Interim Management Statement

RNS Number : 3885A

Camellia PLC

30 March 2012

 



Camellia Plc

Interim Management Statement

30 March 2012

Interim Management Statement

This statement is made in accordance with Rule 4.3 of the UK Listing Authority's Disclosure and Transparency Rules and covers the period from 1 January 2012 to 30 March 2012. 

Tea prices have increased during the period but crop production has reduced as a result of only sporadic rainfall in Kenya, India and Bangladesh and frost damage in Kenya.

The economic and political situation in Malawi, which has led to shortages of fuel and foreign exchange, is being monitored closely.  However, the tea growing season has started well with high levels of rainfall. 

Estimates for the avocado harvest in Kenya are below initial expectations. 

The Macadamia harvest is expected to be comparable to last year.

The early maize and soya harvests in Brazil are progressing well and the impact of the hail damage from 2011 is not as serious as first anticipated. 

Unusually cold weather in the California central valley and low rainfall in the Sierra Nevada have increased production costs at Horizon Farm and significantly decreased citrus production.

The Group's UK engineering businesses are beginning to recover with an increase in order enquiries and the benefits of a programme of investment are starting to show positive results. However, recovery is expected to be patchy in the current difficult economic environment. 

The businesses in the Netherlands, Wylax International BV and Affish BV, are being impacted by stiff competition and lower margins due to the double dip recession in the local economy which is also reducing consumer spending.

The overall utilisation level of warehousing by Associated Cold Stores and Transport has improved. However, margins are still under pressure.

Duncan Lawrie continues to increase its marketing efforts to drive further growth. 

Camellia Plc will announce its results for the year ended 31 December 2011 on 26 April 2012. 

For further enquiries please contact Camellia Plc

Malcolm Perkins, Chairman

01622 746655

30 March 2012

 

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