Page 14 - NZPM Annual Report 2017

NZPM GROUP ANNUAL REPORT 2017

SHAREHOLDERS

Consistent with the refreshment to operating
performance, NZPM has approved applications
from 70 new ordinary shareholders in the year, a
number of whom are returning shareholders. We
previously identified the renewal of the ordinary
shareholder base as essential to offset the steady
stream of shareholders who are retiring from the
industry. Last year, NZPM introduced a number
of changes to encourage new shareholder
applications including reducing the initial and
overall capital commitment and using MaxPoints
to pay for shares.

A range of other new shareholder value
propositions have been well received. The Go for
Gold rebate initiative, which rewards shareholders
for purchasing our own brand and exclusive
branded products, is still in its infancy but is
already proving popular with shareholders. Some
exciting variations to this rebate are planned to
share the value of our expanded exclusive brand
offering with shareholders.

The introduction of certain classes of builders
to the shareholder base was keenly debated
by shareholders in 2016. Since October, twelve
builders became ordinary shareholders, some of
which were new customers to Plumbing World.

The board and management expect this initiative
to deliver future revenue growth and enhance
value to all shareholders.

After deducting this year’s resignations, the
ordinary shareholder base increased from 785
to 804 members. This is the first net increase
in ordinary shareholder numbers for over five
years and is an encouraging outcome reflecting
both the value propositions and our operating
performance.

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