Casino’s Northern Co-operative meat company Ltd has posted a $23m profit before tax for the 2015 financial year.
Chairman, John Seccombe has attributed the results to a number of factors including, the continuing drought-induced turnoff of cattle.
“This is a great result for the Co-operative as we plan to heavily re-invest in our processing facilities. In addition we were able to return bonus incentives to our members of approx. $3 million.” Mr Seccombe said.
Mr Seccombe said, the local vealer price has been on an upward trend since January this year and although this places pressure on the trading business he has welcomed the improved returns to producer members.
Commenting on the outlook for 2016, Mr Seccombe expects livestock prices to remain at historical highs particularly if we return to a reasonable summer wet season. With regard to processing numbers, he expects the business to be in line with MLA predictions and that is processing 10 to 15 % lower in 2016.
He also noted the significant capital projects including the cold store, beef floor upgrade, boiler and WWTP facility at the tannery are on target for commissioning throughout 2016.
The member services division is undergoing a new phase which will take into account a communication strategy to all stakeholders.
Mr Seccombe thanked retiring director, Mr John Jackson for this dedication and favorable industry knowledge during his three years on the board. He has also welcomed newly elected Director, Robert Sinnamon to the board.
“The board has continued to pursue improvements in its corporate governance functions and is focused on its strategic goals in order to position the Co-operative for a commercially sustainable future”, Mr Seccombe said.