Seeka Announces Result for the Six Months to 30 June 2023

Listed New Zealand produce company Seeka, reports its unaudited interim results for the six months ended 30 June 2023.

- $212.7m Revenue – down 14% on six months to June 2022 previous corresponding period (pcp)
- $36.4m EBITDA – down 26% on pcp
- $13.6m NPBT – down 55% on pcp

"Seeka's financial performance was impacted by the large drop in kiwifruit yields in 2023," says chief executive Michael Franks.

"The warm winter of 2022, followed by a wet summer, cyclones Hale and Gabrielle, and autumn hail, all had a major impact on New Zealand's horticultural industry. Growers and fruit handlers across all sectors are contending with a large drop in yields, which is impacting revenues and profitability.

"Despite the smaller crop, Seeka has delivered excellent operational performance. Seeka remains obsessed with quality, and we delivered an excellent harvest service to our supplying growers and quality kiwifruit to the markets. International sales are reported to be strong, and we are anticipating a significant lift in tray returns to growers and Seeka's orchard operations.

"Having made large investments in automation, Seeka now has the capacity to handle more than 50 million trays of kiwifruit with facilities in Northland, the Coromandel, Bay of Plenty and Gisborne regions. Our highly-automated post harvest systems have delivered efficiency gains to Seeka and our supplying growers, and provide the packing power to efficiently manage the harvest process.

"We have created a leaner business and are now focussed on preparing for 2024. Kiwifruit vines like the cold winter conditions we are currently having, and the shift to an El Niño weather pattern is ideal for a rebound in yields in 2024.

"New Zealand's kiwifruit industry has a vibrant outlook, and growers are continuing to invest in new SunGold and RubyRed orchard developments. Our investments in post harvest automation means Seeka is well prepared to handle the upcoming lift in national kiwifruit production as we work to supply the world with premium New Zealand kiwifruit."

Dividend
The Board has determined that no dividend is payable.

Full year operational guidance
Seeka’s full year outlook is dynamic. Full year net profit before tax is forecast to be a loss between $20m and $25m.

The full text of the announcement is attached along with the unaudited six month financial statements to 30 June 2023.

ENDS
For more information, visit www.seeka.co.nz or please call:

Michael Franks
Chief Executive
+ 64 21 356 516

Nicola Neilson
Chief Financial Officer
+ 64 21 841 606

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Announcement PDF