Marsden Maritime Holdings Announces Result for FY22

Marsden Maritime Holdings Ltd (NZX:MMH) recorded a net profit after tax of $13.107m for the year ended 30 June 2022, driven by solid growth in its commercial and marine ecosystems. The Company had underlying earnings (net profit after tax excluding revaluation of investment property and fair value movements) of $9.127m for the year, which is above the range provided in the trading update issued in April 2022. Key financials: o Net profit after tax $13.107m down 8% from $14.260m last year o Earnings from joint venture interest in Northport $8.432m down 11% from $9.525m last year o Investment property valuation movement $3.918m increase o Lease revenue $3.653m up 16% from $3.153m, due to completion of new developments o Marina revenue (includes Boatyard) $2.509m up 12% from $2.237m due to higher occupancy o Northport volumes o Bulk 2.923m t down from 3.547m t last year o Logs 2.318m t down from 2.837m t last year o Container volumes were up 42% from last year to 19,106 TEU Earnings from its joint venture interest in Northport Ltd totaled $8.432 million, which is down from last year's record $9.525 million but largely in line with performance in previous years. As a result, MMH's reported after-tax profit of $13.107 million for the year ended 30 June 2022 is down $1.153 million compared to last year ($14.260 million in 2021). The company will pay a fully imputed final dividend of 10 cents per share on 30 September 2022. This will bring the total dividend distribution for the year to 16 cents per share, down two cents from last year. Revenue from the company's non-port related activity has continued to grow, including its commercial property and marina operations. Lease revenue was $3.653 million, up from $3.153 million in the previous year, due to new developments - with two significant construction projects completed and tenanted during the period. Over the last few years MMH has invested in strategic businesses with good lease structures and tenure which is reflected in the $3.918m Investment Property revaluation for the year. Marina revenue (including Boatyard) was $2.509 million, up from $2.237 million, due to higher occupancy rates. The Marina continues to develop a solid reputation for the services it delivers and high berth occupancy at both the marina and boatyard over the last year has been maintained. Northport cargo volumes were down overall during the reporting period. Bulk cargo throughput at Northport decreased by 18% over the year to 2,922,913 tonnes. Log exports of 2,318,197 tonnes, down from 2,836,602 tonnes a year ago, accounted for 79% of this volume. Annual container volumes were up 42% on the previous financial year, with 19,106 TEU handled. Rosie Mercer was appointed by MMH as the new chief executive officer, effective on 1 July 2022. Ms Mercer said, "This is a pleasing result off the back of a record result last year. I am excited about the opportunities ahead for MMH as we look to execute on our long-term strategy and Masterplan, and deliver on our purpose of transforming Northland's economy." Chairman Murray Jagger said, "The 2022 financial year has seen Marsden Maritime Holdings achieve significant progress against our 'ecosystem-based' business strategy and the Board is pleased to present this result to shareholders. "We also completed our Masterplan during the reporting period, which provides a robust blueprint that will guide Marsden Maritime's future activities while driving sustainable social, environmental and economic benefits. "With our strategy and masterplan now in place, a key focus for the year ahead is shaping the business to execute this plan over the next 30 years and embedding our ESG framework - bringing it to the centre of everything we do and holding ourselves accountable to delivering against it." During the reporting period, the company commenced due diligence to purchase the land under the proposed Oruku Landing conference and multi-events centre in Whangarei. Under the terms of the deal, MMH would make the land available to a public entity developer, under a long-term commercial lease, to develop and operate the conference and events centre. Jagger said the project presents an exciting and much-needed opportunity for capital, economic and social investment into the region and supports MMH's purpose of transforming Northland's economy. ENDS For more information, please contact: Gavin Carroll Company Secretary Email: gc@marsdenmaritime.co.nz Phone: 022 106 3964 End CA:00397688 For:MMH Type:FLLYR Time:2022-08-26 08:32:25