RURAL products sales and real estate have been major contributors to a strong financial year for Elders, who announced underlying earnings before interest and tax of $232 million - a 39 per cent increase on 2021 - at its annual general meeting in Adelaide on Thursday.
The agribusiness giant reported a 26pc return on capital and dividend per share of 56 cents, an increase of 33pc.
"Steady growth across all of our core products and geographical areas has contributed to this result, which is a testament to our business improvement initiatives," chief executive officer Mark Allison said.
"Elders' performance this year reflects the continued commitment to improvement and growth in accordance with our eight-point plan, coupled with excellent seasonal and market conditions."
Retail products sales rose 44pc to $2.4 billion, while wholesale products sales rose 22pc.
While last week's Rural Bank outlook highlighted costs as a big threat to farm profit margins, Mr Allison said Elders were taking steps to curtail the impact on farmers.
"With our backward integration strategy we're sourcing directly and taking out the middle man, which should have an impact on the cost structure for crop protection products," he said.
"For fertiliser, it's commodity market driven. While the overall margin has gone up, our margin percentage has gone down.
"The impact of the Ukraine war is that as well as driving up commodity prices - a benefit to Australian farmers - it has driven up input prices.
"Because commodity prices are high at the same time, you can still make money."
Other financial highlights for Elders included its farmland sales turnover, which increased by 54pc to $2.5b, and residential sales turnover, which increased 21pc to $1.8b.
Livestock sales dipped slightly, with the head of cattle sold down 12pc to 1.4 million and head of sheep sold down 3pc to 9 million.
The throughput of Elders' Killara feedlot increased by 12pc to 67,000 cattle sold.
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Elders chair Ian Wilton thanked staff and Mr Allison for their contribution to the company's success.
"Our commitment to supporting and driving the growth of agricultural production across the country has allowed Elders to report an exceptional financial result," he said.
"From the board's perspective, the results demonstrate Elders ability to leverage excellent seasonal and market conditions in accordance with its eight-point plan to create value for shareholders."
Mr Allison will finish with Elders in November next year and expects to go into non-executive director work and spend time pursuing his passion for music.
He joined Elders as a non-executive director in 2009 and served as chairman and executive chairman between July 2013 and April 2014.
He was appointed managing director and chief executive officer in May 2014, at a time when Elders was in significant financial distress.
"His outstanding leadership bought purpose and direction both to the senior management team and the company as a whole," Mr Wilton said.
"He drove the creation and execution of the first eight-point plan in 2014, which has been instrumental in returning Elders to a pure play agribusiness."
The Elders board will oversee a search and evaluation process on internal and external candidates for Mr Allison's replacement.
In last AGM speech, Mr Allison said it had been a privilege to lead an iconic Australian business and brand.
"There is no business quite like Elders," he said.
"It holds a unique history and plays an important role in rural Australia, assisting Australian farmers to be the most productive in the world."
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