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

 

NASA: Seven Earth-Size Planets Around A Single Star

NASA's Spitzer Space Telescope has revealed the first known system of seven Earth-size planets around a single star. Three of these planets are firmly located in the habitable zone, the area around the parent star where a rocky planet is most likely to have liquid water. More>>

ALSO:

Auckland Transport Case: Men Guilty Of Corruption And Bribery Will Spend Time In Jail

Two men who were found guilty of corruption and bribery in a Serious Fraud Office (SFO) trial have been sentenced in the Auckland High Court today... The pair are guilty of corruption and bribery offences relating to more than $1 million of bribes which took place between 2005 and 2013 at Rodney District Council and Auckland Transport. More>>

ALSO:

Hager Raid: Westpac Wrong To Release Bank Records To Police

The Privacy Commissioner has censured Westpac Banking Corp for releasing without a court order more than 10 months of bank records belonging to the political activist and journalist Nicky Hager during a police investigation into leaked information published in Hager's 2014 pre-election book, 'Dirty Politics'. More>>

ALSO:

EARLIER:

Crown Accounts: Government Ekes Out Six-Month Surplus Of $9M

The New Zealand government eked out a tiny surplus in the first six months of the fiscal year as growth in domestic consumption lifted the goods and services tax take, while uncertainties over the Kaikoura earthquake costs meant expenses were less than expected. More>>

ALSO:

Almost 400 Jobs: Shock At Cadbury's Dunedin Factory Closure

Workers at Cadbury in Dunedin are reeling after learning this morning that the iconic Cadbury factory is to close, with the loss of almost 400 jobs... “The company had reported it was doing well and this has come out of the blue,” says Chas. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news