Chief executive Rod Quin said it was a satisfying result given the tough farming and trading conditions.
The 30c/kg MS retention would support the company’s strategic growth plan while the net payout to shareholders remained very competitive.
“In spite of the impact of a major flood in south Westland then one of the worst droughts in living memory for most of the Coast, milk volumes from shareholders were up 5.7% at 621 million litres and milk purchased from other dairy processors contributed a further 68m litres.”
Turnover remained steady at $535m with a high NZ dollar dampening the high market prices in the second half of the season.
“These results are a testament to the resilience and resourcefulness of our shareholders and staff,” Quin said.
“There is a huge focus on productivity and quality which runs through the whole company from our farmer shareholders and suppliers to the staff on the factory floor and the sales team that is maintaining and growing our position with key customers.”
Westland ended the financial year with a slightly lower equity to assets ratio than last year at 49%. That reflected the co-operative’s recent investments, particularly in the development of new plant for the manufacture of specialist nutritional products such as baby formula.
“The results confirm Westland’s strategic decision to move from being a manufacturer of quality ingredients to that of being a supplier of value-added nutritional products which return higher prices for the company and better results for shareholders,” Quin said.
“Our financial position at the end of the 2012-13 season means we are well placed to continue this strategy; the new nutritionals plant will be operating to full capacity in the 2013-14 season and we are investigating options for further development.”
