Provenco Increases Profit Projection
30 March 2005
PROVENCO INCREASES PROFIT PROJECTION
Provenco Group Limited (NZX:PVO) has significantly increased its profit projection for the current financial year.
The Chairman of Provenco Group Limited (NZX:PVO) David Wolfenden today announced that the directors are currently projecting that Provenco will have an operating profit after goodwill amortisation, and before unusual items and taxation, in the region of $7.2 million for the financial year ending 30 June 2005.
This compares to a profit projection advised to the market on 26 January 2005 of an operating profit in excess of $6 million for the same period.
Mr Wolfenden said the latest profit projection incorporates the results for the last five months of the 2005 financial year relating to the recently acquired businesses of Vantex Pty Limited, a company based in Melbourne, and Vantex Wholesale Distributors (NZ) Limited, a Christchurch-based company.
“This represents 40% growth in operating profit on the previous year. The directors have reviewed the projections for all other operating businesses within the group and are pleased to report that all are experiencing continuing growth in profitability. This is a reflection of the strong market positioning of all businesses within the group,” said Mr Wolfenden.
The directors have already advised that they intend to pay a fully imputed dividend of 3 cents per share following the end of the 30 June 2005 financial year. The proposed dividend will be tax paid in the hands of New Zealand shareholders, utilising accumulated imputation credits.
Provenco will provide further market updates on its outlook as any developments occur.
About Provenco Group:
Provenco is a broad-based supplier of business technologies.The group provides tailored solutions to a wide range of business environments using a combination of internally developed software and hardware, and best-of-breed international products with customers in more than 20 countries. The company reported half year revenues of NZ$ 54 million and an operating profit just over NZ$ 4 million for the six month period ended 31 December 2004. For further information visit www.provenco.com