Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

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

 

Turners & Growers narrows 1H loss, writes down orchards

Turners & Growers narrows 1H loss, writes down orchard values

Feb. 28 (BusinessDesk) - Turners & Growers, the fruit marketer controlled by Germany's BayWa Aktiengellschaft, narrowed its first-half loss after taking another writedown on the value of its kiwifruit orchards from the outbreak of Psa vine bacteria and taking a more downbeat view on its apple orchards.

The Auckland-based company made a loss of $15.3 million, or 13.1 cents per share, in the six months ended Dec. 31, from a loss of $18.9 million, or 17.2 cents, a year earlier, it said in a statement. That included a $29 million impairment charge, and was slightly smaller than the $16 million to $19 million loss it signalled in December. Sales rose 3.7 percent to $669.1 million.

The company pulled out about 20 hectares of kiwifruit orchards last year after finding the Psa bacteria, and today said "strict controls are in place to contain the bacteria."

The board didn't declare a dividend. The shares rose 2 percent to $1.53, having shed 9.1 percent this year.

Chairman Laus Josef Lutz said early trading in 2013 is "slightly above budget", without giving any further guidance.

T&G reported higher returns from its pipfruit exports on lower volumes as it implemented a currency hedging regime and cut supply chain costs. Export sales rose to $359 million from $314.2 million, though its segment profit of $2.9 million was smaller than the $7.6 million in 2011 due to an impairment charge on kiwifruit plant variety rights and a bad debt provision.

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

The domestic business reported a 6.4 percent fall in external revenue to $143.5 million and a 70 percent slide in operating profit to $1.5 million due to an oversupply of imported produce.

Processing sales rose 5.5 percent to $57.2 million and profit gained 22 percent to $3.3 million, growing its sales of fruit ingredients products.

The growing operations reported a loss of $22.8 million on sales of $45 million on the writedowns to its kiwifruit orchards and apple orchards.

(BusinessDesk)

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Business Headlines | Sci-Tech Headlines

 
GenPro: General Practices Begin Issuing Clause 14 Notices

GenPro has been copied into a rising number of Clause 14 notices issued since the NZNO lodged its Primary Practice Pay Equity Claim against General Practice employers in December 2023.More

SPADA: Screen Industry Unites For Streaming Platform Regulation & Intellectual Property Protections

In an unprecedented international collaboration, representatives of screen producing organisations from around the world have released a joint statement.More

 
 
 
 
 
 
 
 
 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.