High energy prices help boost refinery returns

Companies had generally positive news for shareholders yesterday, with profits up on the previous year or half-year.

NZ REFINING

High energy prices helped NZ Refining to post a full-year profit of $69.44 million, up from $5.68 million for the previous year.

Refining income was $174.93 million, up from $85.36 million in 1999, while operating costs fell to $86.97 million, down from the previous year's $88.13 million.

The directors approved an imputed final dividend of $2 a share, up from 60 cents a share last year, bringing the total to $2.50 a share for the year.

NATURAL GAS CORP

New Zealand's biggest electricity retailer, Natural Gas Corp, has dropped the TransAlta brand and is mulling price cuts as it attempts to stem a drop in customer numbers.

NGC flagged the price cuts when it announced a $31 million net profit for the six months to December.

This was ahead of market forecasts of about $26.5 million.

Basic earnings per share fell to 4.3c from 5.2c. A 3c-a-share tax-paid dividend was declared.

NGC said it lost 60,000 customers, falling to 584,384, in the six months to December.

Most were households that switched off TransAlta. NGC will drop the TransAlta name from today and sell its gas and electricity under the brand name On Energy.

WASTE MANAGEMENT

Refuse and recycling company Waste Management had an after-tax profit of $14.33 million for the year to December 31, up from $11.73 million a year ago .

Earnings before interest, taxation, depreciation and amortisation totalled $45.9 million - an increase of 32.6 per cent on the year-ago period - while earnings per share rose 17 per cent to 20.1c from 17.1c.

The company will pay a fully imputed final dividend of 5c a share on March 23, along with a supplementary dividend to non-resident shareholders and an interim dividend of 2.5c per share (cps).

This will make a total dividend of 7.5 cps - 25 per cent above the 6cps paid last year.