F&P Appliances boosts full year profit 16 per cent

1.00pm

Fisher & Paykel Appliances today announced a net profit of $83.5 million for the year ended March, up 16 per cent on the previous year's $73.4 million.

A final full year dividend of 11.5 cents per share will be paid on June 14, up from the 10 cps paid the year earlier.

In March, the company upgraded its profit forecast to $80 million to 85 million, from the previously tipped $73.5 million.

Contributing to the company's rise in profit was last year's acquisition of Farmers Finance, as well as strong global sales.

F&P Appliances has moved to lessen its reliance on the Australasian market and has widened its global reach over the past year.

The company has formed new alliance with the US-based dishwasher manufacturer Whirlpool. It has exclusive rights to sell and distribute Whirlpool products in New Zealand and will manufacture double drawer dishwashers for sale in the United States under the Whirlpool brand.

The company also recently signed a new distribution deal for its products with the US retailer Lowes.

On the domestic front, retailer Harvey Norman decided not to renew an exclusive dealership agreement with F&P, saying their customers wanted more choices.

In February, the company offloaded it 19.3 per cent stake in sister company F&P Healthcare, saying it wanted to concentrate on its core appliances business. It sold its 19.8 million shares at $11.70/share.

F&P Appliances shares were down 2 cents at $4.65 at midday, having traded between $2.662 and $4.92 over the past 12 months.

- NZPA