Bumper profit for Seeka Kiwifruit

Last updated 16:44 22/08/2014

Relevant offers

Cropping

Austrian blueblood to plant 'Carlsberg Forest' in Hawke's Bay Kiwifruit growers give strong mandate to industry-good body Plantation forestry more competitive if farming made to pay for pollution Farm environment plan made easy, not rocket science Robotic apple packing developed by NZ company Robotics Plus ready to go offshore Mesh cover highly effective at keeping pests off potatoes Ecan says more regulations on the cards for farmers Rockit apple founder sells shares as company looks to expand New Zealand now world's top 3 wine import into USA by value Second year Lincoln student wins Ravensdown Hugh Williams Scholarship

A bumper harvest and new business opportunities have helped push up the first-half profit of listed produce company Seeka Kiwifruit Industries.

The company has reported a 121 per cent increase in after-tax profit of $1.5 million for the six months to June 30.

Revenue was up 18 per cent to $79.2m, comparable to the same period two years ago.

Operating profit was $5.8m, including $1.4m from the sale of its stake in Opotiki coolstore operation OPAC.

Seeka said it was satisfied with the result "despite challenging trading conditions and rising costs", including a competitive post-harvesting environment that was making margins tight.

Market share grew nearly 25 per cent for the Hayward variety of kiwifruit but slipped 1o per cent in the SunGold variety as many gold kiwifruit growers rebuilt their orchards.

Gold kiwifruit were particularly hard hit by the Psa bacteria, but market share was expected to rebound when regrafted SunGold orchards reached commercial volumes next year.

In April, Seeka bought importer and ripening services firm Glassfields for $5.4m, which was partly offset by the $3.1m OPAC sale.

The company said it would consider an interim dividend and provide full-year guidance at its shareholder update in October.

Ad Feedback

- Stuff

Special offers

Featured Promotions

Sponsored Content