F&P Appliances profit falls 24 per cent

Fisher & Paykel Appliances today reported a 24 per cent fall in half year net profit, on the back of the strong New Zealand dollar and rising raw material prices.

The company reported a net profit of $26.2 million for the six months ended September, down from $34.5 million for the same period the previous year.

The company declared a dividend of 9 cents per share (cps). Earnings per share were down 23.1 per cent to 10cps, from 13cps.

Despite the profit drop, total operating revenue was up 21.4 per cent on the year-earlier to $569.9 million, from $469.4 million.

Revenue was boosted by sales growth in the United States, with revenue in that market of $198 million, compared to $89.5 million for the previous September half year.

The whiteware manufacturer has seen rapid sales growth in North America since launching its brand six years ago.

It sells DishDrawer dishwashers, wall ovens, cooktops, SmartLoad clothes dryers, Smart Drive clothes washers and refrigerators.

It is building a new manufacturing site in the Clyde, Ohio to make it easier to supply the American market.

Shares in F&P Appliances were down 1c at $3.20 shortly after the result was released this morning, having ranged between $2.58 and $4.50 over the past year.

- NZPA