Last year was an exceptional one for weather, with a harsh, snowy winter and a long, hot summer. These extremes are good for agriculture companies such as Wynnstay (WYN), since it can sell feed and other products that help farmers deal with these conditions. This year has seen a mild winter, which meant less need for extra feed and other weather-related products.
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Politics hasn’t helped, either. Farm-gate prices have weakened, partly believed to be due to Brexit and political uncertainties undermining farmer confidence. Wynnstay said trading in the second quarter has “significantly weakened” and trading is now behind seasonal norms. Results for the first half are expected to be “substantially behind” that of last year.
