Nufarm writes down $21 million in profits

Submitted by Stock Market News on 16 June, 2011 - 11:27

Nufarm Limited (ASX:NUF) was forced to cut down its full year profits by $21 million due to a dispute with a supplier. It was unable to reach an agreement with the disgruntled supplier over claims related to their sales of glyphosate, which is one of the company's main ingredients for weed killers.

Nufarm reported $58 million in receivables and told its investors that it's confident in getting payments. Analysts say that the market will look past the news which will be a one-off cost.

Nufarm reported a $4.38 million net profit for the six months to January 31, 2011.