 4.8 4.8
Operating profit(1) 13.9 14.2 (0.3) (0.4) (0.4)
( )
(1 ) Before amortisation of non-ERP intangible assets and
exceptional items
(2 ) Excluding currency movements and the impact of acquisitions
(3 ) Excluding currency movements
Latin America delivered a solid performance in the period, recording an
increase in underlying business volumes of 32.5%. The Group continues to
invest in the sales organisation and operations infrastructure to meet future
growth plans, including during the start-up phase of our F1rstAg biologicals
business. Volume growth in our lower margin Controlled Release Fertiliser
business was stronger than our Physiology and Nutrition business, contributing
to a negative mix effect on margin. Market pricing also fell, reflecting the
underlying downward movement in global fertiliser raw material prices.
As a result, operating profit decreased marginally to €13.9 million in H1
2024 from €14.2 million in H1 2023, with an underlying reduction of €0.4
million.
The total cropping area dedicated to soya, Brazil's principal crop, is
expected to increase by 4% on the prior year to 45.4 million hectares. The
expected soya harvest is currently estimated to be 150.1 million tonnes, down
from the 154.6 million tonnes in the prior year.
ENDS
Origin Enterprises plc
Condensed Interim Consolidated Income Statement
for the six months ended 31 January 2024
Six months Six months Six months Six months Year
ended ended ended ended ended
January January January January July
2024 2024 2024 2023 2023
Pre-exceptional Exceptional Total Total Total
€'000 €'000 €'000 €'000 €'000
Notes Note 6 Note 8 Note 8
Revenue 5 854,913 - 854,913 1,180,042 2,456,168
Cost of sales (716,754) - (716,754) (1,030,438) (2,122,029)
Gross profit 138,159 - 138,159 149,604 334,139
Operating costs (131,939) (2,762) (134,701) (136,299) (261,272)
Share of profit of associates and joint venture 1,366 - 1,366 1,615 7,732
Operating profit 5 7,586 (2,762) 4,824 14,920 80,599
Finance income 3,494 - 3,494 1,544 2,080
Finance expense (12,254) - (12,254) (10,171) (15,043)
(Loss)/profit before income tax (1,174) (2,762) (3,936) 6,293 67,636
Income tax credit/(expense) 388 64 452 (2,109) (16,604)
(Loss)/profit attributable to equity shareholders (786) (2,698) (3,484) 4,184 51,032
Six months Six months Year
ended ended ended
January January July
2024 2023 2023
Basic (loss)/earnings per share 7 (3.12c) 3.65c 45.24c
Diluted (loss)/earnings per share 7 (3.12c) 3.52c 43.31c
Origin Enterprises plc
Condensed Interim Consolidated Statement of Comprehensive Income
for the six months ended 31 January 2024
Six months Six months Year
ended ended ended
January January July
2024 2023 2023
€'000 €'000 €'000
(Loss)/profit for the period (3,484) 4,184 51,032
Other comprehensive (expense)/income
Items that are not reclassified subsequently to the Group income statement:
Group/Associate defined benefit pension obligations
- remeasurements of Group's defined benefit pension schemes (915) (4,334) (6,103)
- deferred tax effect of remeasurements 230 1,075 1,506
- share of remeasurements on associate's defined benefit pension schemes - - (53)
- share of deferred tax effect of remeasurements - associates - - 13
Items that may be reclassified subsequently to the Group income statement:
Group foreign exchange translation details
- exchange difference on translation of foreign operations (4,020) (12,349) (1,580)
Group/Associate cash flow hedges
- effective portion of changes in fair value of cash flow hedges (2,424) 7,570 7,387
- fair value of cash flow hedges transferred to operating costs (392) (7,989) (7,801)
- deferred tax effect of cash flow hedges 298 455 394
- share of associates and joint venture cash flow hedges (71) (2,193) (1,960)
- deferred tax effect of share of associates and joint venture cash flow 9 273 245
hedges
Other comprehensive expense for the period, net of tax (7,285) (17,492) (7,952)
Total comprehensive (expense)/income for the period attributable to equity (10,769) (13,308)
shareholders
43,080
Origin Enterprises plc
Condensed Interim Consolidated Statement of Financial Position
