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

 


Cottonsoft makes small profit in 2013 after FX loss

Cottonsoft makes small profit in 2013 after FX loss

By Pam Graham

July 10 (BusinessDesk) – Cottonsoft, the maker of Tuffy paper towels and Kiwisoft toilet tissue, made a small profit in 2013 after booking a sizeable foreign exchange loss.

The company which imports paper and manufactures it into a range of consumer products reported a profit of $57,000 in the year to Dec. 31, 2013 compared to a loss of $1.05 million in 2012. Revenue rose to $82.2 million from $77.2 million a year earlier.

The notes to the accounts show a $1.23 million net foreign exchange loss in 2013 compared to a $1.11 million net foreign exchange gain in 2012.

The New Zealand dollar is near a post-float record, which makes imports cheaper. But all year it has been expected to come under pressure from a resurgent US dollar and importers likely took up positions for that prospect.

The NZ dollar was recently at 88.17 cents on Thursday.

Bank of New Zealand has upgraded its forecasts for the currency, saying it will still be 84 US cents by the end of September, up from a previous forecast of 81 cents. It will be 80 cents by the end of the year from the previous forecast 79 cents.

The accounts show Cottonsoft’s finance income was down to $62,000 from $1.1 million last year. No dividend was paid in 2013 or in 2012.

Cottonsoft, which also has the Paseo brand, received a capital injection from its foreign owner Asia Pulp and Paper after breaching its bank covenants in 2011.

The company was in the news in 2004 when Carter Holt Harvey alleged it breached the Fair Trading Act by selling toilet paper made from imported paper as New Zealand-made. Carter Holt owned a rival tissue company at the time which it subsequently sold to Sweden’s SCA.

Financial statements recently filed by rival SCA’s New Zealand unit, PEPSCANZ Ltd, show the maker of Sorbent and Purex toilet paper, Treasures nappies and Libra tampons reported profit of $27.5 million in calendar 2013, as revenue fell 3.1 percent to $247.6 million.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Sky City : Auckland Convention Centre Cost Jumps By A Fifth

SkyCity Entertainment Group, the casino and hotel operator, is in talks with the government on how to fund the increased cost of as much as $130 million to build an international convention centre in downtown Auckland, with further gambling concessions ruled out. The Auckland-based company has increased its estimate to build the centre to between $470 million and $530 million as the construction boom across the country drives up building costs and design changes add to the bill.
More>>

ALSO:

RMTU: Mediation Between Lyttelton Port And Union Fails

The Rail and Maritime Union (RMTU) has opted to continue its overtime ban indefinitely after mediation with the Lyttelton Port of Christchurch (LPC) failed to progress collective bargaining. More>>

Earlier:

Science Policy: Callaghan, NSC Funding Knocked In Submissions

Callaghan Innovation, which was last year allocated a budget of $566 million over four years to dish out research and development grants, and the National Science Challenges attracted criticism in submissions on the government’s draft national statement of science investment, with science funding largely seen as too fragmented. More>>

ALSO:

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

More:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news