Magazine: TORO Manages the Recession Well
By Editor in Industry News on 1st Mar 2010 6:00
The TORO company got through a very difficult 2009 financial year by maintaining good liquidity and growing market share.
Despite the recessionary environment, the company posted sales US$1.523 billion (NZ$2.15 billion) and generated a recordUS$251.5 million (NZ$360 million) in cash flow from operations. Investors have recognised this prudent and careful management by increasing their demand for TORO shares, resulting in a doubling of the share price in the last 9 months from US$20 to over US$43 today. The market value of the company now stands at US$1.44 billion (over $2 billion NZ dollars).
“In the face of extraordinarily difficultconditions, we took early and decisive action to balance the short-term challenges against the long-term needs of the organisation,” said Michael J. Hoffman, TORO’s Chairman and Chief Executive Officer. “Through solid customer relationships and product lines enriched by many new innovations, we had great success winning share even as our markets contracted.“
“Our outlook in the coming year assumes market declines are largely behind us, sowe’re currently expecting net sales to be roughly comparable to last year,” saidMike. “We have taken measures to adjust our cost structure, improve our overall operating effectiveness, and will be more flexible to react to retail demand in the year ahead.”
Since 1988, Parkland has been the proud, exclusive New Zealand distributor of TORO products. TORO is a leading worldwide provider of outdoor maintenance equipment and irrigation systems to help customers care for golf courses, sports fields, public reserves, commercial and residential properties, horticultural and agricultural lands.
Parkland is the exclusive New Zealand agent for a range of internationally proven brands like Toro, TyCrop, Traxmaster, Pope, Otterbine, Motorola and Irrinet. We work proudly with a broad range customers including New Zealand’s world ranking golf courses and sportsfields, local government, landscapers and even the DIY enthusiast. For more information on what’s happening at Parkland go to www.parkland.co.nz
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