Chief executive Gareth Edgecombe said weakness in New Zealand consumer activity and lower apple volumes drove business losses. Photo: Supplied
Produce exporter T&G Global has reported another loss, with its half-year earnings down as its orchards continue to recover from Cyclone Gabrielle.
Key numbers for the six months ended June compared with a year ago:
- Reported net loss $21.4m vs $17.7m loss.
- Revenue $820m vs $765.3m.
- Operating loss $2.6m vs $11.6m loss.
T&G Global's reported net loss was 21 percent more than its loss for the same period last year.
The loss includes a tax expense of $10.4 million due to government tax changes.
Chief executive Gareth Edgecombe said weakness in New Zealand consumer activity and lower apple volumes drove business losses, but the outlook was more positive.
"If we look at the New Zealand consumer sentiment, we think that that's going to still be challenged, with all the challenges Kiwis have at the moment, through to the end of this year... so, we're managing that through just very prudent cost management.
"From our apples outlook we're seeing really strong demand for our key brands, being Jazz and Envy in particular. We're seeing great pricing come through on the commodity varieties such as Royal Gala.
"All of our key markets, US and right through Asia, are experiencing very strong growth and strong demand, and the quality of our apples that we're getting to market is fantastic so we're getting great demand signals."
He said a key concern going forward was the cost of exporting to the UK and Europe.
"Having to ship around to deal with the problems of the Red Sea is adding cost, so we're being really careful about how much we actually move to Europe and the UK."
T&G Global was continuing to work through its Cyclone Gabrielle insurance claim and expected it to be resolved within the financial year.