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Harvey Norman profits go sour after dairy farm investment

“I should not have bought that dairy!”

While underlying half-yearly profits for Harvey Norman are up by 0.8%, that’s $296 million, net profits are down 19.3% to $207 million.

This comes after the company wrote down a 49.9% stake in Coomboona dairy farm.

Ross Greenwood speaks with Executive Chairman of Harvey Norman, Gerry Harvey.

“I should not have bought that dairy! That was a bad mistake,” he says.

“It came up as this wonderful deal, and we voted around the board table. 100% yes! We’ll do it.”

Though Gerry assures Ross all is not lost.

“The important thing is, it doesn’t really matter.

“We’ve got a company worth $4 or $5 billion, then you’re riding off $20 million. In the big picture, it’s absolutely of no concerns.”

Listen to the full interview below