Pod shares tumble on forecast cut

Pod's share price took a battering yesterday as the textile company joined the list of corporates to cut their profit forecasts.

The stock shed 17c as the company lowered its full-year net profit forecast $800,000 to between $3.2 million and $3.6 million.

The company blames softer mid-year sales of its apparel and homeware in New Zealand, particularly among discount retailers.

Its last profit indication in February was for a full-year result in line with last year's record result of $4 million.

Shares closed down 17c at $1.02 yesterday, their lowest price in a year, with the stock trading as high as $1.77 during the period.

Pod is a group of fashion and homeware companies, including Michele Ann, Designer Textiles International and Mollers Homewares.

It rebranded from Designer Textiles in September, marking the shift away from its textile manufacturing roots towards a broader fashion role, including design and manufacturing.

Managing director Mark Bilton said sales for May and June - traditionally strong months for the company - had come in lower than expected.

Although exports were up, this had not been enough to offset the slowdown.