Baycorp reaffirms EBIT outlook

SYDNEY - Baycorp Advantage Ltd says trading in the first quarter was in line with expectations and has reaffirmed guidance of achieving A$53 million ($61.7 million) to A$58 million in earnings before interest and tax for 2006/07.

Chief executive officer Andrew Want said Baycorp was confident of achieving the forecast by the end of the year.

"Trading in Q1 has largely been in line with expectations," said Mr Want.

"Based on trading to date at this stage we are able to reaffirm EBIT guidance of A$53 million-A$58 million for the 06/07 financial year."

Last year EBIT (earnings before interest and tax) was A$58.6m.

Mr Want said there was a continuing slow down in the rate of growth of consumer credit but that was being partly offset in Australian growth in business credit.

Mr Want said the New Zealand economy is presenting a particular challenge.

"Business credit growth is not having the same offsetting growth as we are seeing in Australia.

Shareholders also approved a change in the company's name to Veda Advantage.

The name change is forecast to cost the company slightly more than A$1 million.

- AAP