Satara kiwifruit

New Zealand-based kiwifruit and avocado cooperative Satara has revealed that net profit increased 7.9 per cent to NZ$1.86m (€883,000, US$1.2m) during the first half of the year, despite increased competition, mid-harvest storms in Tauranga and Te Puke and deteriorating returns on green kiwifruit.

Revenue for ordinary activities through the period ended 30 June 2009 rose 2 per cent to NZ$38.35m (€18.2m, US$26m), which in turn boosted profit before rebate and tax by 4.8 per cent to NZ$2.65m (€1.2m, US$1.8m), NZPA reported.

Earnings before interest and taxation (EBIT) stood at NZ$3.5m (€1.7m, US$2.4m) for the first six months of the year, the group said, with full-year EBIT pegged at NZ$4m-NZ$5m (€1.9m-€2.4m, US$2.7m-US$3.4m).

Satara added that it was packing a lower volume of kiwifruit trays this year as it departs from unprofitable orchard leases, with the second half expected to produce a 1.1m tray drop on 2008.

In total, the group is expected to pack a total of 11.5m trays in 2009, down from 12.6m trays last year.