What happened to Elder’s share price?
Rural services provider, Elders Ltd [ASX:ELD], is up 3.8% today, at $3.84.
The rise follows a massive jump of 9% yesterday and a 3% rise on Monday. The stock has had an exceptional start to the year, rising by more than 60% since January.
Why are HSN shares trading higher?
This week’s gains came after Elder’s announced its half year results.
In a stark turnaround from this time last year, the company reported profit of $15.9 million, against a $10.2 million loss a year ago.
Another good sign was that ELD managed to reduce its debt by 63% over the year.
Revenues picked up at its Tamworth feedlot, while a restructure of Elders’ Chinese business boosted meat sales and raised profit margins on its feed and processing businesses.
Higher livestock prices and a more diversified live export business also helped.
What now for Elders Ltd?
CEO Mark Allison said that the strong numbers were the result of the first phase of the company’s ‘eight point plan’.
This plan is ongoing and should continue to deliver good results to shareholders.
for The Daily Reckoning Australia