A big rebound in kiwifruit packing has increased Seeka’s revenue by one-third and boosted earnings and profits in the six months to June 30.
Revenue is up 34% to $284 million, earnings before interest and tax up 88% to $68.4m and net profit before tax up 230% to $45m.
Net profit after tax up 63% to $17m, after a $14m one-off deferred tax expense from changes in tax legislation for deductibility of buildings.
The full year net profit guidance has been updated to $17m to $21m, compared with a $21m loss in 2023.
The directors said it is not appropriate to pay a dividend at this time but that will be reconsidered upon fulfilment of the full-year guidance.
They reminded stakeholders that it operates in a seasonal industry with substantial earnings occurring in the first six months as fruit is harvested in New Zealand and Australia.
Seeka handled 44% more kiwifruit in the NZ autumn harvest and the quality is excellent and international demand strong, chief executive Michael Franks said.
The throughput was a record 43 million class 1 trays.
“Seeka has the capacity to handle more than 50m trays of kiwifruit with facilities in Northland, Coromandel, Bay of Plenty and Gisborne regions.
“Automated post-harvest systems have delivered efficiency gains and the packing power to efficiently conduct the harvest.
“Seeka has co-invested in New Zealand to increase fruit production, and in Australia we have directly invested in new orchards growing kiwifruit, nashi and jujube.”
The Seeka own-account growing volume was 17 million trays, up 53%.
