MP Evans shares bucked a falling stockmarket after the palm oil and beef group revealed soaring plantation earnings and the sale of a loss-making Australian venture.

The UK-based group, unveiling a 14.9% rise to a record $53.6m in annual earnings, warned that it would struggle to match that performance in 2009.

Falling palm oil prices, and a slowdown in property sales in Malaysia, which MP Evans is quitting in favour of Indonesia, meant results were "likely to be lower".

However, the prospect of a sale of its Australia-based Woodlands cattle business helping meet the group's demand for cash sent MP Evans stock 13p, or 4.8%, higher to 282.5p by close of play in London.

'Further acquisitions' 

MP Evans, which kept its dividend on hold despite the earnings rise, faces a steep bill to plant 36,000 acres acquired in Indonesia, mainly with palm oil.

While the group, which has planted 8,500 hectares so far, said it had the funds for completing a further 9,500 hectares by the end of next year, it added that its "longer-term development programme will be governed by the extent of funding  available at that time".

MP Evans may also increase its stake in North Australian Pastoral Company, an Australian producer of grain-finished cattle in which it bought a further 4.7% stake last year to take its total holding to 34.4%.

"Active consideration will be given to further share acquisitions as and when suitable opportunities present themselves," MP Evans said.

Loss maker

While MP Evans declined to say how much it expected for Woodlands, which covers 31,000 hectares, it said the business was valued at Aus$33.5m two years ago and that demand was "holding up well for good-quality pastoral properties and pastoral companies".

Woodlands, which rears grass-fed cattle, fell to a US$975,000 loss last year after drought put paid to a promising early start to the year.

For the group, revenues from continuing operations rose 43% to $30.4m, driven by plantations, with Indonesian palm volumes growing by 11% and the oil extraction rate edging 0.64% higher to 21.06%.