adminRevenue for the 12 months also took a knock at US$111 million, representing a 6 percent retreat on the previous year.
In a statement, group secretary Mr John Matorofa said the intake rate of the Government’s input scheme came down by almost 47 percent in the period under review.
“The financial year ended March 31, 2013 was a challenging one, as reported during the interim results, particularly in Zimbabwe where the whole market’s aggregate seed uptake shrunk by close to 45 percent,” he said.
Apart from reduced seed uptake, Mr Matorofa said sales suffered from the late rains, tight liquidity and carry-over seed at the Grain Marketing Board and price wars in the cotton industry.
Winter cereal sales volumes also fell sharply, declining 41 percent during the year. But Zambia, Malawi, Tanzania and Kenya recorded growth, accounting for 60 percent of revenue.
Finance charges also had a major knock-on effect on overall group profitability after a 72 percent increase on the previous year, due to carry over borrowings to finance stocks, to US$7,4 million.
Seed Co said current assets increased by 6 percent to US$116 million while total assets ended the year at US$161 million.
Seed Co said it had spent US$9,6 million on capital projects in the past year, but had a total of US$11,4 million authorised, but uncontracted funds for capital projects.
Looking ahead, the company said it expected better agricultural support after the elections this year, continued growth in East Africa, increased subsidy and presidential input schemes in Malawi, growth in new cotton seed in Tanzania and Malawi and introduction of e-voucher in Zambia.
In addition, the company also expects lower finance charges with cash tied in inventory reduced, increased co-operation from leading seed houses enhancing group access to the latest technology, intensified business development work in West Africa and release of new products.
Online Reporter