Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Comvita Announces 2004 Profit

February 28, 2005

Comvita Announces 2004 Profit

NZAX-listed Comvita today announced after tax earnings of $1.26 million for the year to December 2004 and payment of a fully imputed dividend of 2.1 cents per share.

While this dividend is in line with projections included in the prospectus for the company's public offering in April last year, after tax profit is $0.32 million below the prospectus projection but ahead of the update provided to the market in November 2004.

Total revenue for the year was up 22% on last year to $27.6 million, and earnings before interest, tax, depreciation and amortisation was up 27% on last year to $3.64 million.

Comvita chairman Bill Bracks says while early sales of manuka honey impregnated wound dressings have been below expectations, the 2004 result was under-pinned by good growth in sales of consumer products.

"The medical industry is conservative and regulatory delays had meant sales of wound dressings were lower than projected. However, Comvita is now much closer to being able to profit from its manuka wound dressing technology," Bracks says.

"A pleasing aspect of the result is that underlying profitability grew faster than sales. Australia, Japan, Hong Kong and the UK markets experienced good growth and the ratio of export to local sales increased from 43% to 49% as a result.

"Comvita's strategy of having its own people in offshore markets rather than working through distributors is paying off. Japan hit profitability this year, Hong Kong hit new records and Australia traded strongly. The first Comvita store opened in Shenzhen, China in December and others will follow.

"Diversity in those markets provides a broad earning base and reduced reliance on the outbound tourism market which can be subject to unpredictable international events," Bracks says.

Sales from recent Bee and Herbal acquisition have contributed to growth in the first full year since it was acquired, with UK sales of Bee and Herbal products complementing an already solid market position.

ENDS


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Voluntary Administration: Renaissance Brewing Up For Sale

Renaissance Brewing, the first local company to raise capital through equity crowdfunding, is up for sale after cash flow woes and product management issues led to the appointment of voluntary administrators. More>>

Elsewhere:

Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>

ALSO:

Media Mega Merger: Full Steam Ahead For Appeal

New Zealand's two largest news publishers have confirmed they are committed to pursuing their appeal against the Commerce Commission's rejection of the proposal to merge their operations. More>>

Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>

ALSO:

Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>