SHARES in agribusiness AWB plunged more than 10 per cent yesterday after the group downgraded its full year profit.
AWB shares tumbled 12c to 93.5c on news that profit before tax and one-time items would come in between $85 million and $110m from previous guidance of $115m-$140m.
This compares with a $93m result in the year to September 30.
AWB now expects to report a first-half profit for the period ended March 31 of $25m-$35m.
"With the exception of its Australian grain marketing business, all key operating businesses were trading broadly in line with expectations", on the back of improved seasonal conditions in Australia and strong support from international customers, managing director Gordon Davis said.
Increases in global wheat stocks, lower transactional margins and reduced price volatility within the Australian and international grain markets had affected the profitability of the grain marketing business, he said.
For more see The Australian.
