The Country
  • The Country home
  • Latest news
  • Audio & podcasts
  • Opinion
  • Dairy farming
  • Sheep & beef farming
  • Rural business
  • Rural technology
  • Rural life
  • Listen on iHeart radio

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • Coast & Country News
  • Opinion
  • Dairy farming
  • Sheep & beef farming
  • Horticulture
  • Animal health
  • Rural business
  • Rural technology
  • Rural life

Media

  • Podcasts
  • Video

Weather

  • Kaitaia
  • Whāngarei
  • Dargaville
  • Auckland
  • Thames
  • Tauranga
  • Hamilton
  • Whakatāne
  • Rotorua
  • Tokoroa
  • Te Kuiti
  • Taumurunui
  • Taupō
  • Gisborne
  • New Plymouth
  • Napier
  • Hastings
  • Dannevirke
  • Whanganui
  • Palmerston North
  • Levin
  • Paraparaumu
  • Masterton
  • Wellington
  • Motueka
  • Nelson
  • Blenheim
  • Westport
  • Reefton
  • Kaikōura
  • Greymouth
  • Hokitika
  • Christchurch
  • Ashburton
  • Timaru
  • Wānaka
  • Oamaru
  • Queenstown
  • Dunedin
  • Gore
  • Invercargill

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / The Country

Comvita's share price surges after reporting near 200% turnaround in profit

By Graham Skellern
NZ Herald·
25 Aug, 2021 10:49 PM3 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

    Reminder, this is a Premium article and requires a subscription to read.

Comvita posted a net profit of $9.47m compared with a loss of $9.7m in 2020, for the year ending June. Photo / NZME

Comvita posted a net profit of $9.47m compared with a loss of $9.7m in 2020, for the year ending June. Photo / NZME

Global manuka honey supplier Comvita is resuming its dividend payment after posting a near 200 per cent turnaround to make a net profit of nearly $10 million for the 2021 financial year.

The Bay of Plenty exporter, based at Paengaroa, has completed an 18-month transformation programme and is producing sales growth, particularly in its main markets of China and North America.

Comvita chief executive David Banfield said the results show "we have come a long way to stabilise performance. Not only have we returned to profitability, we have also significantly simplified the business to set up Comvita for long-term profitable growth".

The transformation programme delivered $12.1m in improvements, and the annual result was in line with market expectation.

Advertisement
Advertise with NZME.

Comvita's share price surged 28c or 8.19 per cent to $3.70 in early trading on the NZX market.

For the year ending June, Comvita struck a net profit of $9.47m compared with a loss of $9.7m in 2020 – a turnaround of 197.7 per cent. Its revenue was slightly down by 2.1 per cent to $191.73m.

Operating earnings (ebitda) soared $21.3m or 511 per cent to $25.5m, and Comvita is paying a final dividend of 4c a share on October 7 – representing 30 per cent of the net profit.

Comvita has set an ebitda guidance of $27m-$30m for the 2022 financial year, with digital sales increasing from 34 per cent to 38 per cent of total revenue. It will also further reduce its inventory from $100m to $90m.

Advertisement
Advertise with NZME.

Greater China is by far Comvita's biggest market for manuka honey, propolis and other bee products. Sales there increased 7 per cent to $93.1m compared with $86.9m in 2020.

In North America, sales rose 12 per from $22.1m to $24.7m; and in Korea, Japan and Southeast Asia sales were up 23 per cent from $20.5m to $25.3m. The revenue from Australia and New Zealand slipped 27 per cent from $44m to $32.4m.

Comvita chief executive David Banfield. Photo / Matt Crawford
Comvita chief executive David Banfield. Photo / Matt Crawford

Australia and New Zealand revenue increased 17 per cent in the fourth quarter compared with the previous corresponding period and 33 per cent compared with the third quarter.

Banfield said Comvita was encouraged by its performance in the focus growth markets of China, the world's biggest honey market, and North America.

"In local currency, China sales increased by 31 per cent, with strong performance delivered across all channels. Comvita remains the clear brand and market leader in China, and is the fastest growing Manuka honey brand in North America."

Marketing investment increased by 139 per cent in China and more than 80 per cent in North America.

Comvita's total harvest for the 2021 financial year fell from 700 tonnes to 370 tonnes, caused by unsettled weather.

Banfield said despite the harvest being below average, the quality and control of costs meant that the harvest delivered a small contribution to group profits. There was good availability for the 2022 financial year.

Advertisement
Advertise with NZME.
Save

    Share this article

    Reminder, this is a Premium article and requires a subscription to read.

Latest from The Country

The Country

NZ shearers take the UK by storm on tour

10 Jul 03:27 AM
The Country

Tasman farm 'looks more like a riverbed' after flooding

10 Jul 03:00 AM
The Country

The Country: Dr Jacqueline Rowarth sings the praises of young farmers

10 Jul 02:00 AM

From early mornings to easy living

sponsored
Advertisement
Advertise with NZME.

Latest from The Country

NZ shearers take the UK by storm on tour

NZ shearers take the UK by storm on tour

10 Jul 03:27 AM

Toa Henderson and Jack Fagan beat England by 4.3 points at the Great Yorkshire Show.

Tasman farm 'looks more like a riverbed' after flooding

Tasman farm 'looks more like a riverbed' after flooding

10 Jul 03:00 AM
The Country: Dr Jacqueline Rowarth sings the praises of young farmers

The Country: Dr Jacqueline Rowarth sings the praises of young farmers

10 Jul 02:00 AM
Australian regulator clears Lactalis' proposed acquisition of Fonterra businesses

Australian regulator clears Lactalis' proposed acquisition of Fonterra businesses

10 Jul 12:48 AM
Solar bat monitors uncover secrets of Auckland’s night sky
sponsored

Solar bat monitors uncover secrets of Auckland’s night sky

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • NZ Herald e-editions
  • Daily puzzles & quizzes
  • Manage your digital subscription
  • Manage your print subscription
  • Subscribe to the NZ Herald newspaper
  • Subscribe to Herald Premium
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven Car Guide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP