For immediate release:
29 November 2012
Kingfish delivers another strong performance
• Total shareholder return increased 18.1% for the six month period
• Discount between share price and NAV narrowed from 16.0% to 8.6%
• 4.42 cents per share of dividends paid
• Total of 16.9 million warrants exercised over two-year life
NZX-listed investment company Kingfish Limited (NZX: KFL) today announced a net operating profit for the six month
period ended 30 September 2012 of $11.5 million.
In the six months to 30 September 2012, Kingfish’s adjusted net asset value (NAV)* increased by 7.9% despite being
negatively impacted by the dilutionary effect of the warrants exercised in the period at 95c each. 14.0 million warrants
were converted into ordinary shares during the six months, and a total of 16.9 million have been exercised over the
two-year life of the warrants.
Excluding the dilutionary effect of the warrants, Kingfish’s adjusted NAV* increased by 10.4% for the six months, ahead
of the NZX50 Gross Index which rose 9.2% over the same period. Since inception (2004), Kingfish’s adjusted NAV* is up
74.4%, significantly ahead of the NZX50 Gross Index which is up 47.9%.
The share price traded between $0.93 and $1.06 during the period, closing at $1.05 on 30 September 2012. Since then, the
share price has continued to strengthen, closing at $1.10 on 28 November 2012. Total shareholder return increased 18.1%
in the six months, and is up 69.1% since inception.
In accordance with Kingfish’s dividend policy (2% of average NAV per quarter), the company paid 4.42 cents per share in
dividends during the six months. On 21 November 2012 the Board declared a dividend of 2.29 cents per share to be paid to
shareholders on 21 December 2012.
The discount between Kingfish’s share price and its NAV at 30 September 2012 was 8.6%, which has narrowed considerably
over the six months from 16.0% at the start of the period. Kingfish Chairman, Alistair Ryan commented: “We are
encouraged to see a strong total shareholder return for the period which was the result of a robust portfolio
performance.”
Kingfish Manager, Fisher Funds, said: “The New Zealand share market has had a period of strong performance. Due to the
slow-moving economy, this performance has been driven more by an increase in equity prices than by any uplift in
expected earnings growth.”
During the period, Kingfish reduced its holding in Metlifecare, Acurity Health (formerly Wakefield Health) and Pumpkin
Patch while increasing its holding in Trade Me, Freightways and Summerset. Cash as at the end of September was high
($21.2m) due to the exercise of warrants ($11.6m) in early September.
The fundamentals of the Kingfish portfolio are positive relative to the broader market. According to the consensus of
analysts’ forecasts, the earnings of Kingfish’s investments are expected to grow by 18% in the coming year with shares
trading around 14.8 times earnings.
Mr Ryan said: “It is pleasing to note that the positive performance of the Kingfish portfolio has continued during the
first half of this financial year.”
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*Total Shareholder Return and adjusted NAV assume all dividends are reinvested, but exclude imputation credits
About Kingfish
Kingfish Limited is a listed investment company that invests in New Zealand companies. The investment portfolio of
Kingfish is managed by Fisher Funds Management Limited, a specialist fund manager with a track record of successful
investing. Kingfish aims to offer investors competitive returns and access to a diversified portfolio of investments
through a single, tax efficient investment vehicle. Kingfish may invest in companies listed on the NZX, NZAX and
unlisted companies. The company listed on the New Zealand Exchange in March 2004./ends