as at 31 January 2024
January January July
2024 2023 2023
Notes €'000 €'000 €'000
ASSETS
Non-current assets
Property, plant and equipment 9 124,350 111,116 118,107
Right of use asset 55,267 46,040 54,037
Investment properties 2,270 2,270 2,270
Goodwill and intangible assets 10 304,228 256,735 299,906
Investments in associates and joint venture 11 42,333 45,296 52,387
Other financial assets 903 534 898
Derivative financial instruments 4,373 6,579 6,960
Deferred tax assets 7,478 6,407 8,737
Post employment benefit surplus 2,007 3,688 2,579
Total non-current assets 543,209 478,665 545,881
Current assets
Properties held for sale 5,800 5,800 5,800
Inventory 322,334 431,355 232,167
Trade and other receivables 298,655 360,658 440,398
Derivative financial instruments 207 325 118
Cash and cash equivalents 14 86,552 77,033 151,237
Total current assets 713,548 875,171 829,720
TOTAL ASSETS 1,256,757 1,353,836 1,375,601
Origin Enterprises plc
Condensed Interim Consolidated Statement of Financial Position (continued)
as at 31 January 2024
January January July
2024 2023 2023
Notes €'000 €'000 €'000
EQUITY
Called up share capital presented as equity 15 1,253 1,253 1,253
Share premium 160,526 160,526 160,526
Retained earnings and other reserves 219,282 201,696 248,814
TOTAL EQUITY 381,061 363,475 410,593
LIABILITIES
Non-current liabilities
Interest-bearing borrowings 14 302,166 199,340 96,964
Lease liability 14 43,295 35,044 42,835
Deferred tax liabilities 19,342 18,516 20,720
Provision for liabilities 12 8,620 6,225 11,331
Derivative financial instruments 711 - 25
Total non-current liabilities 374,134 259,125 171,875
Current liabilities
Interest-bearing borrowings 14 229 8,638 1,098
Lease liability 14 14,471 11,735 12,081
Trade and other payables 456,619 653,737 722,605
Corporation tax payable 2,374 7,031 11,937
Provision for liabilities 12 12,114 4,217 11,987
Put option liability - 29,235 32,382
Dividend payable to shareholders 16 15,149 14,506 -
Derivative financial instruments 606 2,137 1,043
Total current liabilities 501,562 731,236 793,133
TOTAL LIABILITIES 875,696 990,361 965,008
TOTAL EQUITY AND LIABILITIES 1,256,757 1,353,836 1,375,601
Origin Enterprises plc
Condensed Interim Consolidated Statement of Changes in Equity
for the six months ended 31 January 2024
Share- Foreign
Capital Cashflow based currency
Share Share Treasury redemption hedge Revaluation payment Re-organisation translation Retained
capital premium shares reserve reserve reserve reserve reserve reserve earnings Total
€'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000
At 1 August 2023 1,253 160,526 (51,689) 145 2,869 12,843 6,226 (196,884) (45,328) 520,632 410,593
Loss for the period - - - - - - - - - (3,484) (3,484)
Other comprehensive expense for the period - - - - (2,580) - - - (4,020) (685) (7,285)
Share buyback - - (4,560) - - - - - - - (4,560)
Re-issue of treasury shares - - 1,772 - - - - - - (826) 946
Transfer of share-based payment reserve - - - - - - (214) - - 214 -
to retained earnings
Dividend payable to shareholders (Note 16) - - - - - - - - - (15,149) (15,149)
At 31 January 2024 1,253 160,526 (54,477) 145 289 12,843 6,012 (196,884) (49,348) 500,702 381,061
Origin Enterprises plc
Condensed Interim Consolidated Statement of Changes in Equity
for the six months ended 31 January 2024
Share- Foreign
Capital Cashflow based currency
Share Share Treasury redemption hedge Revaluation payment Re-organisation translation Retained
capital premium shares reserve reserve reserve reserve reserve reserve earnings Total
€'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000
At 1 August 2022 1,253 160,521 (36,005) 145 4,604 12,843 4,194 (196,884) (43,748) 495,854 402,777
Profit for the period - - - - - - - - - 4,184 4,184
Other comprehensive income for the period - - - - (1,884) - - - (12,349) (3,259) (17,492)
Share buyback - - (13,135) - - - - - - - (13,135)
Share-based payment charge - - - - - - 2,597 - - - 2,597
Change in fair value of put option - - - - - - - - - (955) (955)
Shares issued - 5 - - - - - - - - 5
