Origin Enterprises has reported a 14.7% drop in operating profits to €67.3m for its 2015/16 financial year. Profits from joint ventures fell by 60% to €5.6m, mainly as a result of the disposal of Valeo.

When these are taken into account, total group operating profit fell almost 22% to €72.9m, with operating margins tightening by 100 basis points to 4.4%. Total group revenues increased 4.3% to €1.52bn last year, mainly as a result of positive currency tailwinds and acquisitions. When these are excluded, underlying revenues were back 3.7% as input prices declined last year.

After a very weak third quarter, Origin said it saw “good” volume recovery in the fourth quarter of the year in its UK business, which accounts for 70% of sales. Business in Poland was difficult after extreme weather resulted in the loss of 20% of plantings. Origin said its operations in Romania delivered an “excellent” contribution, while a weak local currency hit profits from its Ukraine business.

Origin chief executive Tom O’Mahony said farm sentiment remains subdued. Origin has maintained its full year dividend at 21c/share.