Port of Tauranga today announced a net profit of $45.185 million for the year ended 30 June 2009 – a 7 per cent increase of $3.068 million on last year.

'Given the parlous state of world financial markets over the past year, to be able to report a profit is pleasing and to be able to report an increase in profit, very pleasing indeed,” says chairman John Parker
The increase in profit is achieved against a background of total trade being down one per cent and operating revenue being down four per cent; making the seven per cent increase in earnings particularly gratifying, says John.
He attributes the increase to a general reduction in costs across the board, plus improving dairy and log exports, and increased property income from the additional 13.7 hectares of land the port company bought over the last 17 months - plus lower interest costs and a lower corporate tax rate.
Directors have declared a fully imputed final dividend of 18 cents per share, on top of an interim payment of nine cents per share, which is an eight per cent increase over the 2008 dividend.
'We are pleased the earnings growth has allowed us to deliver on our policy of striving to increase dividend distributions to shareholders,” says John.
The Company's balance sheet remains very strong, says John.
After payment of $33.509 million in dividends and investment of $38.533 million in capital expenditure, there is a debt/debt plus equity ratio of 29.4 per cent.
'In the current climate, we are very pleased to retain a conservative balance sheet and to have bank facilities negotiated at very favourable rates prior to the current credit crisis and running through to December 2010,” says John.
'We have commenced discussions with our bankers and are confident of securing new debt facilities with effect from 30 June 2010.”