Dividend payable to shareholders (Note 16) - - - - - - - - - (14,506) (14,506)
At 31 January 2023 1,253 160,526 (49,140) 145 2,720 12,843 6,791 (196,884) (56,097) 481,318 363,475
Origin Enterprises plc
Condensed Interim Consolidated Statement of Cash Flows
for the six months ended 31 January 2024
Six months Six months Year
ended ended ended
January 2024 January 2023 July
2023
€'000 €'000 €'000
Cash flows from operating activities
(Loss)/profit before tax (3,936) 6,293 67,636
Exceptional items 2,762 1,454 797
Finance income (3,494) (1,544) (2,080)
Finance expense 12,254 10,171 15,043
Profit on disposal of property, plant and equipment (204) (69) 718
Share of profit of associates and joint venture (1,366) (1,615) (4,040)
Depreciation of property, plant and equipment 4,428 4,425 8,678
Depreciation of right of use assets 6,916 5,738 12,810
Amortisation of intangible assets 6,640 5,922 14,218
Employee share-based payment charge - 2,597 2,550
Pension contributions in excess of service costs (298) (301) (834)
Payment of exceptional Ukraine related costs (2,334) (1,189) (1,918)
Payment of exceptional acquisition and disposal related costs (552) (265) (1,537)
Operating cash flow before changes in working capital 20,816 31,617 112,041
(Increase)/decrease in inventory (89,661) (62,330) 146,884
Decrease in trade and other receivables 139,315 81,692 19,845
Decrease in trade and other payables (270,325) (169,012) (122,835)
Cash (absorbed)/generated from operating activities (199,855) (118,033) 155,935
Interest paid (5,654) (4,578) (11,526)
Income tax paid (8,769) (8,870) (19,631)
Cash (outflow)/inflow from operating activities (214,278) (131,481) 124,778
Origin Enterprises plc
Condensed Interim Consolidated Statement of Cash Flows (continued)
for the six months ended 31 January 2024
Six months Six months Year
ended ended ended
January 2024 January 2023 July
2023
€'000 €'000 €'000
Cash flows from investing activities
Proceeds from sale of property, plant and equipment 797 164 235
Purchase of property, plant and equipment (9,842) (10,190) (18,567)
Additions to intangible assets (10,928) (5,470) (17,683)
Consideration relating to acquisition (755) (11,162) (30,112)
Payment of contingent acquisition consideration (2,237) (10) (115)
Purchase of other financial assets - - (345)
Payment of put option liability (31,706) - -
Dividends received from associates 11,435 260 144
Net proceeds from disposal of subsidiary - - 705
Cash outflow from investing activities (43,236) (26,408) (65,738)
Cash flows from financing activities
Drawdown of bank loans 265,622 256,020 334,599
Repayment of bank loans (63,308) (185,639) (369,244)
Lease liability payments (5,477) (6,569) (14,810)
Share issued - 5 5
Share buyback (4,560) (13,135) (20,000)
Proceeds from re-issue of treasury shares 1,607 - 1,654
Payment of dividends to equity shareholders - - (17,990)
Cash inflow/(outflow) from financing activities 193,884 50,682 (85,786)
Net decrease in cash and cash equivalents (63,630) (107,207) (26,746)
Translation adjustment (186) (768) 515
Cash and cash equivalents at start of period 150,139 176,370 176,370
Cash and cash equivalents at end of period (Note 14) 86,323 68,395 150,139
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements
for the six months ended 31 January 2024
1 Basis of preparation
The Group condensed interim consolidated financial statements have been
prepared in accordance with International Accounting Standard 34, Interim
Financial Reporting (IAS 34), as endorsed by the EU. The condensed interim
consolidated financial statements have been prepared as information for the
shareholders and do not include all the information and disclosures required
in the annual financial statements. They should be read in conjunction with
the Group's annual financial statements in respect of the year ended 31 July
2023, which have been prepared in accordance with IFRSs. The financial
statements for the year ended 31 July 2023 are available on the company's
website www.originenterprises.com (http://www.originenterprises.com) . Those
financial statements contained an unqualified audit report.
