Scottish grain merchant W.N. Lindsay experienced an 18% drop in profits last year.
The company, which has grain stores in Keith, Stracathro near Brechin, and Tranent in East Lothian, posted pre-tax profits of £1.610million for the year ended May 31, 2017 – down from £1.978million before.
The accounts filed with Companies House reveal a boost in turnover to £83.316million, from £81.142million.
In a report with the accounts the firm said capital expenditure in the year included the acquisition of the Sidlaw Grain store at Burrelton, Perthshire, and expansion of grain storage capacity in Moray.
“The agriculture market was challenging last year, with flat prices and poor yields from the 2016 harvest, and this position has continued into the current financial year,” said the company.
“The ongoing pressure on farm income and Brexit-related uncertainty, particularly around agriculture policy, creates an uncertain environment for the current financial year.The directors consider however that the group is well placed to manage these difficulties and to take advantage of any opportunities that may arise.”