By Phil Boeyen, ShareChat Business News Editor
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Friday 31st August 2001 |
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For the year ended June the group, which is 80% held by Ngai Tahu Tourism, posted a profit of $4.5 million compared with $484,000 last year. Sales rose to $24.97 million from $22.88 million.
However the bottom line result includes a $2.6 million write-up of the rights to use the Shotover River near Queenstown, which have been renewed for five years from 2004 with four rights of renewal for five years each.
The result also included profit from share trading and writeoffs for research and development leaving the surplus, excluding non-trading items, at $2.177 million.
CEO Adrian Januszkiewicz, describes the result as pleasing and says it shows the company is on the right track, moving towards healthier results after several disappointing years.
Group revenue rose 13.5% as a result of growth in the New Zealand operations and in Fiji increased tourist numbers mean the company is again running a seven-day service, up from two days earlier in the year.
Mr Januszkiewicz says the outlook for tourism is positive but the directors have chosen to consolidate the business rather than recommending a dividend.
"Instead, we will take a conservative approach, reinvesting the surplus and strengthening our existing operations to make sure we produce better value for shareholders.
"Once that is achieved, we will look for further investment opportunities in key areas and give consideration to reinstating dividends."
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