The Group condensed interim consolidated financial statements for the six
months ended 31 January 2024 and the comparative figures for the six months
ended 31 January 2023 are unaudited and have not been reviewed by the
Auditors. The summary financial statements for the year ended 31 July 2023
represent an abbreviated version of the Group's full accounts for that year.
A comprehensive review of the Group's performance for the six months ended 31
January 2024 is included in the financial highlights included on pages 4 to
10. The group's business is seasonal and is heavily weighted towards the
second half of the financial year.
2 Going concern
The Group condensed interim financial statements have been prepared on the
going concern basis of accounting. The Directors have considered the Group's
business activities and how it generates value, together with the main trends
and factors likely to affect future development, business performance and
position of the Group. Having reassessed the principal risks facing the Group,
the Directors believe that the Group is well placed to manage these risks
successfully. There are no material uncertainties that cast a significant
doubt on the Group's ability to continue as a going concern over a period of
at least 12 months from the date of these financial statements.
The Directors report that they have satisfied themselves that the Group is a
going concern, having adequate resources to continue in operational existence
for the foreseeable future. In forming this view, the Directors have reviewed
the Group's forecast for a period not less than 12 months and the long-term
plans, and have taken into account the cash flow implications, including
capital expenditure, and compared these with the Group's borrowing facilities.
3 Accounting policies
The Group condensed interim consolidated financial statements have been
prepared on the basis of the accounting policies as set out on pages 127 to
134 of the Group's Annual Report for the year ended 31 July 2023.
There are a number of new standards which are also effective from 1 August
2023. The following amendments, issued by the International Accounting
Standards Board ('IASB') and the International Financial Reporting
Interpretations Committee ('IFRIC'), are effective for the Group for the first
time in the current financial period and where relevant have been adopted by
the Group:
· IFRS 17 Insurance Contracts
· Amendments to IAS 1 'Presentation of Financial Statements':
Disclosure of Accounting Policies
· Amendments to IAS 8: 'Accounting Policies, Changes in Accounting
Estimates and Errors': Definition of Accounting Estimates
· Amendments to IAS 12: 'Income Taxes': Deferred Tax related to Assets
and Liabilities arising from a Single Transaction
· Amendments to IAS 12: 'Income Taxes': International Tax Reform-Pillar
Two Model Rules
The amendments listed above have had no material impact on the Group condensed
interim consolidated financial statements during the period. The Group has not
applied early adoption of any standards for which the effective date is not
yet required.
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
4 Reporting currency
The Group condensed interim consolidated financial statements are presented in
euro (denoted by the symbol '€') and rounded to the nearest thousand, which
is the functional currency of the parent. Transactions in foreign currencies
are translated at the foreign exchange rate ruling at the date of the
transaction. Monetary assets and liabilities denominated in foreign currencies
at the period end date are translated to functional currency at the foreign
exchange rate ruling at that date. Foreign exchange differences arising on
translation are recognised in the Consolidated Income Statement.
