Tuesday, 28 July 2020 06:25

LIC's $18m windfall

Written by  Staff Reporters
LIC chairman Murray King. LIC chairman Murray King.

Farmer co-op LIC will pay $18 million in dividends to shareholders after a strong full-year result.

The 12.75c/share dividend represents a gross dividend yield of 22.7% based on the current share price of 78 cents. Last year, the co-operative paid a dividend of 11c.

The breeding and automation company recorded a net profit of $17.5m, down 21% over last year’s $22.2m net profit, mainly due to a $7.2m decrease in the bull team valuation. However, total revenue was up 3% to $254m and underlying earnings up 16% to $22.7m.

LIC chairman Murray King says the strong result was in line with market guidance and achieved despite the impacts of drought and Covid-19.

“The strong result enables LIC to deliver a significant dividend to shareholders at a time when every dollar counts on-farm,” says King.

LIC reported that despite a challenging season, farmers continue to move up the value chain, investing in the latest genomics and other genetics products, driving revenue up.

 “The increasing uptake of these products demonstrates the value on-farm of LIC’s ongoing investment to enhance our core genetics business through world-leading genomics to drive genetic gain in dairy herds and high-valued premium genetics products like A2 and sexed semen,” says King. 

More like this

OSPRI and LIC join forces

OSPRI and the Livestock Improvement Corporation (LIC) are urging farmers to play their part in improving animal traceability at a critical time on farm.

LIC bulls take top awards

It may have not been three in a row, but one Manawatu farm has achieved a hat-trick of sorts after winning this year’s coveted Mahoe Trophy.

Featured

Meat quota rates remain vital

A jump in the value and volume of New Zealand’s sheepmeat exports to Europe and the UK shows why preserving WTO tariff-rate quotas is so important, claims the Meat Industry Association (MIA).

 

Lamb price down, but not weak

While lamb prices are starting the new season at around 16% below last year’s levels, they are not outright weak, according to the BNZ.

National

It’s all kosher – Taggart

Farmer-owned cooperative Alliance Group says it has already returned $17 million of the $34.3 million it claimed from the Covid-19…

Machinery & Products

JCB releases new loader range

Originally scheduled for a June Fieldays release, which was stymied by the Covid crisis, JCB has recently unveiled its third…

» The RNG Weather Report

» Latest Print Issues Online

The Hound

He's back!

OPINION: This old mutt understands that former Fonterra chief executive Theo Spierings has landed himself a new gig back in his…

Utu?

OPINION: Your canine crusader understands that the farmer’s favourite politician – Environment Minister David Parker – not content with implementing…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter