New Zealand-based Seeka Kiwifruit Industries has announced a nine-month profit after tax for 2010 of US$9.55 million (NZ$12.7 million), exceeding the lower bound of company forecasts by more than 10%.

Seeka Kiwifruit Industries CEO Michael Franks

The company had previously given market guidance of an expected profit band between US$8.6 million and US$9.4 million (NZ$11.5 million and NZ$12.5 million).

In an announcement to the New Zealand Stock Exchange (NZX) the board highlighted the change of balance dates to better suit the company's harvest business cycle, using a period of March 31 to December 31.

The positive result comes despite a PSA outbreak that has caused headaches for local industry.

"This result reflects the improved operating performance of the company, the successful integration of the Huka Pak business during the period, and the change in balance date," the announcement said.

"Shareholders funds stood at (NZ)$64.8m on 31 December. The shareholder equity ratio is 49.3% at (the) balance date. Net asset backing per share is (NZ)$4.49.

"Group operating cashflow for the period of (NZ)$26.0m allowed for continued investment in plant and equipment (NZ$7m for the period), and for maintenance of the company's dividend distribution policy."

Photo: www.seeka.co.nz

Source: www.freshfruitportal.com