Te Rūnanga o Ngāi Tahu announces record result
20 October 2010
Te Rūnanga o Ngāi Tahu and the Board of Ngāi Tahu Holdings Corporation (NTHC) have announced a full-year net operating surplus of $35.5m for the commercial activities of the iwi, an increase of $16.9m on the previous year.
Te Rūnanga o Ngāi Tahu Kaiwhakahaere Mark Solomon congratulated Ngāi Tahu Holdings Corporation and the respective subsidiaries for the record performance. He also congratulated those working on the distribution side of the organisation for their performance. “During a period when our economy is still affected by the recession, we have managed to grow our collective tribal equity to $570m, an increase of $43.5m.”
NTHC Chairman Trevor Burt says the commercial arm of the iwi performed strongly, “NTHC has delivered our best result yet. The net operating surplus of $35.5m surpasses our previous best result of $31.8m in 2008. Strong operating cashflows were also a positive feature of the year.” He says the investment in strengthening the subsidiary boards also contributed to the strong performance.
NTHC CEO Greg Campbell says all commercial entities made significant improvements. “This achievement reflects the robustness of our subsidiaries to weather the recession and the more favourable overseas market conditions.”
Ngāi Tahu Seafood (NTS) delivered a record performance with an operating EBIT of $13.3m (FY09 $4.7m). Their successful result was driven by a strong performance from NTS rock lobster (kōura) quota due to the thriving Chinese economy along with the company’s improved quality control.
Despite continued volatility in the tourism market, Ngāi Tahu Tourism ended the year with an operating EBIT of $5.9m (FY09 $5.3m). The economic recession saw a change in the makeup of New Zealand’s tourism markets with significantly fewer visitors from Europe and the United Kingdom but an increase in visitors from Australia and Asia.
Mr Campbell says returning confidence in the property market also resulted in a stronger performance from Ngāi Tahu Property with an operating EBIT of $20.4m prior to revaluations, compared to $15.7m in the previous year.” The property investment portfolio also continued to show resilience against the impacts of the recession.
“All entities have responded extremely well, something the respective boards and management teams should be proud of. I am confident in our strong position and balance sheet and the capability of our teams to seize the right opportunities for disciplined growth.”
Kaiwhakahaere Mark Solomon says the entire organisation worked together well during the year. “We know, as our tīpuna knew before us, that to survive testing times, people must work together. We call this kotahitanga and I am proud of how kotahitanga was achieved in this organisation and how everyone contributed in their own way, including Papatipu Rūnanga and Ngāi Tahu Whānui, who generously agreed to forego some programmes and participated in initiatives such as a move to online publications to allow tight budgets to be met on the distribution side of the ledger.”
Ngai Tahu Holdings Group Subsidiary Results in brief:
Ngāi Tahu Seafood Operating EBIT $13.3m (FY09 $4.7m)
Ngāi Tahu Property Operating EBIT $20.4m (FY09 $15.7m)
Ngāi Tahu Tourism Operating EBIT $5.9m (FY09 $5.3m)
Ngāi Tahu Capital* Operating EBIT $2.4m (FY09 $2.1m)
*NZX listed company Ryman Healthcare Limited is the primary investment in the Ngāi Tahu Capital portfolio. Ryman enjoyed yet another successful year in 2009-2010. The value of the Ngāi Tahu Capital shareholding in Ryman increased by $16.4m to $79.6m (FY09 $63.2m).