Wynnstay Group Plc (AIM:WYN) is looking for acquisition opportunities. Steve Ellwood, Chairman said "In November 2023, the Board reported that with uncertainty over milk and other farm-gate prices, farmer sentiment is likely to remain cautious in the short-term. We expect this to remain the case.

However, with our strong market position, good cash flows and very robust balance sheet, the Board believes that the Group is well-positioned as we continue with our strategic growth plans and investments, which will further strengthen our position in the market. We continue to review acquisition opportunities that fit our strategic criteria". Gareth Davies, Chief Executive Officer said "The trading backdrop remains difficult.

Farmer sentiment is cautious, reflecting uncertainty over farmgate prices and the adjustment to the Environmental Land Management Scheme and the Sustainable Farming Scheme. We anticipate current low milk prices to continue to suppress dairy feed demand, although some recovery is expected in the coming months, and arable inputs are likely to be down in the spring, following the significant reduction in autumn cereal planting. It is also reasonable to expect a smaller 2024 harvest.

Energy and labour costs remain factors too. While these are challenges for the entire sector in the short term, Wynnstay's strong balance sheet and good cash generation enable us to continue to invest across the business in support of our growth plans, and to consider acquisitions. The Group is well-placed in the marketplace and its balanced business model helps to smooth sector variations and remains a strength".