(Reuters) -Australia’s Graincorp on Wednesday raised its annual profit forecast for the second time, as the agribusiness firm continues to reap the benefits of a supply crunch from the war in Ukraine, aided by expectations of above-average East Coast Australian (ECA) crop.
The company said it now expects fiscal 2022 underlying net profit after tax to be A$365 million ($254.08 million) to A$400 million, compared with its earlier forecast of A$310 million to A$370 million, up significantly from A$139 million reported last year.
The agribusiness and processing businesses were on track to deliver record financial results, the company said, adding its supply chains were operating at close to full capacity to export grains.
Graincorp sees above-average ECA crop in year 2022/23, which, combined with a favourable three-month rainfall outlook, sets the company up for an upbeat fiscal 2022.
Australia, the world’s sixth-largest wheat exporter, is set to ship a record volume this year as buyers look for suppliers to replace cargoes from Russia and Ukraine.
($1 = 1.4364 Australian dollars)
(Reporting by Shashwat Awasthi and Savyata Mishra in Bengaluru; Editing by Krishna Chandra Eluri)