The principal exchange rates used for translation of results and balance
sheets into euro were as follows:
Average foreign exchange rate Closing foreign exchange rate
Six months Six months Six months Six months
ended ended Year ended ended ended Year ended
Jan 2024 Jan 2023 July 2023 Jan 2024 Jan 2023 July 2023
EUR €1= EUR €1= EUR €1= EUR €1= EUR €1= EUR €1=
Brazilian Real 5.33018 5.35014 5.39041 5.35209 5.56463 5.21903
British Pound Sterling 0.86309 0.86810 0.87026 0.85310 0.88030 0.8574
Polish Zloty 4.43802 4.71946 4.65058 4.34210 4.71120 4.4110
Romanian Leu 4.96266 4.91117 4.92264 4.97930 4.92350 4.9362
Ukrainian Hryvnia 39.86298 37.74349 38.90247 40.73693 40.02843 40.70899
5 Segment information
IFRS 8, 'Operating Segments', requires operating segments to be identified on
the basis of internal reports that are regularly reviewed by the Chief
Operating Decision Maker ('CODM') in order to allocate resources to the
segments and to assess their performance. Three operating segments have been
identified: (1) Ireland and the United Kingdom, (2) Continental Europe and (3)
Latin America.
Ireland and the United Kingdom
This segment includes the Group's wholly owned Irish and UK based
Business-to-Business Agri-Inputs operations, Integrated Agronomy and On-Farm
Services operations and Amenity, Environmental and Ecology operations. In
addition, this segment includes the Group's associates and joint venture
undertakings.
Continental Europe
This segment includes the Group's Business-to-Business Agri-Inputs operations,
Integrated Agronomy and On-Farm Services operations in Poland, Romania and
Ukraine.
Latin America
The Group's presence in Latin America is through Fortgreen Commercial Agricola
Ltda, a business which is focused on the development and marketing of
value-added crop nutrition and speciality inputs and which is headquartered in
Parana State in southern Brazil.
Information regarding the results of each reportable segment is included
below. Performance is measured based on segment operating profit as included
in the internal management reports that are reviewed by the Group's CODM,
being the Origin Executive Directors. Segment operating profit is used to
measure performance, as this information is the most relevant in evaluating
the results of the Group's segments.
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
5 Segment information (continued)
Ireland & UK Continental Europe Latin America Total Group
Six months Six months Six months Six months Six months Six months Six months Six months
ended ended ended ended ended ended ended ended
Jan 2024 Jan 2023 Jan 2024 Jan 2023 Jan 2024 Jan 2023 Jan 2024 Jan 2023
€'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000
Revenue 516,126 753,976 244,070 336,506 94,717 89,560 854,913 1,180,042
Segment result (3,138) 2,900 1,966 3,157 13,897 14,243 12,725 20,300
Profit from associates and joint venture 1,366 1,615 - - - - 1,366 1,615
Amortisation of non-ERP intangible assets (5,068) (3,787) (583) (706) (854) (1,048) (6,505) (5,541)
Operating profit before exceptional items (6,840) 728 1,383 2,451 13,043 13,195 7,586 16,374
Exceptional items (1,009) (265) (1,753) (1,189) - - (2,762) (1,454)
Operating profit (7,849) 463 (370) 1,262 13,043 13,195 4,824 14,920
Segment earnings before financing and tax 4,824 14,920
Finance income 3,494 1,544
Finance expense (12,254) (10,171)
Reported profit before tax (3,936) 6,293
Income tax credit/(expense) 452 (2,109)
Reported profit after tax (3,484) 4,184
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
5 Segment information (continued)
(ii) Segment assets Ireland & UK Continental Europe Latin America Total Group
Six months Six months Six months Six months Six months Six months Six months Six months
ended ended ended ended ended ended ended ended
Jan 2024 Jan 2023 Jan 2024 Jan 2023 Jan 2024 Jan 2023 Jan 2024 Jan 2023
€'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000
Assets excluding investment in associates and joint venture 711,381 788,441 251,140 286,316 152,390 142,905 1,114,911 1,217,662
Investment in associates and joint venture 43,236 45,830 - - - - 43,236 45,830
(including other financial assets)
Segment assets 754,617 834,271 251,140 286,316 152,390 142,905 1,158,147 1,263,492
Reconciliation to total assets as reported in Condensed Interim Consolidated
Statement of Financial Position
