Home
Global Supplier Directory
APPLIANCE Engineer
Supplier Solutions
APPLIANCE Line
Whitepaper Library
Calendar of Events
Association Locator
Contents Pages
Market Research
Subscription Center


 
Daily News

Fisher & Paykel Appliances Profit Drops as Steel Prices Gain
May 19, 2005
 Printable format
 Email this Article
 Search

Fisher & Paykel Appliances Holdings Ltd., New Zealand's biggest home appliance maker, reported a 32-percent decrease in second-half profit.

Net income in the 6 months ended March 31, 2005 fell to NZ $34.1 million (approx. U.S. $24.3 million), from NZ $50.4 million (approx. U.S. $35.8 million) a year earlier. Analysts surveyed by Bloomberg News were expecting profit of NZ $31.2 million (approx. U.S. $22.2 million).

Fisher & Paykel forecast profit for the current year will be "similar" to last year as rising raw material costs and a high local currency crimp earnings. Rivalry from lower-cost Asian producers such as LG Electronics Inc., Samsung Electronics Co., and Haier Group has thwarted Fisher & Paykel from raising prices in Australia and New Zealand, where it makes 67 percent of appliance sales.

"Price increases for raw materials such as steel and plastics, which were apparent in the first half of the year, intensified during the second half," the company said in a statement to the New Zealand stock exchange. "Intense competition, especially in New Zealand and Australia, will limit the opportunities for further general price increases."

The appliance maker's second-half sales rose 12 percent to NZ $570 million (approx. U.S. $405.6 million).

For the group, full-year net income fell to NZ $68.6 million (approx. U.S. $48.9 million) in the 12 months ended March 31, from NZ $85.3 million (approx. U.S. $60.7 million) a year earlier. Sales rose 11 percent to NZ $1.04 billion (approx. U.S. $740.1 million). Full-year profit beat the company's Feb. 2 forecast of NZ $63 million (approx. U.S. $44.8 million) by reaching NZ $68 million (approx. U.S. $48.4 million).

In the full-year, earnings before interest and tax at the company's appliance unit, which generates 72 percent of profit, fell 24 percent to NZ $77.2 million (approx. U.S. $54.9 million). Appliance revenue rose 7.2 percent to NZ $914 million (approx. U.S. $650.3 million).

The appliance unit's margin before interest and tax fell to 7.4 percent in the second half, from 9.6 percent in the first half, reflecting increased raw material costs, a higher New Zealand dollar and a slowdown in production because of the slower New Zealand and Australian economies, the company said. (Bloomberg)

Back to Daily News

 

Daily News

...........................................................

Apr 22, 2014: Final Rule Establishes Refrigerator Testing

Apr 22, 2014: A Third of Homes Worldwide Could Have Networks by 2018

Apr 22, 2014: Appliance Category Industrial Output Up 2% in March

Apr 21, 2014: Final Commercial Refrigeration Rule Published

Apr 21, 2014: Elam Offers Android-Enabled Kitchen Interface

More Daily News>>

RSS Feeds
.........................................................
Appliance Industry
Market Research

...........................................................

March 2014: Market Research - 62nd Annual U.S. Appliance Industry Forecast
February 2014: Appliance Magazine Market Insight: December 2013
January 2014: Market Research - Appliance Historical Statistical Review: 1954-2012
January 2014: Appliance Magazine Market Insight: November 2013




 
Contact Us | About Us | Subscriptions | Advertising | Home
UBM Canon © 2014  

Please visit these other UBM Canon sites

UBM Canon Corporate | Design News | Test & Measurement World | Packaging Digest | EDN | Qmed | Pharmalive | Plastics Today | Powder Bulk Solids | Canon Trade Shows