Sharechat Logo

Quayside's 1H net profit slides 62.4% on losses on equities

Monday 25th February 2019

Text too small?

Quayside Holdings, which owns 54.2 percent of Port of Tauranga, reported a 62.4 percent drop in first-half net profit, reflecting losses on its equity portfolio.

The Bay of Plenty Regional Council-owned investment company made a $15.4 million net profit for the six months ended December compared with a $41 million net result in the same six months a year earlier.

Port of Tauranga reported a 4 percent increase in first-half net profit last week while Quayside’s non-port investments made a net loss of $11.4 million compared with a $15.2 million net profit in the year-earlier first half.

Nevertheless, Quayside says it has paid the council $20.8 million in dividends for the six months, up from $17 million in the previous first half.

“The Quayside equity portfolio delivered a gross unrealised loss of 5 percent for the six months” compared with a 10.5 percent gain previously, which it says is “a result of global uncertainty in the markets in the last quarter of the period.

“Despite this, the five-year rolling return from the equity portfolio remains strong at 11.82 percent,” it says.

“Quayside also continues to see strong returns from its orchards and other commercial investments.”

Despite the loss on investments, net assets attributable to its shareholder rose to $820.9 million from $692.4 million.

Quayside says it entered into a joint venture, Tauranga Commercial Developments, to develop commercial property in Tauranga during the latest six months.

Quayside's stake in the port had a market value of $1.84 billion at Dec. 31.

The firm's balance sheet shows it also held $1.26 million investments in biological assets at Dec. 31, up from $675,000 in the year-earlier six months. It held other equity accounted investments worth $163.1 million, up from $147.3 million, and $164.1 million of other financial assets, up from $153.6 million.

Quayside’s investment property was valued $24.4 million, up from $19.1 million.

(BusinessDesk)

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
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:

Gold Report 21st May 2019
NZ dollar falls after RBA governor flags potential rate cut
ASB reviews ownership of Aegis
Auckland Airport kicks off next phase of expansion
Cashed-up Plexure eyes acquisitions to accelerate growth as loss shrinks
Tower turns to 1H profit, lifts FY guidance
IRD should have doubled claim against Watson's Cullen Group - Professor
Investore FY profit falls 16% on smaller valuation gain, signals flat dividend for 2020
Synlait receives cease and desist letter regarding Pokeno plant
21st May 2019 Morning Report

IRG See IRG research reports