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Mar 5 2020, 07:10 GMT
The recent ad-hoc trading release captured the key drivers of the interim result. The backdrop to the result was the lowest level of UK autumn/winter plantings in 30 years – with winter wheat plantings down an unprecedented 43%. Our model assumes a sharp rebound in free cash and earnings (+c.20%) in FY 2021, which the market is harshly discounting (FY 2021 PE 6.3x).