[16 October/ New Zealand Herald]

Alliance Group Chief Executive David Surveyor said operating profit would be substantially higher than last year. In 2016 Alliance posted a $10.1million pre-tax profit for the year ended September 30, based on a $1.36billion turnover. Mr Surveyor said 2016’s $41 million debt figure would be halved to an estimated $20 million. Chairman Murray Taggart noted Alliance still needed to get more cost out of the business, increase revenue and gain deeper market penetration. There had been a significant increase in internal capability, some market share recovery, and a healthy year of shareholder growth. Of the company’s shareholders, 10 percent were now in the North Island. The company’s most substantial frustration was its needing to achieve a better profit. Mr Taggart said Alliance was convinced that being a 100 percent farmer-owned company was the best model. An Enterprise Resource Planning project was being run company-wide, with complex computer system replacements costing over $20 million.