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

 

Zespri signals profit growth

Zespri signals profit growth, trims expected fruit and services payment


By Gavin Evans

June 19 (BusinessDesk) - Kiwifruit marketer Zespri is forecasting annual profit growth of up to 7 percent.

The firm, which markets kiwifruit on behalf of 2,500 New Zealand growers and another 1,200 in Italy, Japan, Korea and France, is expecting net profit of $182-$192 million in the current year, including licence release income.

That is up from the $179.8 million net profit reported for the year ended March, which was a 77 percent increase from the year before as the firm shipped more fruit for better prices. Total trays sold climbed 21 percent to 167.2 million last year – 85 percent of which was New Zealand-grown green or gold kiwifruit.

Zespri shares trade on the Unlisted market. They changed hands at $8.20 yesterday and have lost about 5 percent the past year.

The latest earnings forecast comes despite a slight trimming of Zespri’s expected New Zealand fruit and service payments.

It is projecting total fruit and service payments of $1.75-$1.85 billion in the year ending March 2020, excluding loyalty premia. That is $25 million less than the firm signalled in its first forecast in April, but in line with the $1.82 billion reported in the year ended March.

Zespri is expecting green fruit to return $5.50-$6.50 a tray at the orchard gate this season, up from the $5.20-$6.20 signalled in April, and the $5.45 achieved last year.

Gold fruit is expected to earn $10.20-$11.20 per tray, up from the $9.70-$10.70 signalled in April and against the $10.89 achieved last year.

Organic green fruit, which accounted for about 3.5 million of the 148.8 million trays of New Zealand-grown kiwifruit last year, may earn $8.30-$9.30 a tray this year, up from the $8-$9 signalled in April, and against the $9.22 achieved last year.

The sweet Green14 variety, which produced about 900,000 trays last year, may bring in $6.80-$7.80 a tray, Zespri said yesterday. That is down from the $7-$8.50 signalled in April but in line with the $7.23 achieved last year.

(BusinessDesk)

ends

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Reserve Bank: Policy Lessons From A Year Of Covid-19

The Reserve Bank of New Zealand – Te Pūtea Matua was in a sound position to continue to meet its mandate in the face of the COVID-19 induced economic shock. However, we must continue to transform so as to remain relevant and effective in addressing longer-term challenges, Reserve Bank Governor Adrian Orr said... More>>


Transport Industry Association: Feb 2021 New Vehicle Registrations Strongest On Record

Motor Industry Association Chief Executive David Crawford says that the February 2021 figures are the strongest for the month of February ever. Registrations of 12,358 were 8.0% up on February 2020. Year to date the market is up 7.1% (1,735 units) compared to the first two months of 2020... More>>

Paymark: Lockdown Equals Slowdown For Some

The three days of lockdown for Auckland earlier this month made a clear impression on our retail spending figures. While only Auckland moved into Level 3 lockdown, the impact was felt across the country, albeit at different levels. Looking at the ... More>>

Infrastructure Commission: Te Waihanga Releases Report On Water Infrastructure

The New Zealand Infrastructure Commission, Te Waihanga’s latest discussion document highlights the importance of current reforms in the water sector. Its State of Play discussion document about water infrastructure is one of a series looking at the ... More>>


OECD: Annual Inflation Picks Up To 1.5% In January 2021 While Euro Area Records Sharp Increase To 0.9%

Annual inflation in the OECD area picked up to 1.5% in January 2021, compared with 1.2% in December 2020. Following a rebound between December and January, the annual decline in energy prices was less pronounced in January (minus 3.9%) than in December... More>>


Hemp Industries Association: Could The Next Team NZ Boat Be Made Entirely Of Hemp?

With The America’s Cup due to start in a few days’ time, innovators from a very different sphere have been wondering how long it could be before New Zealand could be competing in a boat entirely built from hemp, with the crew eating high-energy, nutritious hemp-infused foods and wearing high-performance hemp kit..? More>>


ACT: Matariki Almost A Half Billion Dollar Tax On Business

“Official advice to the Government says an extra public holiday at Matariki could cost almost $450 million,” ACT Leader David Seymour can reveal. “This is a perfect example of the Prime Minister doing what’s popular versus what’s responsible. ... More>>

Genesis: Assessing 6,000 GWh Of Renewable Generation Options For Development By 2025

Genesis is assessing 6,000 GWh of renewable generation options for development after starting a closed RFP process with 11 partners. Those invited to participate offer a range of technologies as Genesis continues to execute its Future-gen strategy to ... More>>