New Zealand meat processor Silver Fern Farms today (26 November) revealed that it had swung to a loss in its most recent financial year after restructuring costs hit its bottom line.
For the 12 months to the end of September, the firm made a net operating loss of NZ$800,000 (US$600,298) compared to a profit of NZ$5.4m last year.
One-off restructuring costs of NZ$7.2m contributed to the loss. Silver Fern’s EBIT halved, falling from NZ$36.3m to NZ$18m. Revenues dropped to NZ$1.81bn from NZ$2.01bn.
Silver Fern Farms’ chairman Eoin Garden said that, despite the loss, the company’s “robust” balance sheet now enables the company to focus on “delivering long term profitability”.
Garden said: “It has been a tough, but successful three years, with the company reducing debt by NZ$215m since August 2007, closing three plants and six lamb chains and exiting the Brooks of Norwich operation in the UK.”
Chief executive Keith Cooper added that the 2009/2010 trading environment was “challenging” and pointed to a “volatile” exchange rate and lower lamb numbers.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
![](/wp-content/themes/goodlife-wp-B2B/assets/images/company-profile-unit.png)
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataHowever, he insisted the company is now in “a strong financial position for the future”.
Click here to view the full earnings release.