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

 


Lyttelton Port resumes dividends after insurance swells 1H

Lyttelton Port resumes dividends after insurance swells first-half profit

By Paul McBeth

Feb. 28 (BusinessDesk) - Lyttelton Port Co, Christchurch’s ocean trade hub, has resumed dividend payments for the first time since 2010 after reaching a settlement with its insurers over the damage caused by the Canterbury earthquakes, which swelled its first-half profit.

The company will pay an interim dividend of 2 cents per share on March 27 with a March 20 record, its first return to shareholders since the 2010 financial year. The port made a net profit of $336.5 million, or $3.291 per share, in the six months ended Dec. 31 from $3.25 million, or 3.2 cents per share, a year earlier, it said in a statement. The bulk of that came from the company recognising $357.6 million in insurance income as part of its $438.3 million settlement with Vero, NZI and QBE.

Lyttelton Port still has an outstanding matter with a third party that may result in an additional recovery, it said.

Stripping out the impacts of the earthquake, Lyttelton Port reported a 19 percent drop in earnings to $6.5 million, while affirming its annual forecast of earthquake adjusted profit to be between $15 million and $16 million in the 12 months ending June 30.

“The financial result, excluding the significant insurance proceeds, is strong albeit down on the same period last year,” chairman Trevor Burt said. “Expenses are up as the company has invested resources on a number of initiatives in health and safety, capacity and productivity.”

Employee expenses rose 13 percent to $23.3 million, and the cost of materials consumed and utilised increased 23 percent to $14.5 million. Revenue rose 6.4 percent to $57.6 million, with total container volumes up 9.2 percent to 185,630 twenty-foot equivalent units (TEUs) due to increased dairy exports and a steady stream of imports to support the Canterbury rebuild.

Log volumes climbed 79 percent to 279,736 tonnes and coal advanced 8.2 percent to 1.07 million tonnes.

Lyttelton Port said it recently completed a safety audit of all operations and is implementing more training, increased supervision and clearer procedures to improve health and safety. The company had two deaths on its site in November and December last year in the operations of third-parties, and another serious injury in January, which is being investigated by WorkSafe New Zealand.

The shares dropped 4.1 percent to $3.30, and have climbed 14 percent this year.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Insurers Up For More Payouts: Chch Property Investor Wins Policy Appeal In Supreme Court

Ridgecrest NZ, a property investor, has won an appeal in the Supreme Court over insurance cover provided by IAG New Zealand for a Christchurch building damaged in four successive earthquakes. More>>

ALSO:

Other Cases:

Royal Society: Review Finds Community Water Fluoridation Safe And Effective

A review of the scientific evidence for and against the efficacy and safety of fluoridation of public water supplies has found that the levels of fluoridation used in New Zealand create no health risks and provide protection against tooth decay. More>>

ALSO:

Scoop Business: Croxley Calls Time On NZ Production In Face Of Cheap Imports

Croxley Stationery, whose stationery brands include Olympic, Warwick and Collins, plans to cease manufacturing in New Zealand because it has struggled to compete with lower-cost imports in a market where the printed word is giving way to electronic communications. More>>

ALSO:

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news