Cash and cash equivalents 86,552 77,033
Derivative financial instruments 4,580 6,904
Deferred tax assets 7,478 6,407
Total assets as reported in Condensed Interim Consolidated Statement of 1,256,757 1,353,836
Financial
Position
(iii) Segment liabilities Ireland & UK Continental Europe Latin America Total Group
Six months Six months Six months Six months Six months Six months Six months Six months
ended ended ended ended ended ended ended ended
Jan 2024 Jan 2023 Jan 2024 Jan 2023 Jan 2024 Jan 2023 Jan 2024 Jan 2023
€'000 €'000 €'000 €'000 €'000 €'000 €'000 €'000
Segment liabilities 342,373 472,112 156,874 206,202 35,872 61,879 535,119 740,193
Reconciliation of total liabilities as reported in Condensed Interim
Consolidated Statement of Financial Position
Interest-bearing loans 302,395 207,978
Derivative financial 1,317 2,137
instruments
Dividend payable to shareholders 15,149 14,506
Current and deferred tax liabilities 21,716 25,547
Total liabilities as reported in Condensed Interim Consolidated Statement of 875,696 990,361
Financial Position
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
6 Exceptional items
Exceptional items are those that, in management's judgement, should be
separately presented and disclosed by virtue of their nature or amount. Such
items are included within the consolidated income statement caption to which
they relate. The following exceptional items arose during the year:
Six months Six months
ended ended
January January
2024 2023
€'000 €'000
Acquisition related costs (i) (553) (265)
Ukraine related costs (ii) (2,209) (1,189)
Total exceptional charge before tax (2,762) (1,454)
Tax credit on exceptional items 64 26
Total exceptional charge after tax (2,698) (1,428)
(i) Acquisition related costs
These costs principally comprised of costs incurred in relation to the
acquisition completed during the period. The tax impact of this exceptional
item in the period was a tax credit of €6,000.
(ii) Ukraine related costs
Ukraine related costs comprise of rationalisation costs related to termination
payments from cessation of operations in Ukraine along with costs associated
with international sanctions imposed by authorities in response to the Russian
invasion of Ukraine. The tax impact of this exceptional item in the period was
a tax credit of €58,000.
7 Earnings per share
Basic earnings per share
Six months Six months
ended ended
January January
2024 2023
€'000 €'000
(Loss)/profit for the financial period attributable to equity shareholders (3,484) 4,184
'000 '000
Weighted average number of ordinary shares for the period 111,666 114,485
Cent Cent
Basic (loss)/earnings per share (3.12) 3.65
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
7 Earnings per share (continued)
Diluted earnings per share Six months Six months
ended ended
January January
2024 2023
€'000 €'000
(Loss)/profit for the financial period attributable to equity shareholders (3,484) 4,184
'000 '000
Weighted average number of ordinary shares used in basic calculation 111,666 114,485
Potential impact of shares with dilutive effect 3,840 2,463
Potential impact of SAYE scheme with dilutive effect 1,067 1,759
Weighted average number of ordinary shares (diluted) for the period 116,573 118,707
Cent Cent
Diluted (loss)/earnings per share (3.12) 3.52
The effects of potential ordinary shares are not reflected in the calculation
of the diluted loss per share as the impact of these is anti-dilutive.
Adjusted basic earnings per share
Six months Six months
ended ended
January January
2024 2023
€'000 €'000
(Loss)/profit for the financial period attributable to equity shareholders (3,484) 4,184
Amortisation of non-ERP related intangible assets 6,505 5,541
Tax on amortisation of non-ERP related intangible assets (1,345) (824)
Exceptional items, net of tax 2,698 1,428
Adjusted basic profit 4,374 10,329
Cent Cent
Adjusted basic earnings per share 3.92 9.02
€'000 €'000
Total adjusted basic earnings - as above 4,376 10,329
Cent Cent
Total adjusted diluted earnings per share 3.75 8.70
The calculation of basic adjusted earnings per share is based on the weighted
average number of shares in issue during the period of 111,666,049 (31 January
2023: 114,484,781). The weighted average number of shares used in the
calculation of adjusted diluted earnings per share is 116,572,536 (31 January
2023: 118,707,841).
