Barnwell Industries Inc. today reported a substantial drop in earnings for its final quarter and fiscal year, which ended Sept. 30, but said the difference from the performance in 2000 was entirely due to land sales last year that were not present this year. Barnwell earnings drop
By Russ Lynch
rlynch@starbulletin.com
The Honolulu-headquartered oil and gas exploration and land development company announced a 50 percent increase in its quarterly dividend, to 15 cents from 10 cents.
Barnwell had a profit of $170,000, or 13 cents a share, in the latest quarter, down 84 percent from a profit of $1.08 million, or 79 cents a share, in the year-earlier period.
Quarterly revenues of $4.16 million were down 26.1 percent from $5.63 million.
For the year through Sept. 30, Barnwell reported a profit of $3.83 million, or $2.82 a share, down 23.6 percent from a year-earlier $5.01 million, or $3.67 a share.
Full-year revenues of $24.09 million were down 9.3 percent from $26.57 million.
The fiscal 2000 earnings had included $2.3 million from the sale of land development rights on the Big Island.
Excluding land transactions, the full-year net this year would have been up 41 percent from last year's, said Morton H. Kinzler, chairman and chief executive officer.
"The land investment segment, while not generating revenues in fiscal 2001, had a very successful year that positions the company for future success and revenues," Kinzler said. One example is Kaupulehu Developments, now 77.6 percent owned by Barnwell, which has completed a Land Use Commission process leading to future development of a 1,000-acre parcel in North Kona, he said.
On the oil and gas side, Barnwell said it invested $4.24 million in exploration in the latest financial year and generated a cash flow of $10.16 million, its highest ever.