Fisher & Paykel Healthcare, which makes respirators and sleep apnea treatment products, reported a 1 per cent decline in first-half earnings, excluding a year-earlier tax charge, as gains in US dollar sales were eroded by the strong New Zealand dollar.
Profit excluding the 2010 tax expense was $28.3 million in the six months ended September 30, from $28.6 million a year earlier, the Auckland-based company said in a statement. Sales rose 3 per cent to a record $252 million.
F&P Healthcare gets about 53 per cent of its operating revenue in US dollars and even with currency hedging in place, it had to grapple with a kiwi dollar that reached a post-float high above 88 US cents in the latest half.
In US dollar terms, profit before the year-earlier tax expense climbed 14 per cent to US$23 million as sales rose 18 percent to US$205.7 million.
"Currency exchange rates continued to be very volatile," the company said.