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

 

T&G Global profit dented by cheaper tomatoes

T&G Global profit dented by cheaper tomatoes, small grape harvest


By Paul McBeth

Dec. 19 (BusinessDesk) - T&G Global says its annual profit will more than halve this year after cheaper tomatoes and a weather-affected grape harvest in Peru dented earnings.

Net profit will be $8-10 million this calendar year, down from $22.6 million in 2017, it said in a statement. Lower tomato prices affected T&G's covered crops unit while its Peru grapes division dealt with a smaller harvest, it said.

The company acknowledged unusually low prices for its covered crops business at the half-year update.

"While the 2018 forecast is down on the 2017 result, the directors expect considerable improvement in 2019, when the benefits of recent operational efficiency and quality improvement initiatives are realised," chief executive Gareth Edgecombe said.

T&G has turned its focus to growing its core businesses, which led it to divest several non-core businesses and investments during the latest period. That included the sale of ENZAFoods to Cedenco Foods New Zealand and the sale of its Kerikeri-based kiwifruit orchards, post-harvest facilities and business assets to Seeka.

T&G's first-half result included a $2 million loss from discontinued operations, compared to a year-earlier profit of $1.5 million from those businesses. The discontinued units contributed a loss of $17.6 million in calendar 2017.

The shares, of which Germany's BayWa owns 74 percent, were unchanged at $3.03, having declined 8.2 percent so far this year.

T&G will announce its annual result on Feb. 27.

(BusinessDesk)
ends

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Frog Recruitment: Kiwi Workers Reluctant To Make Business Trips Across The Ditch Despite Trans-Tasman Bubble Opening

When the trans-Tasman travel bubble opens today, many Kiwi companies won't be rushing to buy an air ticket, reluctant to cross the ditch to do business. The latest survey conducted by leading recruitment agency, Frog Recruitment of nearly 1,000 New Zealand ... More>>

Tourism: Employers Welcome Back Working Holidaymakers

Tourism businesses gearing up for the return of Australian visitors from next week will be relieved to learn that they will also have access to an offshore pool of much-needed job candidates, Tourism Industry Aotearoa says. Tourism employers around ... More>>

Commerce Commission: Latest Broadband Report Confirms Improved Performance Of Premium Fibre Plans

The latest report from the Commerce Commission’s Measuring Broadband New Zealand programme shows that the performance of Fibre Max plans has improved substantially. This follows a collaboration between the Commission, its independent testing partner, ... More>>

Air New Zealand: Capital Raise Deferred

Air New Zealand has decided to defer its planned capital raise to later in 2021 allowing more time to assess the impacts of recent developments on the airline’s path to recovery. 'We’ve seen some clearing of COVID-19 clouds recently, with ... More>>


Stats NZ: Prices For Transport And Housing Rise In March 2021 Quarter

Higher prices for transport and housing led to a 0.8 percent lift in the consumers price index in the March 2021 quarter, Stats NZ said today. Prices for getting around rose in the March quarter. Transport prices rose 3.9 percent, the biggest quarterly ... More>>

Stats NZ: New Report Shows Impact Of Demands On Land In New Zealand

A new environmental report released today by the Ministry for the Environment and Stats NZ, presents new data on New Zealand’s land cover, soil quality, and land fragmentation. The land cover data in the report, Our land 2021 , provides the most ... More>>

ALSO:

Stats NZ: March Card Spending Rebounds Despite COVID

There was a lift in retail card spending in March following a fall in the lockdown-disrupted February month, Stats NZ said today. Seasonally adjusted retail card spending rose by $53 million (0.9 percent), compared with February 2021. Visit our website to read ... More>>