Reuters logo
NZ's Fonterra H1 earnings fall 41 pct
March 25, 2014 / 7:46 PM / in 4 years

NZ's Fonterra H1 earnings fall 41 pct

WELLINGTON, March 26 (Reuters) - New Zealand’s Fonterra reported a 41 percent fall in first-half earnings on Wednesday as the company’s margins were hit by higher costs, too much milk, and a lack of capacity to process higher-yielding products.

The co-operative, which controls about a third of global dairy exports, said normalised earnings before interest and taxes (EBIT) fell to NZ$403 million ($344.81 million) for the six months to Jan. 31, compared with NZ$693 million a year ago.

It said net profit after tax fell 53 percent to NZ$217 million.

The company cut its interim dividend to 5 NZ cents per share compared with 16 cents last year, and reaffirmed it forecast to pay a full-year dividend of 10 cents per share.

In December, Fonterra warned that it expected full-year earnings to fall to around NZ$500 million-NZ$600 million from last year’s NZ$1 billion. ($1 = 1.1688 New Zealand Dollars) (Reporting by Naomi Tajitsu)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below