Rising costs clip Independent Distillers' Australian earnings

Independent Distillers' profits dipped a fraction across the Tasman in the past financial year as rising costs bit into earnings.

Accounts for Independent's operations in New Zealand are not made public, but documents filed with the Australian Securities and Investments Commission show Independent Distillers (Australia) Pty Ltd's annual net profit to September 2005 was A$16.05 million, compared with A$16.12 million the previous year.

The profit fall came despite a 7.6 per cent or A$14 million lift in revenue to A$202 million.

That rise was more than offset by increases in overall costs.

Most significantly, there was a 16.3 per cent or A$17 million jump in the cost of raw materials and consumables to A$123 million.

Fully franked dividends - paid or declared - worth A$25 million are recorded against cashflow from financing activities.

Net assets at September 30 were A$71 million.

The papers are dated January this year, several months after the death of Independent's founder, Michael Erceg, in November.

Ironically, in light of the possible sale of Independent, the documents say "there are no likely developments in the company's operations".

The Australian company's ultimate parent entity is Independent Liquor (NZ).