Leaked Jarden accounts shows Australian red ink swamping Kiwi biz
There’s no doubt it’s been a difficult year for investment bankers around the country as deal activity continues to crawl along.
That pain looks particularly acute at Jarden’s local operations, according to leaked half-year accounts that make it clear how Australia is dragging the New Zealand bank’s otherwise healthy pre-tax profits into the red.
The internal accounts, for the six months to the end of September, show EBITDA of $NZ15.3 million ($14.1 million) across the New Zealand business offset by an $NZ8.7 million loss in Australia.
After interest, depreciation, amortisation and a number of lesser adjustments, Jarden’s New Zealand business is left with a pre-tax profit of $NZ9.32 million. Australia posts a net loss of $NZ9.6 million.
By comparison, Jarden posted a $13.3 million net loss for the 15 months to the end of March 31 in accounts lodged with the Australian Securities and Investments Commission earlier this year as expenses soared.
However, Jarden employees were told the investment bank was on track to hit forecasts for the full year ending March and should be helped by fees coming its way from deals whose completion has been delayed.
Jarden Australia’s co-chief executive, Sarah Rennie. Janie Barrett
Jarden came to Australia three years ago, landing well-regarded investment bankers Robbie Vanderzeil, Aidan Allen and Sarah Rennie. Vanderzeil, a former UBS banker who went on to become Jarden’s chairman, quit this year. Others including Dane FitzGibbon and Catherine McCormack, have also exited.
But the leaked accounts provide remarkable details about various divisions and their revenues. The Australian investment banking and capital markets team brought in almost $NZ19 million in commissions in the six months
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