Delegat Group has posted an almost $61 million net profit after tax in the 12 months to June 30 - a new record following a record $50.8m posted a year earlier.
New Zealand's largest listed winemaker's net profit after tax increased by 20 per cent in the year to $60.8m, while its revenue increased 9 per cent to $304m from $278m in FY19.
The Auckland-based company posted ebitda of $116.8m in the year, compared to $99.3m a year earlier.
The winemaker, whose stable includes the Oyster Bay brand, will pay out a final dividend of 17 cents per share in October, unchanged from last year.
The group's global case sales increased by 9 per cent to a record 3,277,000 in the year.
Delegat generated record cash flows from operations of $84.3m in the year, up 42 per cent - an increase of $24.7 on the prior period, due to strong cash collections from customers and lower net interest paid.
A total of $29m was paid for additional property, plant and equipment during the year, this included vineyard developments in New Zealand, and development of the Hawke's Bay and Marlborough wineries, which it expects will provide earnings growth into the years ahead.
The group has net debt of $239.5m.
Executive chairman Jim Delegat said the record results achieved were a testament to the strength of the group's business model as it continued to invest for growth.
"Our global team has once again shown great resolve and resilience while facing unique challenges," Delegat said in results notes.
The company said it performed "very well" through global disruptions caused by the Covid-19 pandemic. Classified an essential business, its viticulture and winemaking teams were able to complete harvest operations and winemaking processes for the 2020 vintage.
It said reduced sales in its hospitality channel from March onwards were offset by increased sales in retail and particularly in e-commerce channels.
"Delegat is investing to support our strategic goal of building a leading global Super Premium wine company," Delegat said.
"Delegat plans to invest an additional $52.2m in 2021 to provide earnings growth in the years ahead. This capital investment supports the group's plan to grow sales to 3,840,000 cases by 2023 and will provide for further growth beyond that period."
John Freeman, managing director of Delegat, said the board had decided to pay out the same 17c per share dividend as last year despite it posting another year of record earnings so that it could continue to invest in growth initiatives.
"As a growth-oriented company we typically reinvest up to and sometimes more than 70 per cent of NPAT into the business so that we can continue to purchase land, develop vineyards, expand wineries, and invest in consumer and trade marketing to support future sales growth," Freeman told the Herald.
The record increase to its net profit came as its fourth year in a row, he said.
"The increase in NPAT can be attributed to good trading performance of the business driven by consumers increasingly seeking out well established brands such as Oyster Bay ... the operating NPAT for FY20 has also benefited from favourable foreign exchange rates in most markets, and lower interest costs due to lower rates and lower average debt levels."
Delegat shares were last trading at around $13.20. The NXZ has been down over the past few days as it has battled with cyber attacks.
Freeman said the halt to trading had not been a major concern for the company, and that the NZX had communicated well about how it could post its earnings despite disruption.