increase font size
Alliance chairman Murray Taggart called this year's farming season a 'challenging' one.
Shareholders at the Alliance Group Annual Meeting this week were told the cooperative showed agility in an unprecedented year as a result of Covid-19 and adverse weather events.
Last month, Alliance Group announced an underlying profit of $27.4 million.
Adjusted for a one-off event of ‘donning and doffing’, the annual profit result was $7.5 million before tax.
The red meat co-operative achieved a record turnover of $1.8 billion for the year ending 30 September 2020.
“It was a challenging farming season with extreme drought in the northern and central regions and a very difficult spring and early summer in Southland and South Otago,” said Murray Taggart, chairman of Alliance Group.
He said that difficult conditions on farms were compounded by Covid-19, which directly impacted Alliance’s global markets and farmers through farm-gate prices.
“These adverse events tested the resilience of the co-operative, however a major factor in ensuring we ended the year in a sound financial position was the agility demonstrated by our people,” Taggart said.
David Surveyor, chief executive of Alliance Group, said the co-operative pursued a significant capital expenditure programme this year, despite the challenges.
“We invested significantly in health and safety, improved plant efficiencies and rolled out our Enterprise Resource Planning technology project. Healthy operating cash flows at $50.3m give confidence to our continued investment profile.
“We are focused on capturing the raft of opportunities we have to improve the business, lift profitability and return more value to our farmers,” Surveyor said.
“We are conscious of the pressure that has been placed on our people during this period as they have gone above and beyond for farmers, colleagues and local communities. We are grateful for their efforts.”
Directors election results
Two vacancies were filled on the board by Dawn Sangster and Pat McEvedy.
46.96% of eligible votes were exercised in the directors’ election.
27.48% of shareholders voted.
Alliance Group chair Murray Taggart is looking forward to spending more time on farm as he steps down after a total of about 18 years on the meat co-operative's board, including the last 10 years as chairman. Nigel Malthus reports...
Meat processor and exporter Silver Fern Farms Ltd has joined fellow South Island-based meat company Alliance Group in reporting a big loss for the past year.
Alliance Group says following delayed livestock flows - due to ideal growing conditions in both the North Island and the southern South Island - sheep and beef processing numbers are starting to crank up in the move to autumn.
Former Ballance chief executive Mark Wynne is the new chairman for meat co-operative Alliance Group.
Alliance Group director Pat McEvedy has been voted off the board.
It's been a bumper season for maize and other supplements in the eastern Bay of Plenty.
Leading farmers from around New Zealand connected to share environmental stories and inspiration and build relationships at the Dairy Environment Leaders (DEL) national forum in Wellington last month.
AgriZeroNZ, a joint venture fast-tracking emissions reduction tools for farmers, is pouring $5 million in a biotech company to develop a low emissions farm pasture with increased productivity gains.
Fonterra is teaming up with wealth app provider Sharesies to make it easier for its farmer shareholders to trade co-op shares among themselves.
Te Awamutu dairy farmers Doug, Penny, Josh and Bayley Storey have planted more than 25,000 native trees on the family farm, adding to a generations-old native forest.
OPINION: The Government's recent announcement that methane targets will be reviewed is bringing relief to farmers.