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
8 Condensed Interim Consolidated Income Statements for the six months
ended 31 January 2023 and year ended 31 July 2023
An analysis of the Condensed Interim Consolidated Income Statement (including
exceptional items) for the six months ended 31 January 2023 and year ended 31
July 2023 is set out below.
Six months ended 31 January 2023
Six months Six months Six months
ended ended ended
Jan 2023 Jan 2023 Jan 2023
Pre-Exceptional Exceptional Total
€'000 €'000 €'000
Revenue 1,180,042 - 1,180,042
Cost of sales (1,030,438) - (1,030,438)
Gross profit 149,604 - 149,604
Operating costs (134,845) (1,454) (136,299)
Share of profit of associates and joint venture 1,615 - 1,615
Operating profit 16,374 (1,454) 14,920
Finance income 1,544 - 1,544
Finance expense (10,171) - (10,171)
Profit before income tax 7,747 (1,454) 6,293
Income tax expense (2,135) 26 (2,109)
Profit attributable to equity shareholders 5,612 (1,428) 4,184
Year ended 31 July 2023
Year ended Year ended Year ended
July 2023 July 2023 July 2023
Pre-Exceptional Exceptional Total
€'000 €'000 €'000
Revenue 2,456,168 - 2,456,168
Cost of sales (2,122,029) - (2,122,029)
Gross profit 334,139 - 334,139
Operating costs (256,783) (4,489) (261,272)
Share of profit of associates and joint venture 4,040 3,692 7,732
Operating profit 81,396 (797) 80,599
Finance income 2,080 - 2,080
Finance expense (15,043) - (15,043)
Profit before income tax 68,433 (797) 67,636
Income tax expense (16,770) 166 (16,604)
Profit for the year 51,663 (631) 51,032
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
9 Property, plant and equipment
January July
2024 2023
€'000 €'000
Net book value
At beginning of period 118,107 107,906
Arising on acquisition (Note 13) 749 1,459
Additions 10,449 18,891
Disposals (585) (1,014)
Depreciation charge (4,428) (8,678)
Translation adjustments 58 (457)
At end of period 124,350 118,107
10 Goodwill and intangible assets
January July
2024 2023
€'000 €'000
Net book value
At beginning of period 299,906 251,999
Arising on acquisition (Note 13) 184 46,650
Purchase adjustment - (58)
Additions 10,928 17,683
Disposals - (886)
Amortisation of non-ERP intangible assets (6,505) (13,435)
ERP intangible amortisation (135) (783)
Translation adjustments (150) (1,264)
At end of period 304,228 299,906
Included in the total goodwill and intangible assets above is goodwill of
€214,147,000 (July 2023: €214,354,000). There have been no indicators of
impairment in the first half of the year therefore a full assessment of the
carrying value of goodwill and intangibles will be carried out in the second
half of the year.
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
11 Investments in associates and joint venture
January July
2024 2023
€'000 €'000
At beginning of period 52,387 47,053
Share of profits after tax, before exceptional items 1,366 4,040
Share of exceptional items, net of tax - 3,692
Dividends received (11,435) (144)
Share of other comprehensive income (62) (1,755)
Translation adjustments 77 (499)
At end of period 42,333 52,387
12 Provision for liabilities
The estimate of provisions is a key judgement in the
preparation of the condensed interim consolidated condensed financial
statements.
January July
2024 2023
€'000 €'000
At beginning of period 23,318 5,612
Arising on acquisition (Note 13) - 15,199
Provided in period 500 2,738
Utilised in the period (912) (290)
Paid in period (2,237) (115)
Translation adjustments 65 174
At end of period 20,734 23,318
Provisions primarily relate to contingent acquisition consideration arising on
a number of acquisitions completed during prior years.
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
13 Acquisition of subsidiary undertakings
In August 2023, the Group acquired the business and operating assets of
Suregreen Limited, a UK based landscape and gardening products supplier for
trade professionals and DIY customers from its Administrators.
