Fonterra Raises Dividend to Soften Blow From Lower New Zealand Milk Price

Fonterra Cooperative Group, the world’s biggest dairy exporter, paid New Zealand farmers less for their milk this year but was able to soften the blow by increasing dividends even as earnings declined.

Net income fell 28% to NZ$1.13 billion ($716 million) in the year ended July 31, the Auckland-based company said Wednesday. Still the dairy group was able to increase its dividend to 55 cents a share from 50 cents a year earlier by providing a 15 cents special dividend.