1 hr ago – 8.57AMCosta Group sees first-half performance...

1 hr ago – 8.57AMCosta Group sees first-half performance ‘marginally ahead’
Sarah Turner
Costa Group said first-half performance is expected to be marginally ahead of the previous comparable period, with strong international operations offset by challenges in domestic produce conditions.Across domestic produce categories, the company has seen mixed performances in the current year to date, it said.Whilst operating performance and results from the international segment have beenpleasing, as expected, the reported results will be negatively impacted by the higher Australian dollar.It is now well progressed on harvests in both China and Morocco and, as reported in February, performance has been very positive versus the previous year and expectations. In China, although volumes were initially slightly down due to some late flowering, yield is expected to finish in line with expectations. There has been strong pricing and demand over the season.This was also helped by lower imports of South American fruit into the market earlier in the year. Premium varieties have gained further market recognition which supports the continuing development of the company’s farming footprint.In Morocco early season plantings in Agadir as well as earlier season higher volumes across our northern farms together with generally strong pricing has seen the business perform well, although ongoing supply chain and COVID related costs have had an impact.The company continues to look for high quality citrus assets to build out its offering and export market opportunities and is actively engaged in a citrus acquisition program.