Paengaroa-based Comvita New Zealand, the natural health products manufacturer and distributor, now expects to achieve a record profit in its present financial year.
Comvita has released a profit estimate, saying its sales and earnings in the first three months of the 2011/12 year are better than each of the previoustwo years for the same period.
Brett Hewlett, Comvita chief executive, said the second half of the financial year has historically been stronger, "and we expect this to be the case again."
Comvita is forecasting sales of between $91-95 million for the year ending March 2012, and net profit of $7.3-$8.2 million. This compares with $82 million sales and $3.6 million profit in the previous year.
For the first six months, the company is predicting net profit of $2.2 million on sales of $41 million, and this doesn't include the first US$1 million (royalty) payment from associate Derma Sciences for sales of the manuka honey woundcare dressings. The net profit for the previous first half was $400,000 on sales of $37 million.
Mr Hewlett said exports were now more than 80 per cent of total sales, and Comvita continued to increase gross margins despite a competitive environment in all markets and a strong NZ dollar.
Hong Kong and Australia, in particular, have exceeded sales expectations.
