Scales' horticulture unit, which includes the Mr Apple business, boosted earnings 52 per cent to $35 million from a 4 per cent gain in revenue to $93.7 million.
This month Scales upgraded its annual earnings guidance based on the strong performance of the horticulture unit, saying ebitda was expected to be 25 per cent to 35 per cent higher than its prospectus forecast for $41.2 million this year, implying earnings of between $51.5 million and $55.6 million for the year. The company yesterday affirmed that guidance.
Chief executive Andy Borland said Mr Apple delivered strong results, and Scales delivered a record apple crop that was 11 per cent above the previous peak in 2013.
Brighter picture
Television New Zealand reported a 55 per cent lift in full-year profit despite a fall in advertising revenue, after increasing its share of the television market and relaunching its online services.
Net profit after tax rose to $28.1 million for the year to June, up $10 million on the previous year, the Government-owned broadcaster said.
Revenue was down 2.9 per cent on the previous year. Total advertising revenue fell 1.9 per cent to $314 million.
TVNZ chief executive Kevin Kenrick said overall financial performance was characterised by reduced demand for TV advertising, encouraging growth in online advertising, and continued focus on costs.
"While TVNZ is performing well relative to domestic media competitors, the competition for viewer eyeballs and advertising dollars is increasingly being driven by global scale players," Kenrick said.
The board declared an operating dividend of $8.3 million, payable to the Government.
The company's online services have 650,000 registered users.
Back in black
Hellaby Holdings, the NZX-listed diversified investment company, returned to profit this year as it benefited from a series of acquisitions a year earlier, and has decided to put its footwear units up for sale after writing down their value last year.
The Auckland-based company posted a profit of $23.4 million in the year to June, from a loss of $129,000 a year earlier, it said.
The year-earlier result included a $26.9 million writedown on the value of its Hannahs and Number One Shoes businesses.
Stripped of that charge, earnings were up 6 per cent, bolstered by full-year contributions from Australian battery distributor Federal Batteries, New Zealand auto components distributor Dasko and truck servicing firm New Zealand Trucks.
"We have focused on the continued expansion of our core divisions, and this is paying off," said chairman Steve Smith. "Our newer businesses and market ventures ... are creating real growth prospects within the group."
Hellaby was still on the hunt for new investments, and its balance sheet was strong enough for "one or two significant businesses, or a number of smaller bolt-on acquisitions", Williamson said.
Flying high
Listed aviation services firm Airwork Holdings has posted a 58 per cent gain in full-year profit, as growth in earnings from helicopter engineering and leasing made up for a weaker performance from fixed-wing aircraft.
Net profit rose to $15.5 million in the year to June, from $9.8 million a year earlier, the Auckland-based company said. Sales rose to $144.9 million from $125 million.
Profit about matched the guidance of $15.3 million the company gave with its first-half results and was driven by a 48 per cent gain in earnings before interest, tax, depreciation and amortisation from its helicopter division.
Airwork will pay a final dividend of 16c a share, up 1c from last year.
- Agencies
NZOG enters red as oil prices fall
A major contributor to the loss was a $36.2 million writedown on the value of Tui, the offshore Taranaki field.
New Zealand Oil & Gas ramped up production during the year to June 30 to offset the sharp decline in world oil prices, turning in a net loss of $6.2 million, compared with a profit of $10.1 million the previous year.
Revenue of $116.2 million was up $12.6 million on the previous year, around $11.1 million of that reflecting the consolidation into NZOG's accounts of Cue Energy, the Australian oil and gas minor that the Wellington-based company acquired in a hostile takeover bid during the year.
A major contributor to the statutory loss was a $36.2 million writedown on the value of the offshore Taranaki field, Tui, where oil and gas extraction will become uneconomic earlier than anticipated because of falling global prices.
Exploration costs fell to $32 million from $75 million in the previous financial year, with "exposure to exploration ... being carefully managed to match the reduced risk tolerance in this part of the pricing cycle", said chief executive Andrew Knight.
NZOG booked a $15.6 million cost during the year after it surrendered three Taranaki exploration permits. Knight warned there could be further asset impairments if lower oil prices were sustained.
Earnings before interest, tax, depreciation, amortisation and exploration costs improved slightly to $77.1 million, from $75.4 million the previous year.
Revenue from Tui production rose 54 per cent, despite lower prices, as production increased.
- BusinessDesk
RETURNING: Christopher Adams will be back next week.
