The group’s fertiliser prices to farmers were held at a level that shrunk margins, chief executive Greg Campbell said.
The profit before tax and rebate for the year ended May 31 was $52 million, down from $63m a year earlier.
After the rebate, tax and the impact of discontinued operations the profit was $12m, up from $7m.
Ravensdown is paying $35m back to shareholders through a $30 a tonne rebate on fertiliser. That is down from $47 a tonne rebate last year.
Following usual practice, half the rebate was paid in June with the balance paid this month.
The co-operative will retain $12m of net earnings to invest in infrastructure, research and development, product innovation and new technology, chairman John Henderson said.
“After five years of consistently profitable results our shareholders tell us that the rebate in any one year is not the be all and end all.”
A sustainable co-operative with competitive pricing across 12 months of the year is more important for the long term.
During the year Ravensdown continued investing in precision mapping and spreading technology and more environmental specialists were recruited.
Campbell said more precise aerial scanning and application resulted in 18% of farming areas belonging to IntelliSpread customers being avoided because they were environmentally sensitive or unproductive.
Fertiliser tonnages were virtually static year-on-year but sales of the coated urea product N-Protect increased by 75%. It helps reduce the amount of nitrogen lost to the atmosphere.
Revenue of $750m was up from $678m a year earlier.
