increase font size
Alliance Group chair Murray Taggart says it has been a positive year for the meat company.
Meat processor and marketer Alliance Group has had a good year reporting a record profit of $117.2 million for the 2021-22 financial year.
The meat co-op says the result was based on a record turnover of $2.2 billion and it will pay an $11.3m dividend to farmer shareholders. It will also pay out an additional $10 million bonus share issue of one share per qualifying stock unit.
Alliance Group chair Murray Taggart says it has been a positive year for the company.
“Our record operating profit reflects strong global demand for our products, a reward for our success in capturing greater value from our markets, the hard work and dedication of our people and our farmers’ passion for producing the world’s best beef, lamb and venison.”
Taggart concedes that Alliance had faced significant volatility during the year – including from the ongoing impact of Covid- 19, global supply chain disruption, labour constraints and inflationary pressures.
“However, our strategy and investment programme meant we were able to successfully navigate the challenges.”
He says the meat co-op ended the year with a sound balance sheet and reduced inventory levels compared to 2020-21 year.
Chief executive David Surveyor – who leaves the company next March – says the financial performance is the result of hard work and dedication from employees and support from loyal farmershareholders.
“Alliance Group continued to experience significant challenges around global logistics with poor vessel adherence to shipping schedules and high freight costs.”
He claims that significant investment in improving the co-op’s operational performance also contributed positively to the record profit result.
“We have invested across our plant network in recent years and this played a key role in significantly improving our performance. We’re already seeing gains from the new generation primal cutter and middles machine installed at our largest plant at Lorneville near Invercargill and our product quality and yield have improved across the board.”
Surveyor concedes that the disruption caused by the Covid- 19 pandemic, rising farm input costs, a wave of regulatory reform, extreme dry conditions and flooding in parts of the country meant farmers had faced difficult times.
“These events certainly tested the sector’s resilience and fortitude. However, it also showed the value of belonging to a co-operative. This year, we welcomed a record number of new shareholders to Alliance Group as more farmers recognised how the co-operative has their back during difficult times.”
Alliance’s annual meeting will be held in Timaru on December 15.
Alliance Group's proposal to sell a 65% shareholding to Ireland's Dawn Meats won't solve the red meat industry's structural problems, says former Federated Farmers meat and wool chair Toby Williams.
Alliance Group has announced plans to sell a 65% stake in the farmer-owned co-operative to Irish meat processor Dawn Meats Group for $250 million.
Irish meat processor Dawn Meats is set to acquire a 70% stake in Alliance Group, according to a report in The Irish Times.
The next phase of the Taste Pure Nature campaign has been launched in Shanghai, China.
Alliance Group has secured greater access for chilled beef exports to China, following approval for two of its processing plants to supply the market.
According to the most recent Rabobank Rural Confidence Survey, farmer confidence has inched higher, reaching its second highest reading in the last decade.
From 1 October, new livestock movement restrictions will be introduced in parts of Central Otago dealing with infected possums spreading bovine TB to livestock.
Phoebe Scherer, a technical manager from the Bay of Plenty, has won the 2025 Young Grower of the Year national title.
The Fencing Contractors Association of New Zealand (FCANZ) celebrated the best of the best at the 2025 Fencing Industry Awards, providing the opportunity to honour both rising talent and industry stalwarts.
Award-winning boutique cheese company, Cranky Goat Ltd has gone into voluntary liquidation.
As an independent review of the National Pest Management Plan for TB finds the goal of complete eradication by 2055 is still valide, feedback is being sought on how to finish the job.
OPINION: For years, the ironically named Dr Mike Joy has used his position at Victoria University to wage an activist-style…
OPINION: A mate of yours truly has had an absolute gutsful of the activist group SAFE.
