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

 


Mad Butcher franchisor Veritas to boost dividends

Mad Butcher franchisor Veritas to boost dividends; 1H profit falls 6.8% percent

By Suze Metherell

Feb. 27 (BusinessDesk) – Veritas Investments, which own the Mad Butcher franchise chain, said earnings fell 6.8 percent reflecting a drop in sales and accounting adjustments, while boosting forecast annual dividends.

Net profit fell to $2 million in the six months ended Dec. 31, from $2.2 million a year earlier, the company said in a statement. The decline was in part due to accounting costs not previously recognised.

Revenue slipped 1.2 percent to $14.5 million. Its accounts show a 4.3 percent drop in carcass purchases to $9.4 million.

“We are seeing a shortage of protein available following the 2013 drought and higher meat exports both contributing to domestic supply shortages,” Mad Butcher chief executive Michael Morton said in a statement. “We are operating in a tougher retail environment from the points of view of both competitive activity and consumer spend.”

The company affirmed forecast of a full-year net profit of $4.2 million and full-year sales of $35.8 million. It will pay an interim dividend of 3.94 cents per share on March 28, with a March 14 record date.

Veritas lifted its forecast dividend for the 2014 financial year to 70 percent of net profit, from an earlier forecast of 60 percent, dependent on the need for cash for further acquisitions. It didn’t pay a dividend in the previous year.

The company said it is actively looking for further acquisitions, but is “not currently in any advanced discussions”. The Mad Butcher franchisor unit continued to expand, opening three new stores in the period.

The Auckland-based company bought the Mad Butcher in May 2013 in what was effectively a reverse listing, having sold its assets and returned capital to shareholders.

The NZX-listed investment company, which focuses on the food and beverages sector, bought half of Kiwi Pacific Foods in December for $2.8 million in cash and $400,000 in shares at $1.38 apiece, with potential earn-outs if certain export targets are met. The remainder of the business is owned by Antares Restaurant Group, which holds the New Zealand Burger King franchise.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

No Voda/Sky: Commission Declines Clearance For Merger

The Commerce Commission has declined to grant clearance for the proposed merger of Sky Network Television and Vodafone New Zealand. More>>

ALSO:

EARLIER:

Power: IEA Report On New Zealand's Energy System

Outside of its largely low-carbon power sector, managing the economy’s energy intensity and greenhouse gas emissions while still remaining competitive and growing remains a challenge. More>>

ALSO:

NASA: Seven Earth-Size Planets Around A Single Star

NASA's Spitzer Space Telescope has revealed the first known system of seven Earth-size planets around a single star. Three of these planets are firmly located in the habitable zone, the area around the parent star where a rocky planet is most likely to have liquid water. More>>

ALSO:

Auckland Transport Case: Men Guilty Of Corruption And Bribery Will Spend Time In Jail

Two men who were found guilty of corruption and bribery in a Serious Fraud Office (SFO) trial have been sentenced in the Auckland High Court today... The pair are guilty of corruption and bribery offences relating to more than $1 million of bribes which took place between 2005 and 2013 at Rodney District Council and Auckland Transport. More>>

ALSO:

Hager Raid: Westpac Wrong To Release Bank Records To Police

The Privacy Commissioner has censured Westpac Banking Corp for releasing without a court order more than 10 months of bank records belonging to the political activist and journalist Nicky Hager during a police investigation into leaked information published in Hager's 2014 pre-election book, 'Dirty Politics'. More>>

ALSO:

EARLIER:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news