2017 was a highly successful year for the Danish Agro Group. We have become a stronger partner for those farmers we work with.
Success for the modern farmer depends on know-how and quality products at competitive prices able to create value for the farm. The whole of Danish Agro's strategy is based on supplying such factors. Our reason for being is to create value for farmers.
That's why we are highly satisfied with being able to strengthen our position in 2017 as an efficient partner to farmers, consolidating our international position and achieving a level of profit that fully lived up to our expectations and objectives.
Growth and development are essential for Danish Agro to continue being an effective partner for farming. We shall always seek to ensure that we have high quality products at competitive prices in stock.
Our strategy is clear. We will retain our relative international size in relation to our competitors and suppliers, whilst ensuring that we effectively fulfil the needs of a modern, professional farmer. That's the best way for us to help farmers.
Danish Agro succeeded in becoming an even more attractive partner for farmers in 2017, thanks to a range of structural measures.
2017 was a good and successful year for the Danish Agro group, which met all its financial targets. Pre-tax profit for the year was Eur 82 million, in line with the previous year.
The group's executive board is highly satisfied with the profit made and improved financial KPIs. Turnover in 2017 was Eur 4.2 billion, in line with the previous year. A late harvest and trends in commodity prices meant a fall in agribusiness turnover, compensated by increased activity within the machinery sales division.
Consolidated equity rose by Eur 64 million from Eur 593 million to Eur 657 million. Group equity has risen by Eur 379 million over the last five years This is in line with the Danish Agro group's focus on strong key figures, which are essential to create value for the owners.
An increase in the group's solvency ratio to 31.3% is deemed to be positive, in the light of acquisitions in Germany, Sweden and within the machinery division made in recent years.
The criterion for group growth has always been healthy financial KPIs. Between the years of 2010 and 2017 the group more than doubled in size, whilst succeeding in boosting the solvency ratio from 19.6% to 31.3%. We consider that to be very positive.
The group's target is to reach a solvency ratio of around 35%.
Below you can read our annual reports: