Origin Enterprises reported an increase in revenue of 3.5% to €318m for the three months ending 1 November. Acquisitions and currency fluctuations drove the growth by 3.9% and 5.2% respectively. The underlying decrease of 5.6% was principally driven by lower global fertilizer and feed prices.

Operating profit, although not significant in the seasonally quiet first quarter, was up €1.8m to €8.1m.

Agrii, Origin’s UK business, performed “satisfactorily” according to the statement. The group cited that market conditions within the seed portfolios were highly competitive but that Agrii’s specialist seed technologies continued to maintain good momentum through applications promoting high output varieties.

Although arable farmers in the UK had excellent yields last harvest, low commodity prices and volatility is making planning difficult. However, activity levels on-farm were robust, helped by the early harvest and ideal sowing conditions during the period, according to Origin.

The group said winter wheat sowings in the UK were back 2-3%, while oil seed rape (OSR) plantings are back some 10%, as farmers look set to switch to more spring cropping. That would see the lowest area of OSR planted in six years, reflecting the poor price prospects during the main sowing window.

Above average yields in Poland along with ideal crop drilling conditions have facilitated plantings with winter cereal area expected to be over six million hectares.

Reflecting the political uncertainty and against the backdrop of currency weakness, Origin said its Ukrainian business, Agroscope, is focusing on risk management. It expects total planted area to be similar to last year, but crop input spend will be lower.

Higher fertilizer volumes helped boost the agri inputs business in the UK and Gouldings business in Ireland as customers adopted a more cautious approach to their forward volume commitments on the back of recent volatility in ingredient pricing.

Origin is guiding a full year adjusted diluted earnings per share of 60 cent.