Labour Vows to Change Tact on How to Handle Freshwater Rules
A Labour-led Government won’t be bringing back the controversial freshwater rules of 2020.
The listed company reported operating revenue of $1.1 billion, the first time since it crossed the billion dollar mark since 2019 when it sold its seed business.
Net profit jumped 46% on the previous year to $15.6m for the year ending June 2026.
PGW chief executive Stephen Guerin says NZ's agricultural sector enters the 2017 financial year from a position of relative strength, supported by healthy international demand and favourable conditions across many key sectors.
Strong returns in red meat, dairy, and horticulture continue to provide positive momentum for rural New Zealand, supporting farm and orchard profitability, increasing investment and driving growth.
But he says that while the outlook is positive and we have seen a pleasing start to FY27, some areas of challenge remain.
Geopolitical tensions, supply chain disruption, elevated input costs, and the potential impact of El Niño conditions present risks.
In addition, election-year dynamics may contribute to a degree of caution in parts of the rural economy, particularly the rural property market. Viticulture and arable farming are also expected to remain challenging in the near term.
Guerin says spring is key for his company as 80% of sales occur between September to December.
"The forward orders in place look very good but a lot will depend on customer confidence and weather," he told Rural News.
PGW will provide a market update when it releases its first quarter results in October.
For the 2026 financial year, PGW's retail & water group achieved record revenue and growth across most business units. Operating revenue increased 10% to $851.2 million, while operating EBITDA increased 6% to $44.5 million.
Improved confidence across the sheep, beef, dairy, and horticulture sectors, particularly kiwifruit, supported increased customer spending and investment throughout the year, says PGW.
