Vending Technologies On Track To Meet FY Target

Vending Technologies On Track To Meet Full Year Target

AUCKLAND, 6 November 2001 – Smart vending company, Vending Technologies Ltd (NZSE:VTL), today announced a net operating surplus of $1.8 million for the six months to 30 September, 45 percent ahead of the same period last year.

The result was achieved on total operating revenues of $8.5 million, down 9 percent on the corresponding period last year.

Chairman Richard Janes said that, given recent market conditions, the result was satisfactory and the Company is on track to meet its full year forecast surplus of $4.9 million when seasonal and other factors are taken into consideration.

Condensed statement of financial performance

(unaudited)

Six months ended 30 September 2001

(Millions)

2001 2000
Operating Revenues $8.5 $8.9
Operating Surplus Before Tax $1.8 $1.9
Operating Surplus After Tax $1.8 $1.2
EPS* 6.1¢* 26.3¢*

* Based on weighted average of shares on issue of 29.5 million at 30 September 2001 and 4.75 million at 30 September 2000.

“A large proportion of the costs associated with the establishment and rollout of the VendSmart licensing programme into New Zealand and Australia were incurred in the first half year and, significantly, VendSmart has recently confirmed its potential to both reduce company costs and to enhance revenue.” Dr. Janes added, “Fast Moving Consumer Goods signage revenue will strengthen in the second half year.”

“The Board has monitored conditions closely since September 11 and has balanced our growth plans against the risks and uncertainties,” he said. “We retain a strong interest in expanding our presence in the Australian market but in the near term will target the organic growth available to us there and the revenue enhancement the VendSmart programme provides.”

ENDS

About Vending Technologies Limited
Vending Technologies Limited supplies and operates electronically enhanced food and beverage vending machines throughout Australasia. Established in 1997, the company manufactures, sells, maintains and services vending machines and licenses branded electronic vending businesses under its VendSmart programme.

The company has developed a proprietary computerised management system to enable tracking of all transactions, with complete revenue accountability and the ability to monitor the performance of each machine from remote locations.

Vending Technologies’ independence means it has a network of long-term alliances with leading suppliers of major branded convenience food and beverages offering consumers an extensive choice of leading brand snacks, meal replacements and drinks.

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