Healthy balance sheet for SunRice

The second half of the financial year has shown an increase in profits for SunRice. See what was unveiled to shareholders.

SunRice has announced a net after-tax profit of $32 million for the half-year period.

The financial results, announced during a shareholder meeting on Friday morning, showed an increase compared to the same period last year when an after-tax profit of $30.6 million was declared.

SunRice managing director Paul Serra said estimated earnings before interest, taxes, depreciation and amortisation were $67.9 million.

“This was supported by a favourable product mix and cost control initiatives,” he said.

In the second half of the financial year, the group completed the acquisitions of both SavourLife and Simply Delish and also bolstered the CopRice and Riviana sections of the business.

Shareholders were told during the meeting that in the past six months, the group had invested $21 million in capital expenditure and a further $21 million in acquisitions. The net debt of the group was reduced by $22 million to $202 million.

A Riverina rice crop. Picture: Emma Jane Industry

Mr Serra said the falling Australian dollar had helped to boost rice on the international market, making it competitive on the export market.

In terms of payment, from the previous crop harvest in autumn, growers could expect $380/tonne.

The group announced that SunRice had delivered a total shareholder return of more than 408 per cent. B-Class shareholders could expect 15 cents a share fully franked for B-Class shareholders, which represented a return of 48.2 per cent.

Meanwhile, projected yields for the 2025 crop, which was planted earlier in October, were anticipated to be lower than last season’s yield of 618,000 tonnes.

And the year ahead will be a time of breaking new ground. Starting July 2025, SunRice will not have vesting powers for NSW-grown rice.

Despite these changes to vesting, grower shareholders were told the group was positive about the transition.