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- Release Date: 12/02/14 16:07
- Summary: HALFYR: LIC: Strong half year performance for dairy farmer cooperative
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LIC
12/02/2014 14:07
HALFYR
REL: 1407 HRS Livestock Improvement Corporation Limited (NS)
HALFYR: LIC: Strong half year performance for dairy farmer cooperative
Farmer demand for innovations which deliver efficiency and prosperity on-farm
resulted in their cooperative, LIC, returning a strong performance for the
six months to November 2013.
LIC Chairman, Murray King, said the high milk price combined with relatively
stable weather patterns saw farmers increase their investment in a range of
range of information management tools which enable them to analyse and manage
animal and farm performance more easily and effectively than ever before.
"Our farmers manage more animals more efficiently than ever before. As their
cooperative, our job is to provide them with a range of solutions which
enable them to run highly efficient profitable businesses - from the family
farm with 200 cows to the large corporate with tens of thousands."
Murray King said technology is developing at an unprecedented rate and
farmers are faced with a bewildering array of technologies to manage a varied
set of challenges.
"Our challenge is to deliver a high level of technology and data analysis in
a suite of integrated products which are intuitive and easy to use. New
Zealand dairy farmers have some of the highest usage rates of technology in
the world and we have embarked on a multi-year, multi-million dollar rebuild
of our databases and IT infrastructure to future-proof our ability to deliver
innovative products and services which will enable Kiwi farmers to maintain
their standing as the best in the world."
Summary, Half Year Result
Revenue for the six months to November 2013 was $135.2 million compared to
$131.7 million for the same period in 2012. Due to the database and
technology platform rebuild, net profit after tax (profit attributable to
shareholders) decreased by 10.25% from $30 million in 2012 to $26.9 million.
Biological assets were not revalued.
LIC's business, particularly artificial breeding (AB), is highly seasonal.
Half Year results incorporate the majority of the AB revenues, but not a
similar proportion of total costs, and are not therefore indicative of the
second half, nor the full year, result.
The Balance Sheet remains strong with total equity of $219.6 million compared
to $214.6 million in November 2012.
Total operating cash flow for the six months was a stronger net cash inflow
of $1.2 million which compares to $5.6 million net cash outflow in the
previous year reflecting strong collections and farmer cash flows year to
date.
Ends
For further information contact Clare Bayly, LIC Communications Manager,
phone 027 499 8862.
End CA:00246923 For:LIC Type:HALFYR Time:2014-02-12 14:07:51
(20min delay)