A2 MILK LAPS UP RECORD RESULT

Written on the 17 February 2016

A2 MILK LAPS UP RECORD RESULT THE A2 MILK Company is lapping up a record result today due to triple-digit growth in its infant formula product.

Its a2 Platinum infant formula saw a rise in revenue of 340 per cent on the prior corresponding period, revenues totalling $73.9 million for the half year to December.

This accounted for 53 per cent of total group turnover.

China and surrounding Asian business delivered positive operating earnings to the company for the first time, and on the Australian front, a2 Platinum was the fastest growing infant formula brand for the fourth quarter in a row.

Overall, the company took in a net profit after tax of $10.1 million, compared to $100,000 the prior corresponding period. Revenue was up 86 per cent on this period, totalling $139.1 million.

The a2 Milk Company managing director Geoffrey Babidge (pictured) says higher investment has paid off in all international markets. Despite pumping out capital for infant formula, the company held $36.4 million cash in hand at the end of the period. 

"The company's strategic agenda has been focused on growing and broadening the ANZ milk business and developing growth opportunities in select international markets," says Babidge.

"Following a period of development, a2 Platinum infant formula has become a significant contributor to growth and earnings in ANZ and China, which we see continuing.

"In addition, we see positive prospects for growth of a2 Milk whole milk powder, first launched late last financial year.

"We are pleased with the growing level of distribution for a2 Milk in the state of California and the repositioning of our brand in the UK during the period."

The a2 Milk Company's manufacturing partner in New Zealand, Synlait Milk Limited, is currently in the process of building milk supply due to experiencing a stock shortage in the first hour months of the last period.

While the regulatory environment for formula products in China is complex to navigate, The a2 Milk Company considers itself well placed to respond to any changes.



Latest News

CHARTER HALL SNAPS UP SALAMANDER BAY CENTRE FOR $174M

RETAIL investment trust Charter Hall (ASX: CQR) has purchased the regional Salamander Bay Centre in New South Wales f...

$12 MILLION OFFICE SALE UNDERPINS MILTON REVIVAL

ONE of Milton's well known office buildings has sold for $12.88 million, supporting the resurgence of the popular...

ONE OF AUSTRALIA'S 'DOPE HOPES' MOVES CLOSER TO IPO

QUEENSLAND Bauxite (ASX: QBL) is planning an independent ASX listing for its majority-owned cannabis producer, with Q...

AFTERPAY GOES TRANS-TASMAN WITH TRADE ME DEAL IN NEW ZEALAND

AFTERPAY Holdings Ltd (ASX: AFY) has entered into an agreement with New Zealand trading site Trade Me Group Ltd (A...

Related News

AFTERPAY GOES TRANS-TASMAN WITH TRADE ME DEAL IN NEW ZEALAND

AFTERPAY Holdings Ltd (ASX: AFY) has entered into an agreement with New Zealand trading site Trade Me Group Ltd (A...

STARTUP SUCCESS BOILS DOWN TO PERSONALITY, SAYS EXPERT

THOSE who own startups will know that there are many essential qualities of a good entrepreneur; their tenacity, fina...

SLATER AND GORDON TAKES SPOTLESS TO COURT

SPOTLESS Group (ASX: SPO) has been hit by a class action launched by Slater and Gordon (ASX: SGH) in the Federal C...

TOPSHOP GOES INTO ADMINISTRATION AMID VOLATILE RETAIL MARKET

TOPSHOP has become the latest in a string of retailers blasted by the volatile retail market, as the iconic fashio...

BOOK YOUR FUNCTION SPACE HERE

 

 

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter