DESPITE the many uncertainties thrown up in 2019 – not the least of which were Brexit and the weather – North-east farming co-op, the ANM Group, has posted a trading profit for the year of £245,000.

While this is roughly half of the previous year’s positive, the group’s hierarchy remained pleased with the performance, despite its main income stream, the auction side of the business, posting a loss of £99,000 which was also partly masked by positives from other parts of the business.

Also offsetting the auction losses was a significant increase in interest gained from ANM’s stock lending facilities, which returned £344,000, against £290,000 the previous year.

Share capital at the year end had increased by £309,000 to £6.835m, with an overall increase in balance sheet value of £1.3m.

While livestock trading values have generally seen a drop nationally, ANM consistently achieved the best price per kg in Scotland, it said. And, January, 2020, saw the introduction of a significant change to livestock commission rates, reducing to as low as 3% for members as part of ongoing efforts to deliver value for shareholders.

ANM’s chairman, Peter Watson – for whom an extension to a three-year term as chairman had been ratified by the board – commented: “This is a very welcome trading surplus for the year, given the challenges and drop in values across the wider livestock industry.

“The further increase in share capital this year is outstanding testament to the confidence that members of the co-operative have in our business. They are continuing to benefit from our wide range of membership benefits, including reduced commission rates introduced for the start of 2020.”

He also commended the efforts of fundraisers in the business. “We are proud of our part in the community and delighted to be able to support charitable endeavours wherever we can. So I was delighted at the £64,000 raised for cancer charity Friends of Anchor at the fantastic event staged in January to mark the 30th anniversary of Thainstone Centre.

“There could not have been a more inspiring way to celebrate our birthday than in this fashion.”

Grant Rogerson, ANM’s chief executive, added: “Our annual results demonstrate that the fundamental commitment on which our co-operative is founded – delivering for our members, customers and community – has served us well despite a very challenging background.

“Given today’s unprecedented trading environment, that solid foundation will continue to underpin all that we do. We continue to benefit from the diversity of our operations across all our group activities.

“The strength and hard work of the teams across our livestock, specialist auctions, estates and events businesses has resulted in a very satisfactory set of trading figures for 2019. This, in addition to a relentless focus on innovation and growing the business, has allowed us to continue to deliver a first class service and strong returns for members.

“Our drive to innovate will continue – this year has seen further investment in our property portfolio, strengthening assets and our balance sheet. Long-term projects like the Thainstone Business Park extension will continue to drive future value for the group and the regional economy.”

On coronavirus, which occurred after the conclusion of the 2019 financial year, Mr Rogerson stressed the company’s determination to continue offering a strong service to livestock producers, whilst complying with rigorous public health restrictions.

He said: “We are confident that ANM is in a strong position to withstand the challenges of coronavirus, and are rigorously implementing new industry guidelines on safe operation through the pandemic. This is clearly not business as usual and the pandemic does bring uncertainty, but our full service is available for selling through the ring at Thainstone and Caithness.

“In addition, we are pioneers with new technology and were the first auction company in Scotland to implement live online bidding for our weekly livestock sales. We’re committed and working exceptionally hard to continue supporting our local producers and early evidence is that we are maintaining good throughput.

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