Elders HY profit up 90% after savvy buy

Agribusiness and property group Elders has reported a whopping 90 per cent gain in half-year profit, although shareholders did not receive a higher dividend.

Elders on Monday reported half-year statutory net profit after tax to March 31 of $52 million, almost double the same period last year.

Its acquisition of wholesaler Australian Independent Rural Retailers, which supplies agricultural products and services, was largely responsible.

Shareholders will receive a dividend of 9.0 cents per share, fully franked, which is the same as the previous half-year payment.

Elders operates in Australia and China but said the COVID-19 pandemic had not a significant impact on demand for its products and services.

Shares in Elders were trading higher by more than 4.0 per cent to $9.86 at 1110 AEST.

The share price has increased by more than 51 per cent since January 1 despite a wider market downturn from the pandemic.

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