NZ agribusinesses urged to embrace China’s e-commerce and innovation boom
Keep up with innovation and e-commerce in China or risk losing market share. That was the message delivered at the China Business Summit in Auckland this month.
Despite making a record profit of nearly $71 million, meat processor Silver Fern Farms Ltd has delayed paying any dividend.
The meat company’s joint owners, Silver Fern Farms Cooperative and China’s Shanghai Maling, have requested that a dividend be deferred until the economic situation becomes clearer.
Farmer-owned SFF Co-op, made up 6,200 ordinary shareholders and 15,800 rebate shareholders - reported a net profit of $35m for the financial year.
Co-op chairman Richard Young says it is taking a conservative approach to the current operating environment.
Since SFF Ltd’s balance date of December 31, 2019, the market has fundamentally changed, Young says.
“Market dynamics are changing daily, making scenario modelling of short and medium-term financial impacts difficult to accurately determine.
“Liquidity and cash flow management will continue to be critical in maintaining optionality in managing Silver Fern Farms Limited’s relationships with all stakeholders in uncertain times.
“We remain confident that SFF Ltd is in a strong financial position. With cash on hand in the business, they will be equipped to respond to the pending rise in consumer demand post COVID-19 disruption.”
Young says both shareholders requested SFF Ltd “to defer the dividend payment until the outlook for the global operating environment becomes clearer”.
“As we come through the current crisis and enter a ‘new normal’ SFF Limited’s board will gain more clarity around business impacts, thus determining dividend payment options.”
Young says the SFF Co-op board will inform its farmer shareholders of any dividend decision when it is made.
SFF CO-OP
• Net profit: $35m
• No debt
• Total shareholder equity: $304m
SFF Ltd
• Net profit: $70.7m
• Total revenue: $2.6 billion
• Dividend payment deferred at request of two shareholders - SFF Co-op and Shanghai Maling
Fonterra has unveiled the first refrigerated electric truck to deliver dairy products across Auckland.
Research and healthcare initiatives, leadership and dedication to the sector have been recognised in the 2025 Horticulture Industry Awards.
Virtual fencing and pasture management company Halter says its NZ operations has delivered a profit of $2.8 million after exclusion of notional items.
Manuka honey trader Comvita slumped to a $104 million net loss last financial year, reflecting prolonged market disruption, oversupply and pricing volatility.
The Government has struck a deal with New Zealand's poultry industry, agreeing how they will jointly prepare for and respond to exotic poultry diseases, including any possible outbreak of high pathogenicity avian influenza (HPAI).
The conversion of productive farmland into trees has pretty much annihilated the wool industry.