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


Moa sees 1H growth rate tad ahead of prior year

Moa sees 1H growth rate tad ahead of prior year, upbeat on China

By Rebecca Howard

Sept. 28 (BusinessDesk) - Moa Group, the craft beer brewer, told shareholders at its annual general meeting that its growth rate is currently running slightly ahead on the year and it has growing optimism around China although its bottom line will be impacted by heavy investment.

"As we are almost six months into the new financial year – the FY18 year - this is an appropriate time to give an update on our growth. Consistent with previous statements our growth rate has continued at the same levels – actually at a rate a little more than FY17 year," said chief executive Geoff Ross in speech notes published on the stock exchange.

He noted, however, the company has invested heavily during winter in brand and new product development and set up costs in China "so there has been solid spend in the last six months, which will hit the bottom line," he said.

The company reported a loss of $1.2 million in the six months to Sept. 30 last year versus a loss of $1.7 million in the prior year.

Despite the investment, Moa is expecting cash flow positive months in summer and a "significantly improved annual result." The company narrowed its annual loss to $2.4 million in the year ended March 31.

Ross said the company still expects to move past break even in the 2019 financial year.

Regarding China, he said there were several reasons for growing optimism. Moa has recently added to its distribution network now having access to distribution in new provinces as well as a new supermarket chain. It has also hired its first staff member in China, a New Zealander who has lived in China for eight years, as craft beer becomes more popular.

"There is some nice momentum building and we hope to see China take a bigger part of the Moa business in the second half of this year," he said.

Moa shares last traded at 41 cents and is down 46 percent on the year.



© Scoop Media

Business Headlines | Sci-Tech Headlines


Government: Delivering Lower Card Fees To Business

Commerce and Consumer Affairs Minister David Clark has today announced the Government’s next steps to reduce merchant service fees, that banks charge businesses when customers use a credit or debit card to pay, which is estimated to save New Zealand businesses ... More>>

SEEK NZ Employment Report: April 2021

OVERVIEW OF APRIL 2021: STATE OF THE NATION: April, for the second consecutive month, saw the highest number of jobs ever advertised on Applications per job ad fell 9% month-on-month (m/m). SEEK job ads were up by 12% m/m. SEEK job ads were ... More>>

Commerce Commission: Warns Genesis Over Business Billing Errors

The Commerce Commission has issued a warning to Genesis Energy Limited about billing errors concerning electricity line charges to business customers. Genesis reported the errors to the Commission. The Commission considers that Genesis is likely to ... More>>

Stats: Lower Job Security Linked To Lower Life Satisfaction

People who feel their employment is insecure are more likely than other employed people to rate their overall life satisfaction poorly, Stats NZ said today. New survey data from the March 2021 quarter shows that 26 percent of employed people who thought ... More>>

The Conversation: The Outlook For Coral Reefs Remains Grim Unless We Cut Emissions Fast — New Research

A study of 183 coral reefs worldwide quantified the impacts of ocean warming and acidification on reef growth rates. Even under the lowest emissions scenarios, the future of reefs is not bright. More>>

The Conversation: Why Now Would Be A Good Time For The Reserve Bank Of New Zealand To Publish Stress Test Results For Individual Banks

Set against the backdrop of an economy healing from 2020’s annus horribilis , this week’s Financial Stability Report (FSR) from the Reserve Bank (RBNZ) was cautiously reassuring: the country’s financial system is sound, though vulnerabilities remain. More>>