Agricultural supply business Wynnstay plc said in its half-year results statement that farmer confidence is returning.

"Trading remains in line with overall budgets and the group is well-positioned to meet current market expectations for the full year," said the CEO, Ken Greetham.

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Revenue from continuing operations in the six months to the end of April 2018 was up 10.3% to £218.53mln from £198.14mln in the corresponding period 12 months earlier, feeding through to register a 15.7% increase in profit before tax to £4.91mln from £4.25mln.

The agricultural division's revenue rose 9.9% year-on-year to £160.1mln, while operating profit rose 33% to £2.05mln.

The group said the strongest recovery was in animal feed, driven by farmers returning to more typical feeding patterns and the protracted winter.

The specialist retail division saw operating profit rise 6.2% to £3.1mln on the back of an 11.4% increase to £58.3mln.

Wynnstay Stores benefited from the improved trading backdrop, with like-for-like sales up 8% year-on-year, excluding inflation.

"Wynnstay's interim results are encouraging, with the group's stronger performance reflecting the long-awaited upturn for the agricultural sector, which started to come through in 2017. The continuing improvement in farm-gate prices has boosted farmer confidence, and demand across most product categories was higher year-on-year,” said Ken Greetham, the chief executive officer of Wynnstay.

"We continue to invest in and develop the group in line with our strategic plans, and, at the end of April, acquired eight stores from the administrators of Countrywide Farmers PLC. This strategic acquisition together with two separate store purchases strengthen our presence in a number of counties, especially in the South West of England, where Wynnstay is currently under-represented,” he added.

Shares in Wynnstay were up 1.6% at 465p in early deals.