Sharechat Logo

Tower Limited (NZX: TWR) Update on Financial Impact of Canterbury Floods

Friday 11th June 2021

Text too small?

Tower Provides Update on Financial Impact of Canterbury Floods

Tower has received 164 claims in relation to the Canterbury floods. Our teams have been working with our customers in the region to check on their welfare and supporting customers who have needed urgent help with accommodation and repairs. We have people on the ground in Canterbury and our call centres in Rotorua and Auckland are dedicated to processing claims and providing practical support and advice. At this stage, Tower estimates the ultimate cost of the Canterbury floods to be $2.8m - $3m before tax.

At the market announcements for the end of half year, Tower advised a guidance of underlying NPAT of $25m - $27m assuming full year large events of $9.7m.

Given the subsequent occurrence of the Canterbury floods, Tower now assumes full year large events of $14m, being the point at which aggregate reinsurance for large events (excluding NZ earthquake) applies.

The after-tax impact of an assumption of $14m for FY2021 large events is approximately $3m, resulting in an updated underlying NPAT guidance of $22m - $24m for FY2021.

At the revised guidance, the indicative combined interim and full year dividend under the current dividend policy remains between 5c and 5.5c.

Please see the link below for details

Tower Provides Update on Financial Impact of Canterbury Floods

Source: Tower Limited

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

BIF - Acquires shares in Hot Lime Labs
RUA - Cann Group granted TGA GMP for Mildura facility
AFI - Invitation to Results Webcast
PFI Share Buyback Programme to Pause
Greenfern Industries Limited ("GFI") - Late Annual Report
FSF - Monthly Allotment/ Redemption Notice
1st July 2022 Morning Report
General Capital Releases 2022 Annual Report
Fonterra, NZX, EEX confirm GDT strategic partnership
BIF - Annual Report 2022