Provided by NZX
  • FPH6.28

    $0.020.32%

  • Open 6.26 High 6.29 Low 6.21 Bid Price 6.21

    Offer Price 6.28 Value 9610066.11 Volume 1530853

Current as of 19/12/14 07:40PM NZST

Christopher Adams

The Business Herald’s markets and banking reporter.

Fisher & Paykel Healthcare alters forecast on firm dollar

File photo / Dean Purcell
File photo / Dean Purcell

Medical device manufacturer and exporter Fisher & Paykel Healthcare has altered its profit guidance in response to a strengthening New Zealand dollar.

At its annual shareholders meeting yesterday, chief executive Mike Daniell said the full-year net profit guidance of $62 million to $70 million provided in May was based on the kiwi trading at US75c to US80c against the greenback, which as a result of improved trading conditions would now equate to a net profit of $67 million to $72 million.

A firming New Zealand dollar had the company increase its assumed exchange rate range to between US78c and US82c.

Based on the new rate and improved trading conditions, Daniell said full-year net profit was expected to be in the range of $65 million to $69 million on revenue of between $540 million and $550 million.

At current exchange rates, first-half revenue was expected to be about $265 million, with net profit of $31 million.

"That would represent about 10 per cent net profit growth or about 25 per cent in constant currency terms, driven by a combination of revenue growth and improving gross margins," Daniell said.

The New Zealand dollar was trading at US80.84c against the greenback yesterday afternoon.

F&P Healthcare shares closed up 8c yesterday at $2.04.

This story has been changed from an earlier version that said F&P Healthcare had provided full-year net profit guidance of $67 million to $72 million in May.

- NZ Herald

© Copyright 2014, APN New Zealand Limited

Assembled by: (static) on production apcf04 at 21 Dec 2014 12:29:42 Processing Time: 337ms