New Zealand kiwifruit operation Seeka has reported strongresults for a difficult financial year thanks to shrewd investment.
In a press release published today, Seeka chief executiveMichael Franks said the company had come through the challenges of 2009 in goodshape, and its investments had “positioned the company well”.
The company’s underlying performance in 2009/10 deliveredits growers very competitive returns to their orchards, he said. And, lookingforward to the 2010 season, Mr Franks expected to see increased post-harvest volumes.
Seeka's NZ$7.5m operating profit in the year to 31 March 2010was up 35 per cent on the prior year, he said. EBITDA increased to NZ$14.5m (up3.5 per cent) and all divisions improved performance.
Mr Franks revealed that Seeka’s long-term leasedevelopments were now at full production and their production of gold trayswould exceed 1.2m trays in the current year. Zespri Gold returns already strongin 2009/10 at NZ$7.60 per tray were expected to improve again in 2010/11.
The company’s decision to expand its Bay of Plentyoperations and invest in innovative fruit handling automation and newinformation systems had aided inventory management, Mr Franks said. Seeka alsoentered into a venture to trial pack New Zealand-grown fruit in Shanghai.
Mr Franks added that Seeka's purchase of Te Awanui Huka Pak grew the company by a quarter to represent approximately 25 per cent of the New Zealandkiwifruit industry. Huka Pak included a catchment of early-maturing orchardsthat have improved Seeka’s infrastructure. The Huka Pak purchase included ateam of experienced orcharding and post-harvest staff and premium orchards.
Seeka invested NZ$8.4m in the financial year. Investments were channelled into a new gold grader situated at its Oakside facility,new coolstores and packing automation.
Seeka is a major employer throughout the Bay of Plenty. With approximately 250 full time employees, the company employs over 3,000 seasonal workers through the kiwifruit harvest, pack-out and coolstore season, making the company one of the Bay of Plenty’s largest employers.
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