With the challenges posed by the economic environment during 2023, we focussed sharply on achieving the best commercial outcomes in a tough operating environment.
As unfortunately exemplified by the devastation of the cyclones in Aotearoa, it has become more important than ever to us that through strong risk management, we ensure diversification of our non-port assets and asset classes for the future; and that we proactively address climate change.

We are proud to showcase a record distribution to our shareholder, the Bay of Plenty Regional Council, of $42.5 million, a 6% increase on 2022.
We are forecasting a dividend of $45 million in 2024.

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Overall highlights (as of 30 June 2023):

• Record distribution of $42.5 million to Council
• Our listed assets performed well, increasing returns from ($13 million) in 2022 to $13.4 million this year
• Port shareholding value is $2.3 billion which is substantially in line with 2022
• Port dividend of $55.3 million received, an increase of 7.2% compared to 2022 ($51.6 million)
• Port separation and great governance. Two directors appointed from Quayside
• Regional development of Rangiuru Business Park
• Growth of non-port assets for resilience at the same time as growth of BOPRC dividend – recognising importance to Council of intergenerational wealth

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Our long-term, intergenerational focus on portfolio construction allows us to ride out short-term fluctuations in asset valuations.

The Port delivered a net profit after tax of $117.1 million, representing an increase of 5.2% from 2022 and paid a dividend of $55.3 million to Quayside despite the ongoing challenges the sector faces. There was a decline in total trade and container volume this year, due to the ongoing effects in the kiwifruit industry and climate-related events. Nevertheless, the Port’s net profit after tax continues to show the Port of Tauranga is the leading Port in New Zealand.

This year, the Quayside Board and Executive team refreshed our long-term strategy to ensure ongoing alignment with shareholder expectations and resilience to volatility and ever-increasing complexities. Intergenerational future-proofing of commercial outcomes for long-term growth in wealth remains the cornerstone of our vision – Invested in our Future, Mauri Ora Roa.
Corporate, social and environmental leadership, building inclusive relationships with iwi and stakeholders and ensuring Quayside is an engaging place to work are the other three pillars of our strategic aspirations to 2033. We keep our mandate, vision and purpose at the forefront of everything we do.

The Rangiuru Business Park is starting to flourish as an exciting development in the Eastern corridor – providing much needed industrial land for this region. While the positive regional impact of the Park will be large, the infrastructure burden that Quayside is carrying as lead developer is significant. This requires careful strategic consideration and management of financial risk as well as opportunity to ensure
positive outcomes for our community.

Lastly, Quayside has continued the evolution of our risk maturity and risk control environment. In this year’s report, we share more about our risk management framework including, as shown in this report, reporting to the Aotearoa New Zealand Climate Standards.
Environmental, Social and Governance (ESG) considerations, aligning strongly with our Quayside values, are central to the decisions we make and how we operate as an organisation. ESG assessment will play an increasingly important part in our investment due diligence, reporting, governance and stakeholder relationships. We seek to build an investment resilient portfolio that is responsive to community expectations, responsible environmentally and respectful of mana whenua.

This is an excerpt from the Quayside Annual Report 2023. Access the full report here.