Timbercorp annual profit falls 32%

Agribusiness investment company Timbercorp has suffered a 32 per cent fall in annual net profit thanks in part by write-offs and provisions made during the year.

Over the 12 months to September 30, Timbercorp's net profit reached $44.6 million, in line with downgraded forecasts issued two weeks ago.

The company said the profit reduction included a $16.4 million provision for the its table grape projects and an $8 million increase in the provision for doubtful debts to reflect the current economic climate.

It added that profit was impacted by an $18.4 million rise in borrowing costs and increases in the fair value of agricultural assets and investment property were $9 million lower this year.

However, Timbercorp said the company's total revenue was the highest on record, climbing 9 per cent to $494.4 million.

New business revenue for the year fell 16.3 per cent to $119.7 million due to reductions in the size of its managed investment scheme products offered to the market.