NZRLC reports $23.1m profit, adjusts dividend policy

New Zealand Rural Land Company (NZRLC) has reported a consolidated net profit after tax of $23.1 million for the 2024 financial year.

Adjusted funds from operations (AFFO), excluding earnings from properties with put/call arrangements, amounted to $7.1m.

The company has amended its dividend policy targets to a pay-out of 60% to 90% of AFFO.

In FY24, NZRLC reinstated dividend payments, with a total dividend of 4 cents per share, representing approximately 80% of FY24 AFFO.

NZRLC also maintained a selective on-market share buyback programme, repurchasing 88,804 shares.

In February 2024, the company sold a 25% equity interest in its land portfolio to Roc Partners for $44.2m in cash, which was used for debt repayment and property acquisitions.

The company now owns 17,238 hectares of rural land, with a 12.4-year weighted average lease term and 100% occupancy across nine tenants.

NZRLC forecasts FY25 AFFO of $7.5m to $8m, excluding earnings from properties with put/call arrangements.