Port of Tauranga lifts dividend despite flat half-year profit

11.45am

Port of Tauranga today reported a flat December half year net profit of $14.7 million but lifted its dividend from 6 cents per share to 7 cents.

The profit was on sales of $71.2 million against $70.6 million a year earlier and the pretax operating profit rose marginally from $21.1 million to $21.4 million.

Earnings per share rose to 11.0 cents from 10.9.

The fully imputed dividend will be paid on March 19.

Chairman Fraser McKenzie said the profit was made despite more difficult trading conditions, particularly in the vital log market.

Forestry exports through the port slipped 18 per cent, or 570,600 tonnes.

But total import and export trade through the port in the half-year was two per cent higher at 6,218,740 tonnes.

On the export side, dairy-related exports, frozen meat, kiwifruit and general cargo were all up, with kiwifruit shipments rising 12.3 per cent to 292,885 tonnes.

Mr McKenzie said imports of oil products, fertilisers and general cargo were also up. Throughput of general cargo imports at the port rose 44.4 per cent, from 498,000 tonnes to 720,108 tonnes.

Container traffic also rose, up 9.3 per cent in the half year to 185,456 TEUs (20ft equivalent units).

Factors driving the increase in traffic included the higher volumes coming through Metroport in Auckland, which is New Zealand's largest "inland port", and the introduction of Mediterranean Shipping Company's service to Europe, which started in February last year.

Port of Tauranga shares were trading unchanged at $4.50 shortly after the results were announced this morning. The shares have traded between $3.80 and $4.65 over the past 12 months.

- NZPA