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

 


Kathmandu shares jump to 5-week high on upbeat outlook

Kathmandu shares jump to 5-week high on upbeat outlook for strong performance in full year

By Tina Morrison

May 7 (BusinessDesk) – Shares in Kathmandu Holdings jumped to a five-week high, making it the best performing stock on New Zealand’s benchmark NZX 50 Index, after the outdoor apparel retailer delivered an upbeat presentation about its outlook.

Kathmandu rose 6 percent to $3.90 and has gained 38 percent in the past 12 months. Third quarter sales rose 3.6 percent to $93 million as the retailer benefited from strong Easter sales, the company said in presentation notes for the Macquarie Australian Connections conference. Excluding changes in the exchange rate, sales rose 12.9 percent while the gross margin was in line with the prior year, the Christchurch-based company said.

Kathmandu, which sells outdoor clothing and equipment, said it remains confident of “a strong performance” for the full year, citing analyst expectations for a 3.8 percent rise in net profit to $45.9 million and a 5.5 percent increase in sales to $405 million.

The company revised up its store target for Australia and New Zealand to 180 from a previous aim of 170 based on the success of its new format, and said it is on track to open 15 new stores in the current financial year through July.

The winter sales period through June and July is Kathmandu’s largest annual promotional event and the company indicated the weather around this period was the key variable to its success. Easter sales benefited from late Easter holiday timing this year and a change to cooler weather in Australia and New Zealand, it said.

The stock is rated an average ‘buy’ according to analysts polled by Reuters.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: NZ Dollar Catches Breath After "Goldilocks" Slump

The New Zealand dollar edged up following its dramatic slump yesterday after the Reserve Bank confirmed speculation it intervened in the currency market last month and PM John Key suggested a “Goldilocks” level far lower than at present. More>>

ALSO:

Biosecurity: Kiwifruit Claim To Hold Officials Accountable For Psa

Kiwifruit growers have joined forces to hold Biosecurity NZ accountable in the courts for its negligence in allowing 2010’s Psa outbreak that devastated New Zealand’s kiwifruit industry and exports. Foundation claimants representing well ... More>>

ALSO:

Poison: Anglers Advised Not To Eat Trout In 1080 Areas

With the fishing season opening in just a few days (1 October 2014), anglers are being warned by the Department of Conservation(DOC) not to eat trout from pristine backcountry waters and their downstream catchments, where the department is conducting 1080 poisoning operations. More>>.

ALSO:

Quotas: MPI Swoop On Suspected Fraudulent Fishing Activity

Ministry for Primary Industries (MPI) compliance officers swooped on a Hawkes Bay fishing enterprise today to secure evidence in an investigation into suspected fraudulent activity... “The investigation involves activity throughout the commercial supply chain – catching, landing, processing and exporting.” More>>

ALSO:

Scoop Business: Fonterra Slashes 2015 Milk Payout, Earnings Tumble 76%

Fonterra Cooperative Group cut its forecast 2015 milk price payout by about 12 percent, citing weaker global dairy prices and said there is a risk of further declines given strong global milk production. More>>

ALSO:

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news