Pernod Ricard’s Millstream unit doubles full-year profit
6 months ago John Abercrombe Comments Off on Pernod Ricard’s Millstream unit doubles full-year profit
Millstream Equities, which manufactures and sells wines and spirits, said its accumulated losses now stand at $828 million versus $835 million in the prior year. No dividends were declared.
It noted the Nov. 14 earthquake had resulted in damage to its Blenheim winery on the northern tip of the South Island that is subject to an insurance claim.
Pernod Ricard’s New Zealand unit Friday reported an annual profit that more than doubled but warned it was still assessing the financial impact of the 7.8 magnitude Kaikoura earthquake that rattled the country in November.
“The financial impact of the earthquake is still being assessed and cannot reliably be measured at this time,” it said.
The liquor group’s Millstream Equities posted a profit of $7.4 million in the year ended June 30, from $3.6 million a year earlier as revenue rose to $241 million from $228 million. Its total operating expenses were $19.6 million versus $10.1 million in the prior year, reflecting higher management fees, repairs and maintenance. Tax cost also rose.
In late November, then Economic Development Minister Steven Joyce said the industry was “facing some challenges” after the earthquake. Joyce, who is now finance minister, said the main impact was to around 20 percent of wine storage tanks in the region.
Wine exports reached $1.6 billion in the 12 months to November and are currently New Zealand’s seventh-largest export.