Kordia Group announces it is paying a special dividend to the Crown of $5 million as signalled in its profit announcement in August.
The dividend is payable thanks to an outstanding 2015 financial year when Kordia Group declared a profit of $9.2 million beating its forecast by nearly 400 per cent.
Kordia also welcomes the appointment of two directors to the board following director retirements with Paul Adams and Peter Ennis completing the seven-member board.
The state-owned business telco had a stellar 2015 year in New Zealand and Australia, with both operations over-performing to produce an EBITDA of $38 million, 193 per cent more than the prior year.
Kordia chair Lorraine Witten says the group has a strong balance sheet and has continued to report robust earnings in the first quarter of the 2016 year.
“Following outstanding results in both our New Zealand and Australian businesses and continued buoyancy this year, it is right that we make returns to our shareholder while at the same time providing for future growth,” Ms Witten says.
“At $12.5 million, group debt is at an all-time low and together with the strength of our balance sheet provides us with the flexibility to drive higher returns and growth.”
To that end the board expects to also pay further dividends in the current financial year in line with its statement of corporate intent.
New directors Paul Adams and Peter Ennis bring wide ranging and complementary skills to the Kordia board Ms Witten says.
Mr Adams is group chairman of Carrus Group and managing director of Carrus Corporation. He developed a career in Civil Engineering Contracting and is well regarded for his philanthropic activities. Mr Adams was voted 2013 Westpac Business Leader of the Year in the Bay of Plenty.
Peter Ennis is director, strategic solutions at Avid Technology based in Singapore and a former general manager technology at TVNZ. He is a highly experienced operational, technical and commercial leader in the broadcast and digital media sector and has worked in senior technology roles in Qatar and Ireland.
Messrs Adams and Ennis replace John Allen and Bryan Hemi who have retired by rotation.
About Kordia NZ
Kordia New Zealand is New Zealand’s leading provider of mission critical networks and technology solutions. With a rich heritage in broadcast and a focus on business to business telecommunications, Kordia NZ delivers the highest customer satisfaction scores in the industry.
Lorraine Witten, Chair, Kordia Group Ltd, Mob: 021 822 278