Details of the net assets acquired are as follows:
€'000
Assets
Non-current
Property, plant & equipment 749
Right of use lease assets 187
Intangible assets 184
Total non-current assets 1,120
Current assets
Inventory 448
Total current assets 448
Liabilities
Trade and other payables (615)
Lease liabilities (198)
Total liabilities (813)
Total net assets acquired 755
Consideration satisfied by:
Cash consideration 755
Total consideration related to acquisitions 755
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
14 Analysis of net cash / (debt)
31 July Non-cash Translation 31 January
2023 Cashflow movements adjustment 2024
€'000 €'000 €'000 €'000 €'000
Cash 151,237 (64,497) - (188) 86,552
Overdraft (1,098) 867 - 2 (229)
Cash and cash equivalents 150,139 (63,630) - (186) 86,323
Loans (96,964) (202,314) (313) (2,575) (302,166)
Net cash / (debt) 53,175 (265,944) (313) (2,761) (215,843)
Lease liabilities (54,916) 5,477 (8,076) (251) (57,766)
Net debt including lease liabilities (1,741) (260,467) (8,389) (3,012) (273,609)
As at 31 January 2024, the Group had unsecured committed banking facilities of
€400.0 million (July 2023: €400.0 million), which will expire in June
2026.
15 Share capital
January July
2024 2023
€'000 €'000
Authorised
250,000,000 ordinary shares of €0.01 each (i) 2,500 2,500
Allotted, called up and fully paid
125,320,375 (2023: 125,320,375) ordinary shares of €0.01 each (i) 1,253 1,253
Number of treasury shares Nominal value of shares Carrying
value of shares
€'000 €'000
Treasury shares in issue
At 1 August 2023 (13,558,484) (136) (51,689)
Share buyback (ii) (1,308,272) (13) (4,560)
Re-issue of treasury shares (iii) 468,459 4 1,772
(14,398,297) (145) (54,477)
(i) Ordinary shareholders are entitled to dividends as declared and
each ordinary share carries equal voting rights at meetings of the Company.
(ii) During the financial period, the Group commenced a share buyback
programme. The total number of ordinary shares purchased by the Group was
1,308,272 for a total consideration before expenses of €4.6 million. The
re-purchased shares are held as treasury shares.
(iii) During the financial period, the Group re-issued 468,459 treasury
shares to satisfy the exercise of share options granted under the Group's UK
and ROI Savings Related Share Option Schemes.
Origin Enterprises plc
Notes to the Condensed Interim Consolidated Financial Statements (continued)
for the six months ended 31 January 2024
16 Dividends
On 9 February 2024 a dividend of 13.65 cent per ordinary share was paid in
respect of the year ended 31 July 2023. The dividend was approved by
shareholders at the Annual General Meeting on 16 November 2023.
An interim dividend of 3.15 cent per share will be paid on 21 June 2024 to
shareholders on the register on 31 May 2024. These condensed interim
consolidated financial statements do not reflect this dividend payable.
17 Taxation
The taxation charge for the interim period is an estimate based on the
expected full year effective tax rate on full year profits.
18 Contingent liabilities
The Group is not aware of any major changes with regard to contingent
liabilities in comparison with the situation as of 31 July 2023.
19 Related party transactions
Related party transactions occurring in the period were similar in nature to
those described in the 2023 Annual Report.
20 Subsequent events
Subsequent to 31 January 2024, the Group announced the acquisition of
Groundtrax Systems Limited, which is the UK's number one specialist supplier
of ground protection and reinforcement systems.
There have been no other material events that would require adjustment to or
disclosure in this report.
21 Release of half yearly condensed interim consolidated financial
statements
The Group condensed interim consolidated financial information was approved
for release by the Board on 4 March 2024.
22 Distribution of Interim Report
This interim report is available on the Group's website
(www.originenterprises.com (http://www.originenterprises.com) ). A printed
copy is available to the public at the Company's registered office.
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