Thursday, 01 April 2021 14:55

Silver Fern Farms hold strong despite Covid uncertainty

Written by  Staff Reporters
Silver Fern Farms Limited chief executive Simon Limmer. Silver Fern Farms Limited chief executive Simon Limmer.

Silver Fern Farms Co-operative has announced a net profit after tax of $32.4 million for the 2020 financial year.

 

Additionally, they reported a net profit after tax of $65.4 million for their investment Silver Fern Farms Limited for the same period.

Silver Fern Farms Co-operative chairman Richard Young said the result achieved by both is a strong result built off the skill and expertise of its people who navigated the company through a period of uncertainty.

“The performance of the operating company in 2020 was truly commendable across a range of areas. Most important was how they put the health and welfare of their people first,” Young said.

He added that in doing so, the company had set a platform of trust and commitment from staff to stand up as essential workers to service regional communities and global consumers.

“Silver Fern Farms Limited’s result for 2020 follows closely behind their previous year’s performance which was the strongest financial result in the past decade. It is a special achievement given the wide range of constraints the company was under throughout the year.

Young said that at balance date, 31 December 2020, the co-operative remained debt free and had cash on hand of $22.3 million.

“We are pleased to be in a strong financial position where we are able to continue to provide returns to our shareholders.”

The Co-operative also declared a distribution of $8.1 million in dividends and patronage reward, the fourth consecutive year of distributions.

Eligible shareholders, on the record date of 16 April 2021, will receive a dividend of 5.5 cents per share.

Meanwhile, Silver Fern Farms Limited’s chief executive Simon Limmer said the company’s financial performance showed the company’s growing resilience and sustainability of returns.

“We have never gone this long without meeting face to face with out global customers and shareholders, and that possibility is still some time away.

“Despite all that disruption, we have witnessed character and resilience throughout our Silver Fern Farms community, from on-farm right through to our partners in market. The way we worked as a team, continuously finding solutions and looking out for each other was key to our performance in 2020.”

Limmer said the result was ‘pleasing’ in the context of the disruption and complexities that occurred in 2020, adding that the company had showed four years of sustained profitability.

“Keeping our people safe and employed under the Covid-19 environment was paramount to us. We know we have an important part to play in New Zealand’s recovery and we demonstrated that through how we cared for our people as they carried out their role as essential service providers for our farm suppliers.

“Our financial performance lays the foundation for our optimism and fuels our ability to deliver on our commitment to our strategy and vision of being the world’s most sustainable grass-fed red meat company,” Limmer said.

More like this

Editorial: Get vaccinated!

OPINION: Rural NZ is again getting the rough end of the stick when it comes to services - this time in relation to Covid-19 vaccinations.

Time to open up!

Silver Fern Farms' (SFF) chief executive Simon Limmer says NZ risks missing out on export business opportunities because it remains quite isolated from the rest of the world.

RSE flights ramp up

Quarantine free flights, bringing much-needed Pacific Island workers to New Zealand, are being ramped up.

National

Tatua smashes $10 barrier

Waikato milk processor Tatua says keeping products moving to overseas customers during the pandemic was one of the highlights of…

New regs boost Massey Ag course enrolments

Demand for expertise in sustainable nutrient management, environmental planning and improved freshwater outcomes has seen Massey University's range of agricultural…

Machinery & Products

Keeping everyone safe

As tractors get larger and front linkage kits become more common, many have started fitting underrun or collision protection systems.

Keeping stock and drivers safe

Livestock haulers are a crucial link in the New Zealand agriculture supply chain, transporting stock onto or between farms, to…

Making lamb marking easy

Designed by a sheep and beef farmer, Vetmarkers are made in New Zealand and sold around the world.

» The RNG Weather Report

» Latest Print Issues Online

The Hound

Flag it!

OPINION: Agriculture and Trade Minister Damien O'Connor tried to keep his latest overseas jaunt secret squirrel.

Oh dear!

OPINION: This old mutt suggests that farmers' growing discontent with Beef+Lamb NZ's performance is going to reach fever peak after…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter