A2 Corporation Limited (“a2C”) (NZAX:ATM) has today announced an unaudited Group post-tax loss of $717,172 for the six (6) months ended 31 December 2009. This compared to a loss of $1,992,000 for the six (6) months ended 30 September 2008.
The unaudited Group post-tax loss is made up of the following:
a2C operational loss of $566,476 versus a budgeted loss of $691,000, and a comparable first half loss in the prior year of $1,898,920
Foreign exchange loss (realised and unrealised) of $156,241
$73,826 non cash cost related to the share based incentive schemes for a2C’s CEO & executive directors
A New Zealand Trade and Enterprise (NZTE) grant received for business development of $79,371
Over the last six (6) months the Company has made marked improvements, both from an operational and financial perspective. The most significant changes include:
The commencement of new CEO Scott Pannell in August 2009, bringing to a2C Scott’s wealth of knowledge and experience with successful specialised dairy and FMCG businesses.
The repositioning of the Company, both internally and externally; as a highly differentiated, premium, branded, fast moving consumer goods & ingredients business. This position is in contrast to the long held view that a2C was an IP company – it is not. It is a branded company; where the brand is supported by a strong, unique and valuable suite of intellectual property.
A deeper focus on the underlying cost structure of the business that has seen overheads further reduced.
The development of a strategic business plan that has the Company well positioned for geographical expansion and financial growth.
The joint venture, A2 Dairy Products Australia Pty Limited (A2DPA) continues to grow fresh milk sales in line with expectations. a2 fresh milk is now available in all Australian states after the recent launch into Tasmania. There has also been a positive response to targeted advertising campaigns.
|Sales Volume (million litres)
|EBIT (AUD million)
For more information please contact:
Scott Pannell, CEO, A2 Corporation, Ph +64 21 456 745 or +61 417 523 441