Leading Australian almond grower-packer-exporter Select Harvests has announced a A$23.9m net profit over the six months to 31 December 2015.
Operating cash flow lifted to A$80.8m over this time period, up from A$18.4m over the first half of the year, while the group’s food division posted a revenue of A$91.7m, an increase of 30 per cent on the previous year.
The performance came on the back of record global almond prices over the second half of last year, which have since retracted, according to the company.
“There has been a lot of speculation that this price movement is driven by an increase in almond supply out of the U,” Select Harvests said in a statement. “US production has only increased approximately 1.8 per cent. The price pullback is primarily a reaction to record prices.”
The company anticipates the current market prices to stimulate demand in price sensitive markets such as India, China and the Middle East.
Select Harvests began its 2016 in February, with a yield estimate of 13,700 tonnes for the season, down 5 per cent on the record 2015 crop of 14,500 tonnes.
The forecast accounts for the biennial nature of the pollinator varieties and the removal of some older trees at the company’s Kyndalyn Park orchard.