Fonterra has warned the sort of bumpy financial report delivered for its third financial quarter will continue for a couple of years yet as it resets and simplifies its business strategy to shake off massive debt and quit assets that don't fit the new direction.

"We're on track to share our new strategy in September," said new chief executive Miles Hurrell, unveiling more bad news for the big farmer-owned cooperative along with actions aimed at turning it around.

"Farmers and unit holders can expect to see some fluctuation in our earnings over the next couple of years and there will