Origin Enterprises plc has announced group revenue increases and a significant operating profit increase.

Full year results to the end of July 2021 show group revenue increased by 4.4% to €1.6bn and operating profits of €61m – an increase of 38%. This means operating margin was 3.7%, up from 2.8% in 2020.

Origin Enterprises is primarily a seed, fertiliser and crop protection business with a footprint in over seven countries.

Improved performance

Commenting on the results, Origin’s chief executive officer, Sean Coyle said: “[This year] saw a much-improved performance for the Group, compared to a challenging [2020 financial year], impacted by extreme weather and the onset of the COVID-19 pandemic.

"The group delivered a solid earnings recovery, with adjusted diluted [earning per share] growth of 44.6% over the prior year on a constant currency basis. This recovery in earnings was primarily driven by increased volumes and improved margins in Ireland and the UK."


Coyle added that Origin continues to focus on improving cash performance and delivered strong free cash flow of €49.2m despite a modest working capital outflow of €4m.

"Net bank debt at year end fell to €14.4m.

"The recovery in performance allowed us to resume dividend payments," he said.

"Following an interim dividend of 3.15c paid to shareholders in April 2021, the directors are proposing a final dividend of 7.85c. Bringing the total dividend payment per share to 11c.”

Belgian sale

In July this year Origin announced the sale of its Belgian fertiliser business for €15.5m. At the time.

At the time of the announcement Origin blamed the sale on the inability to consolidate other opportunities in the fertiliser space in the region. Previously Origin sold a stake it had in a Brazilian fertiliser business.

In March 2021 Origin announced the acquisition of Green-tech, a UK landscape, forestry and grounds maintenance equipment provider.

Origin Enterprise is a standalone spin out from Irish Agricultural Wholesale Society (IAWS). In 2020 Tom O'Mahony stepped down after 35 years with the company and 13 years as CEO. Chief financial officer Sean Coyle was then appointed CEO.