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Helicopters NZ posts small loss in debut for Canadians

Published: Tue 7 Aug 2012 12:53 PM
Helicopters NZ posts small loss in debut for Canadians, nabs Shell Philippines contract
By Paul McBeth
Aug. 7 (BusinessDesk) - Helicopters NZ, acquired by Canadian Helicopters from the failed South Canterbury Finance last year, was dragged into the red in its debut reporting period under new owners because of related party interest costs and the bill to cover the acquisition.
The company posted a loss of $146,000 between April 12 and Dec. 31 last year, according to its maiden financial statements lodged with the Companies Office. That included a $2.3 million bill to cover the $106 million cash acquisition, and $2.1 million of finance costs arising from a shareholder loan.
Revenue was $19.8 million, of which $1.7 million came from related companies. Gross spending was $19 million in the period. Stripping out depreciation, finance and acquisition costs, the unit made an operational profit of $7.1 million in the period.
If the deal had been settled at the start of the year, the consolidated unit would likely have posted a profit of almost $2 million in calendar 2011, including acquisition costs, the statement said.
In May, Canadian Helicopters said the New Zealand unit contributed C$18.5 million to the group's C$62.5 million quarterly revenue.
Separately, Helicopters NZ entered into a four-year helicopter support contract with Shell Global Solutions International for its offshore oil and gas platforms in the Philippines.
Chief executive Don Wall said the deal builds on Helicopters NZ's relationship with Shell in New Zealand and grows its base in the Asian market.
The TSX-listed shares fell 1.2 percent to C$28.37 in trading yesterday, having gained 19 percent in the past year. The stock is rated an average 'outperform' based on five analysts' recommendations compiled by Reuters, with a mean target price of C$37.80.
(BusinessDesk)

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