A combination of share issue dilution and capital spend on civil works to get the already acquired farms up to a desired standard. A question does remains in regards what the current milking cow herd levels are at.
Raw milk prices coming off doesn't help but that is across all producers and if AHF have it right they get volume based incentives to help ease this seasonal pain.
15 cents is a bit off the mark in my view making it a good accumulate if you like the sector.
What do we Own?, page-6
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