Pāmu strategic direction
Pāmu has formally responded to the Minister’s Letter of Expectations, acknowledging the clear expectations of our shareholding Ministers—particularly the need to operate our land assets as efficiently and profitably as non-Crown entities, while delivering strong value to the Crown, including through regular dividends.
By 2030, Pāmu is targeting a significant turnaround in financial performance, including:
- Group Net Operating Profit (NOP) exceeding $100 million
- Total Shareholder Return (TSR) of 9.3%
- Broader sector benefits through advancements in genetics, low-emission farming, and agri-tech innovation
- Net greenhouse gas emissions reductions delivering tangible benefits to the Crown
Over the past 18 months, Pāmu has made strong progress in farm efficiency, achieving improvements across key industry benchmarks such as dairy in-calf rates, lambing percentages, stock losses, and production costs. We are targeting a $29 million annual NOP improvement in our core farming business by FY28 (assuming stable milk and livestock prices). Already, we are seeing results: FY25 NOP is forecast between $43–$51 million—double the five-year average—with a target of over $50 million in FY26.
Looking ahead, Pāmu is:
- Enhancing integration between dairy and livestock operations
- Increasing dairy beef rearing capacity
- Expanding horticulture and forestry
- Reducing net greenhouse gas emissions (by over 22% from the FY21 baseline)
- Controlling costs and leveraging strategic investments in FarmIQ and Focus Genetics
Pāmu is also committed to developing the next generation of agricultural leaders. Our long-standing investment in leadership and on-farm training now includes the Pāmu Apprenticeship Scheme, which supports ten young people annually through a two-year farming programme. Our sharemilking pathway offers ambitious dairy teams the opportunity to build equity and advance their careers—while also improving the company's financial performance and freeing up cash flow.
Pāmu is proud to be shaping a more sustainable, profitable, and innovative future for New Zealand agriculture.
