Silver Fern Farms, the biggest South Island meat company, turned to a full-year operating surplus, from a year-earlier loss, as it benefited from sales growth driven by higher prices for red meat.
Operating earnings were $40.6 million in the 12months ended Sept.30, from a loss of $8 million a year earlier, the company said in a statement.
Sales climbed 17% to $2.1 billion from $1.8 billion.
In a year marked by a volatile New Zealand dollar, storms that resulted in a record-low lamb crop and a fire at the firm’s Te Aroha plant, farmers ended up getting record returns, thanks to rising prices for red meat and by-products, chief executive Keith Cooper said.
The company will pay a dividend of 10 cents a share, bringing distributions to $14.5 million when the quarterly performance premium payments are included.
The shares last traded on the Unlisted platform at 75 cents on Nov. 14.
(BusinessDesk)
We welcome your comments below. If you are not already registered, please register to comment.
Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.