Fonterra said its earnings for the 2013 financial year ending on July 31 would be slightly short of the forecast outlined in the prospectus for the Fonterra Shareholders Fund, which was launched last year.
The cooperative said the combined impact of the drought and the reshaping of its Australian business meant its forecast for normalised earnings before interest and tax was likely to be around $1 billion - just below the prospectus forecast of $1.079 billion.
Fonterra confirmed that the 2013 forecast cash payout to farmer shareholders of $6.12 would remain unchanged. The current earnings per share guidance range of 45-50 cents per share had been reconfirmed, although it was now likely to be at the lower end of the range, it said.
The prospective annual dividend per share of 32 cents remained the same.
Chief executive Theo Spierings said the impact on earnings before interest and tax of volatility caused by the drought and "reshaping" of Fonterra's Australian business had affected earnings.