Ngai Tahu Holdings, the commercial arm of the dominant South Island iwi, boosted annual profit 20 per cent, with earnings swelled by $33.3 million of earthquake insurance proceeds and a $14.8 million gain on asset sales, which included a sell down of Ryman Healthcare shares.
Net profit rose to $145.9 million in the 12 months ended June 30 from $121.8 million a year earlier, the company said in its annual report. Before tribal activities, such as distributions to the iwi, Ngai Tahu's trading surplus more than doubled to $161.4 million, with underlying earnings rising 48 per cent to $88.3 million. Revenue gained 38 per cent to $319.8 million.
"This outstanding result reflects a combination of contributing factors," chairman Trevor Burt and chief executive Mike Sang said in their report. "In particular, exceptionally strong residential property sales at Wigram Skies and Prestons, increasing returns from our dairy operations and conversions, a record seafood result, improved earnings in tourism and strong growth in our investments, including Ryman."
Ngai Tahu has been diversifying its investment portfolio over the past year, including joint investments with Waikato's Tainui Group Holdings in dairy technology manufacturer Waikato Milking Systems and national passenger transport firm Go Bus.
The iwi unit's property business boosted earnings before interest and tax by 66 per cent to $63.4 million in the year, its third record result, with strong sales in its Christchurch residential developments, and its Eyrewell farming development coming on stream and delivering results above budget.
