15 Oct 2009

Landcorp profit down

1:03 pm on 15 October 2009

Landcorp Farming has seen its pre-tax profit drop.

Excluding revaluations, the State owned farm company made an annual pre-tax profit of $6.9 million, a decrease of 37% on the previous year.

Revenue rose 6% to $174 million as higher sheepmeat and deer sales offset declines in dairy and beef.

Landcorp blames the fall in earnings on a sharp fall in the dairy payout, higher production costs, the lingering impact of last year's drought and a slowdown in sales at its property development arm.

A dividend of $10 million will be paid to the Government.