Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Evergreen Announces Interim Result


Evergreen Announces Interim Result

Evergreen Forests Limited announced today it incurred a net loss after tax of $13.151 million for the six months ended December 2003 (December 2002 profit $4.270m). The loss incorporates the forest value write-down ($13.162m post tax) announced in December 2003. The introduction of valuation accounting on June 30 2003 means that the prior period result cannot be directly compared to this period. The previous accounting policy (historical cost) required the capitalisation of some interest and silviculture expenses which are now expensed under valuation accounting.

Evergreens Chairman, Mr Peter Wilson, said that escalating shipping costs and the strong currency had further impacted on forest values. While the company had previously warned of the consequences of these difficult trading conditions the scale of the value adjustment was material. The June 2003 forest value write-down and the further write-down in December 2003 placed additional importance on the strategic review outlined at the October 2003 Annual Meeting.

The review recommendations are currently being considered by the Board and decisions arising from that will be communicated to shareholders. Mr Wilson said he expected a future strategy to address cost rationalisation and additional measures to prudently manage the consequences of higher debt ratios.

Chief Executive, Mr Mark Bogle, said that harvest volumes of 115,279m3 were 28% lower than the previous corresponding period (160,270m3). However, he indicated that the company had increased production late last year and is expecting to harvest a higher volume of timber in the second six month period.


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Media Mega Merger: StuffMe Hearing Argues Over Moveable Feast

New Zealand's two largest news publishers are appealing against the Commerce Commission's rejection of the proposal to merge their operations. More>>

Elsewhere:


Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>

ALSO:


Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>

ALSO:

Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>