The rebate took $56.8m though only $39.4m was paid in cash with the balance allocated for new shares, further helping the cash position, the annual report said.
The last time it was in profit after rebate and tax was in 2014 when $6.09m was posted. Losses were recorded in 2015 ($14.8m), 2016 ($18.09m) and 2017 ($2.79m).
Ballance lifted its gross trading profit before rebate and tax by 25% to $71.3m, from $56.8m a year earlier, though the rebate was held steady at $45/tonne.
Chief executive Mark Wynne signalled earlier a bottom-line surplus would be posted.
Revenue rose 2.6% to $826m and the increase in volumes terms was 1.5% to 1.64m tonnes.
Wynne and chairman David Peacocke said sustainability is very much front of mind for the group’s customers.
“We are putting our minds to how we can help farmers 10 years from now and starting work on those solutions today.”
Sentiment among farmers and growers is encouragingly positive now but the regulatory landscape is changing with potential for increasing competition in the fertiliser market. Both require forward thinking and increased agility.
Farmers’ sustainability focus and the regulatory constraints will further drive demand for smarter products such as the premium nitrogen products SustaiN and PhasedN, the MyBallance digital farm-mapping online platform and the Spreadsmart technology for aerial fertiliser applications.
Another product, developed with AgResearch and due for roll-out this financial year, is designed to improve the efficiency of nitrogen on pastoral farms.
A PGP programme product, Mitigator, was launched to provide hot-spot mapping for the four key farm contaminants – nitrogen, phosphorus, sediment and E coli.
“We are always asking what customers want from us and most of all they want their co-operative to help them get ready for the future of farming.
“We pay a lot of attention to what we are doing today while also keeping an eye on the horizon so that if the landscape changes we’re there with the answers about how to keep farming sustainably and profitably.”
At balance date, Ballance had total assets of $574.6m, including shareholders’ equity of $437m. That is a very strong equity ratio of 76% after the rebate provision. Inventories were $166m, up from$139.7m.
Operating cashflow for the year was $38.2m, down from $83m a year earlier.
