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Farming co-operative ANM Group enjoys 221% increase in pre-tax profits

ANM hosted the Royal Northern Agricultural Society's Spring Show at the beginning of March.
ANM hosted the Royal Northern Agricultural Society's Spring Show at the beginning of March.

North-east farmers’ co-operative ANM Group has hailed a successful year with profits up by 221%.

The group, which runs livestock auction marts at Thainstone near Inverurie and Quoybrae in Caithness, posted a pre-tax profit of £437,000 for the year to December 31, 2021.

This is up from a pre-tax profit of £136,000 in 2020, and a pre-tax loss of £160,000 in 2019.

The group also posted a 10% increase in throughput to £133.28 million, from £121.39m the year before, and its trading profit was up 25% to £659,000.

ANM Group chairman and Banchory farmer Peter Watson, who will retire from his role at the co-op’s annual general meeting next week, welcomed the results.

“To generate a trading surplus of £659,000 against a very uncertain backdrop gives the group confidence to look to the future, knowing we can continue to deliver for our members in even the most challenging of circumstances,” said Mr Watson.

ANM Group chairman Peter Watson.

“In this, our 150th anniversary year, I am delighted to be handing on the baton with the group in such a promising position – as a friend, member and customer of the business, I will look forward to further progress in the future.”

ANM Group chief executive, Grant Rogerson, said the results showed a “very positive outcome” for the group’s trading in 2021.

He said the total value of members’ investment in ANM had been maintained at £7m and members had saved £370,000 in reduced shareholder commission rates.

In his report accompanying the accounts, Mr Rogerson said: “Our continued and relentless innovation – alongside investment in our people, technology, and infrastructure – are yielding returns in the present, but also preparing us for the future.”

He said throughput through the group’s livestock auction division – Aberdeen and Northern Marts – was up on the year and digital investment was allowing more online attendance and routes to sale for vendors.

ANM Group chief executive Grant Rogerson.

The group’s specialist trading division Thainstone Specialist Auctions, had a strong trading year, backed by increased online sales activity, while the estates division – Aberdeen & Northern Estates  – had a “busy and productive year” with 42 sales, added Mr Rogerson.

He said the group’s hospitality businesses suffered for the second year in a row due to ongoing Covid-19 restrictions, however the team was working to rebuild its customer base.

He said activity had continued across the group’s property portfolio and investment at the Thainstone Business Park was progressing with the park’s multi-let units due for completion this month.

Looking forward, Mr Rogerson said: “Our co-operative structure means that the trading surplus this year will go straight into investing in the business, yielding returns in the present, but also preparing us for the future.”