January 05, 2015
Sealord strengthening iwi links
Sealord Group is hoping new partnerships with iwi will help boost returns to shareholders.
During the 2014 financial year at least 18 iwi entered Ihu to Mai agreements with New Zealand's second largest fishing company, under which they commit their deepwater ACE for Sealord to fish for five years, in return for a share of profits obtained from catching, processing and selling the fish as well as training and job opportunities for iwi members.
The system is promoted as creating more certainty and scope for strategic planning for both the company and iwi.
Sealord reported a net profit of $25.3 million in the 12 months ended September 30.
It will pay a $10.5 million dividend to its 50-50 joint shareholders, Maori fisheries settlement company Aotearoa Fisheries and Japan’s Nippon Suisan Kaisha.
The positive result comes after a loss of $44.4 million a year earlier as it finally exited its troubled Argentinian hoki fishing venture.
The strong New Zealand dollar meant sales slipped 2 percent to $448 million.
The financial statements of holding company Kura show an increase in other payroll provisions to $5.6 million dollars for the upcoming year, as it stops producing frozen commodity products at its Nelson wetfish processing factory.
The company has indicated January 30 will be the last day for 70 factory workers, 11 office-based jobs and another 30 contract workers.
The Vickerman St factory will continue to process fresh fish for Australasia and frozen whole fish for the China market instead of frozen commodity products.
Sealord chair Matanuku Mahuika says there has been good growth in the key Australia and New Zealand markets.
He says joint ventures with Westfleet in Greymouth and Petuna aquaculture in Tasmania made a positive contribution to the result.
The company wants to sell its 50 percent stake in North Island Mussels, which it bought out of receivership in partnership with Sanford in 2012.
Since the balance date Sealord has sold its stake in Opotiki-based mussel farm Eastern Sea Farms.
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