Ngai Tahu profit surges well ahead
"Ngai Tahu since settlement has been a model of good governance, business success and whanau development. We should be very proud as a nation."
Featured commentNgai Tahu has posted a net operating surplus of $55.1 million and a bottom-line profit of $95.7 million after one-off items.
The annual result for the year ending June 2012 compares to last year’s $4.7 million, which included losses related to the earthquakes.
The operating surplus was well ahead of last year’s $37 million.
It was boosted by the sale of $27 million worth of Ryman Corporation shares, insurance proceeds from last year’s earthquake damage, and forestry sales at Ashley, Hanmer, Mt Thomas and Omihi to Swiss-based Corisol for $22 million, plus an increase in property values.
The total asset base of $809 million (equity of $658 million) is comprised of development property (10%), investment property (36%), rural property (17%), seafood operations (1%), seafood quota and marine farm licensing (8%), tourism (11%) and Ngai Tahu Capital (17%).
Highlights included investing more than $100 million throughout the year into dairy developments at Hanmer, North Canterbury, bringing forward existing residential property development to assist the Christchurch recovery and $22 million into Ngai Tahu Tourism’s Agrodome acquisition and the Rainbow Springs redevelopment, including the Big Splash ride.
Annual grants to runanga increased by 24% to $240,000 for each 18 runanga.
Te Runanga o Ngai Tahu Kaiwhakahaere, Mark Solomon, says new initiatives for the financial year included the distribution of $200,000 in environmental grants to runanga entities and the establishment of the Marae Development Fund, which distributed grants totaling $951,881 to eight different marae.
These grants were used for maintenance, renovation and rebuild projects.
“We saw continued whanau support of the tribal savings scheme Whai Rawa. The year yielded a return on member savings of 5.1% before PIE tax.
"We are seeing increasing numbers of Whai Rawa members using their funds to help them through university or polytech, buy their first home or access funds to help them in later life.
“Our earthquake recovery efforts also continued throughout the year. In total, $953,000 was distributed over the 12-month period to whanau and organisations to support earthquake response and recovery efforts.
"The Earthquake Recovery Working Group, Te Awheawhe Ru Whenua, was able to distribute this money as a result of considerable funding received from Te Runanga o Ngai Tahu and koha donated by other iwi and individuals.”
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Comments and questions25
Mmmm
$55m operating surplus
$240,000 to 18 Runanga = $4,320,000
What happens to the other $50 million
All should be distributed to the Runanga and not to be held by a few elite
If every SOE was run like Ngai Tahu, the Government accounts would be in much finer shape
If every SOE was handed the best assets to work with they too would be in finer shape...pretty easy to get gold from gold.
Ngai Tahu since settlement has been a model of good governance, business success and whanau development. We should be very proud as a nation.
Why? I don't see any benefit to the taxpayer in this? Unless you mean its less likely we will have to fund another handout?
Sounds like you are on the Ngai Tahu gravy train , what self congragulatory dribble.
Yeah and I'm sure if a group of us white people were able to sleaze hundreds of millions of dollars from the hard working New Zealand tax payer we'd be in the same position today too.
You do realize these handouts won't last.Honest New Zealanders have had enough and if we have to throw this government out to stop these insane settlements we'll do it.The clock is ticking your time is almost up.
They sold millions of their Ryman Healthcare shares at $3.17 in early May.
Five months on, those shares are now worth $4.07, around 30% higher.
Can't get them all right I guess, but those who bought from Ngai Tahu on the market will be pleased.
Awesome business result! If these kinds of profits are distributed in a way that helps to reduce systemic educational and health inequities between Maori and Pakeha in NZ, then the Treaty settlement process will have proved to be a successful thing to implement. Go Kai Tahu.
Thats the problem
It is not being distributed
Only $5m of $55m was distributed
Were they the tribe that said that providing finance for meals for underfed Maori school children was the responsibility of Government, not them?,
Plenty of profit there to support KidsCan. Wonder if John Cambell will hit them up.
"For just $1 a day, you can feed your own iwi ..."
And they still have their hands out....
@ #1: What happens to the other $50 million?
It's an interesting question. But also one to which only members of the Iwi are entitled to an answer.
The rest of us can just look on with a mixture of curiosity, envy and respect.
Ngai Tahu have an old " hands out " model
My 7 year old could provide better financial results if he too had first right of refusal on land and long term Government tenants. If he also could get fast tracked resource consents on residential developments where the authorising body ( City Council ) is beholden to the applicant ( Ngai Tahu ) who also approves the consent.
Most of the increase in profits is from revaluing converted dairy land.
How financially efficient would Ngai Tahu be if they didn't get assets at a discount or from a priviledged position?
Not very i would say
Time for more internal accountability at Ngai Tahu to their members who receive bugger all of the putea ( money )
as they say, making the first $170m is the hard one.
Legitimate observation.Always good when you get a handout to start you off though.I have more respect for Kim DotCom, he did far more,with less.
Big deal, getting fat by dining out at other people's places.
Bill English should see if he can loan some money off them and get some hints.Sure, they will give him a good rate of interest.
I wonder exactly what tax rate - if any they paid on there profits??
I could make as much if I had their tax privileges.
Also can anyone answer - exactly how many people do they cover under the banner of Ngai Tahu i.e. how many Maori's do they represent
They pay no tax.. it is ridiculous .... and the money gets distributed to privileged pakeha in many cases who can trace a tiny drop of Ngai Tahu blood.
I would have no trouble applauding Ngaitahu if their business interests paid tax like everyone else ... the way it is creates an un-level playing field in NZ business and needs to be addressed ...
When you can buy state assets are wholesale prices, on the back of advocate valuations, who could go wrong? The true cost of these settlements is far greater.
While their governance is better than some, there doesnt seem to be any sign of the trickle down effect.
Lets face it. These treaty settlements are nothing more than a rort, organised by the privileged few. The better idea would have been for the government to give the under privileged a hand up, rather than a hand out to the privileged few.
Interestingly Ngai Tahu only works within the same laws which has benefited other New Zealanders. Now that they use these same laws which other successful people and companies currently use they get persecuted. I suspect that rather than fighting with the rich they have decided to join them. Clever idea I reckon.
The Kiwi knocking machine is still alive an well.
I had some thoughts that NBR readers might have some kind of business acumen. If Ngāi Tahu distributed all profits then it would only be a matter of time before the business failed. I get the sense that would suit some commentators. If any of the naysayers took the time to read the annual report they might notice that the distribution was over $23m across a range of initiatives and over $220m distribution since settlement.
I understand most of their businesses are run by a Charitible Trust and while that means most income is not taxable it also means they do not have access to all the dinky tax schemes that mean lots of companies never pay tax.
#10 by Anonymous . : "Only $5m of $55m was distributed "
???
It's like diablo 3 gold