Tourism operator Skyline is still seeing fluctuations in visitor numbers across its broad range of operations but has reported an increased full-year before-tax profit of $27.7 million, prompting a 45% increase in dividends.
Visitor numbers declined in several operations, some earnings increased with market share in some areas, but shares in three casino operations were down.
Skyline chairman Ken Matthews said: "While visitations to our domestic [NZ] properties have not recovered to pre-recessionary times, the average spend per [visitor] head is not causing us any great problem at this particular stage."
In a statement yesterday he said: "Given the group's cash position, strong trading result and relative confidence with industry trends" dividends to shareholders would be increased, from 22c the previous year to 28c per share."
In the unaudited accounts, after property devaluation of $6.4 million and $6.8 million in tax, Skyline had an adjusted profit of $14.5 million for the year to March, compared with $9 million last year, the company, which operates on Unlisted, an unregistered securities trading platform, said.
The Skyline gondola properties in Queenstown and Rotorua delivered an unspecified "substantial improvement" to group earnings, with increased visitor numbers and cost controls assisting in both operations.
"International arrival numbers to New Zealand are beginning to show some improvement, driven predominantly out of the Australian market," Mr Matthews said.
Occupancy of the Queenstown accommodation properties - Blue Peaks Lodge and Mercure Leisure Lodge - declined marginally but achieved an overall improvement in earnings.
Despite numbers declining in Skyline's luge operations in Quebec and Singapore, both ventures had a successful year and the Mont Tremblant operation in Quebec achieved a record season, due to an increase in market share, he said.
Mr Matthews said the Queenstown commercial properties "performed to expectation", in what had been "difficult" times, but some facilities had seen new investment and expansion, where returns were assured.
"Predictions for a good winter in the South are encouraging, although we note that is not our busiest period of the year."
Mr Matthews said while the Christchurch casino had had another good year, its profitability was down slightly; Dunedin's casino was down on the previous year and returns from the Queenstown casino were "disappointing".
• Skyline's annual meeting is scheduled for September 18.
