Profitable first year for New Zealand merino group
The New Zealand Merino Company Limited has posted a pre tax profit of NZ$1.98 million on a turnover of NZ$75 million.
Reporting on its first year, chairman Peter Townsend said the company achieved approximately 70% market share and outperformed its financial targets, with an 82% return on investment.
Claimed to be the only company to offer an integrated approach to the sales, marketing, research and development of merino fibre, NZM began operations in July 2001 and is 65% owned by the growers’ co-operative, Merino Grower Investments Limited .
Merino Grower Investments Limited Chairman Allan Kane observed: "A strong company result was sought, not only in recognition of the growers’ investment, but also to ensure a solid company was formed to continue the momentum of the merino sector’s marketing". Mr Kane added that grower share distribution is planned for 2003 concurrent with the dismantling of the New Zealand Wool Board.
