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Nufarm Limited (ASX:NUF) has warned its full year earnings and profit will take a hit after posting a 53 per cent fall in first half profit.
The agricultural chemicals supplier generated an interim net profit of $8.4 million, reduced by $9.2 million of foreign exchange losses in the six months to January 31, 2013.
Nufarm says as an agricultural business it is exposed to seasonal and climatic conditions. Managing Director Doug Rathbone has advised the season in Australia has been exceptionally bad from the crop protection demand perspective.
As a result Nufarm expects underlying net profit below last year’s result and within a range of $80 million to $95 million, hit by foreign exchange losses and higher interest costs.
A fully franked interim dividend of 3 cents per share has been declared.
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