Profits up 30pc at Northland Port

Strong growth in the log trade has helped boost Nortland Port's profits. Photo / North Advocate

Northland Port Corp said its net profit rose by almost 30 per cent in the year to June, boosted by strong growth in the log trade.

Whangarei-based Northland Port's net profit came to $7.6 million, up from $4.7m in the previous year. The result was assisted by a property revaluation gain of $1.5m.

Excluding the revaluation gain, Northland Port's profit would have been up by 29.5 per cent on a comparable basis, the company said.

Chairman Colin Mitten said the lift in profitability was mainly due to strong growth in cargo throughput at the associate company, Northport, where log exports increased by about 25 per cent to 1.96m tonnes.

Overall trade reached 2.73m tonnes, and Mitten said he expected the total to reach 2.9m tonnes in the current financial year.

Mitten said the company was focused on enhancing returns from its extensive land bank, with two significant tenancies secured during the year.

Current economic conditions were a constraint, he said, but the company remained cautiously optimistic about securing additional tenants for its industrially zoned land holdings .

North Port Coolstores returned to full profitability, following a one-off adjustment last year associated with the removal of tax depreciation allowances on buildings.

Mitten said Northland Stevedoring Services put in a satisfactory result for the period.

Northland Port announced a final dividend of 5c per share, up from 4c in the previous year.

The total dividend came to 8.5c, up from 6.5c.

Shares in Northland Port last traded at $1.90.