Allied Farmers has reported a half-year loss after restructuring its rural arm and further writedowns of its Hanover loans.
The Hawera-based firm lost $9 million in the six months to the end of December, an improvement of 56% on the same period a year ago.
The company says debt fell by almost $20 million.
Allied Farmers says the $9 million loss reflects the sale or closing of its retail stores to focus on its profitable livestock business.
Its investment arm, which holds the Hanover and United Finance loans Allied bought for nearly $400 million, also continued to make losses off the back of further writedowns, losing $4.2 million.
Allied Farmers continued to reduce debt following further asset sales, with borrowings reduced by half to $19 million.
The company says it is confident that the support of unsecured lenders and creditors which it relies on will continue.
Looking ahead, it says the rural division's performance is promising, but the investment arm still has loans that may prove difficult to collect.
