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Origin Enterprises, the parent company of Agrii, reported a decrease in profit before tax of 12.8% to €71.3m (£60m) for the year ending 31 July, attributing the decline to challenging weather conditions affecting farmers and the wider agricultural industry in the UK.

In the UK and Ireland, Origin recorded an operating profit of €39m (£32.6m), down 17% from the previous year, with revenue also decreasing by 20% to €1.2bn (£1bn).

The company cited adverse weather conditions as the main factor behind these financial declines, affecting the performance of its agronomy services due to difficult weather and in-field conditions leading to an 8.5% reduction in the overall planted area to 3.9m hectares.

Origin’s CEO, Sean Coyle, highlighted the UK market as the driver of reduced profits, with a smaller planted area and delayed on-farm activity resulting from challenging early season conditions. As a result, the company had to make the tough decision to reduce staff numbers in its UK agronomy business.

Despite the challenges, the company’s animal feed joint ventures in Ireland saw strong results, driven by increased demand for feed due to the poor weather conditions. Origin also faced a working capital outflow of €62.9m (£52.6m) during the year, primarily due to sanction payments and higher debt resulting from delayed applications caused by the weather.

Furthermore, Origin Enterprises recently expanded its portfolio by acquiring two specialist ecology consultancies, Avian Ecology and Bowland Ecology, in September. These acquisitions will enhance its Living Landscapes division, complementing its existing Neo Environmental and Keystone Environmental businesses, according to TJ Kelly, divisional managing director of Living Landscapes.

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