Agribusiness Elders expects strong prices for sheep and cattle and rising demand for live exports to continue to drive its profit growth.
The company says cattle prices are on average 26 per cent higher than last year, and that will continue to be supported by robust demand, tight supply of livestock and a lower Australian dollar.
"Cattle and sheep prices are expected to remain strong, and demand for feedlot and live export continues to grow," chief executive Mark Allison said.
Elders has launched an online platform for livestock sales and is investigating its expansion, and is also looking to grow its opportunities for live exports.
"We are actively considering opportunities for growth across both domestic and international markets, including Indonesia, Vietnam and China," Mr Allison said.
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After several years of losses the company has launched a three year plan to lift earnings, which is already delivering results.
Elders more than tripled its underlying profit in the six months to March 31 to $16.2 million, due to higher livestock prices and operational improvements.
Those improvements included improved efficiency at its Killara feedlot near Tamworth in NSW, and a restructure of its business in China to focus on meat sales.
Net profit, which includes one-off items, was $15.9 million, up from a $10.2 million loss a year ago.
Elders said live export trading conditions were mixed in the first half of its fiscal year, with softer demand from China for dairy livestock, but market growth in Vietnam.
The company anticipates positive operating conditions will remain for the second half of its fiscal year, with encouraging market and seasonal conditions.
"The outlook for the remaining financial year to September is positive, with expectation of improvement against last year's results," Elders said.
The company made an underlying profit of $8.8 million in the 2013/14 year, and a net profit of $3 million.
Elders shares were up 13 cents, or 4.1 per cent, at $3.31 at 1305 AEST.
LIVESTOCK PRICES, LIVE EXPORTS BOOST ELDERS
* Revenue of $645.5m, up two pct from $631.4m
* Net profit of $15.9m, up from a loss of $10.2m
* No interim dividend
