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


FMG achieves excellent results

Media Statement
June 21, 2005
For Immediate Release

FMG achieves excellent results

Leading financial services company FMG has posted a profit before tax of $20.0 million in the 2004/2005 year, up from $12.6 million the previous year.

FMG Chief Executive Gordon Smith said the result was extremely pleasing as the company was also able to increase equity in reserves by $13.8 million (22%), pushing total reserves to a healthy $77.3million.

“FMG has achieved excellent results this year, following four years of repositioning. Our concentration on core business activity that we know best has enhanced our general insurance products, policy wording and service delivery,” Mr Smith said.

“The strong profit result is based on a better underwriting result, stable investment return and an increase in market share and premium income.

“The results represent excellent progress for the group and further strengthen our ability to provide the product and security that will continue to meet the needs of customers in rural New Zealand and Australia,” he added.

Mr Smith said other highlights from the year included a 12.0% growth in general insurance premium income, a 5.0% increase in total operating revenue and the maintenance of the company’s A- (Excellent) rating from the international rating agency, AM Best Company.

He said the company also experienced exceptional growth in its Australian operation.

“We are unique in our unwavering support of the rural market as a manufacturer and distributor of financial services.”

FMG now has 36% market share of rural general insurance in New Zealand and is the undisputed market leader.

“The total concentration on selected core business functions is enabling us to better support customer needs and exceed service expectations.”

Based in Palmerston North and formerly Farmers’ Mutual Group, FMG offers a select range of financial services covering:
Rural, commercial and domestic general insurance in support of rural communities
A total package of life insurance products
A full service finance company
A quality financial advisory service.

“Our future aim is to achieve a greater focus on enhancing client relationships, further business growth and profitability to ensure the future of the business for all customers, existing and potential,” Mr Smith says.

FMG holds its 100thth annual general meeting in Dunedin on August 24.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Voluntary Administration: Renaissance Brewing Up For Sale

Renaissance Brewing, the first local company to raise capital through equity crowdfunding, is up for sale after cash flow woes and product management issues led to the appointment of voluntary administrators. More>>


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>>


Media Mega Merger: Full Steam Ahead For Appeal

New Zealand's two largest news publishers have confirmed they are committed to pursuing their appeal against the Commerce Commission's rejection of the proposal to merge their operations. More>>

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>>


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>>