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

 

Ravensdown to pay farmer rebate as profits surges

Ravensdown to pay farmer rebate as profits surge

By Suze Metherell

Aug. 7 (BusinessDesk) - Ravensdown Fertiliser Cooperative will resume paying farmers a rebate this year after its earnings jumped some 161 percent after it quit an unprofitable Australian business.

Profit before tax and rebate from continuing operations rose $73 million in the year ended May 31, from $28 million the previous year, the Christchurch-based cooperative said in a statement. Trading profit rose to $46 million from $6 million a year earlier, which was impacted by the cost from quitting Australia. Ravensdown will pay shareholders $37.78 per tonne, made up of $15 in rebate and fully imputed bonus shares worth $22.38.

The cooperative didn't pay farmers a rebate in 2013, for the first time it missed such a payment in 35 years, after selling its stake in Australian joint venture Direct Farm Inputs, causing a pretax loss of $23 million. Ravensdown has now exited all Australian operations to focus on New Zealand, where tonnages rose 7 percent this year, reflecting increased farming production and confidence resulting in rising fertiliser needs, it said.

"Because of the actions taken since 2012-13 as part of a new strategy, the cash, debt and profit positions have been significantly improved," chairman John Henderson said. "On top of this strengthening balance sheet, we are transitioning to a more flexible forex policy which we anticipate will make a positive contribution to our current year's performance."

Net debt fell to $49 million from $249 million, its lowest debt level in a decade, Henderson said. Operating cashflow was $185 million and its equity ratio rose to 65 percent from 49 percent.

Ravensdown will outline plans to reinvest in the core business at its Sept. 15 annual meeting in Marton.

(BusinessDesk)

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Super Fund/Canada Bid v NZTA: Tow Preferred Bidders For Auckland Light Rail

The two preferred delivery partners for Auckland light rail have been chosen and a final decision on who will build this transformational infrastructure will be made early next year, Minister of Transport Phil Twyford announced. More>>

ALSO:

9.3 Percent: Gender Pay Gap Unchanged Since 2017

“While it has remained flat since 2017, the gender pay gap has been trending down since the series began in 1998, when it was 16.2 percent,” labour market statistics manager Scott Ussher said. More>>

ALSO:

Ex-KPEX: Stuff Pulls Pin On Media Companies' Joint Ad-Buying Business

A four-way automated advertising collaboration between the country's largest media companies is being wound up after one of the four - Australian-owned Stuff - pulled the pin on its involvement as part of a strategic review of its operations ... More>>

Bus-iness: Transdev To Acquire More Auckland And Wellington Operations

Transdev Australasia today announced that it has agreed terms to acquire two bus operations in Auckland and Wellington, reaching agreement with Souter Investments to purchase Howick and Eastern Buses and Mana Coach Services. More>>

ALSO: