'Disappointing Year' Sees Warrambool Processor Profits Halve28 August 2013
AUSTRALIA – Profits of the Warrambool Cheese and Butter Factory have halved on the 2012 financial year figures in what has been a ‘difficult’ and ‘disappointing’ year.
The Victoria based processor confirmed a net after tax profit of AUS$7.5 million, 50.7 per cent down on 2012.
Milk intake was also down to 890 million litres, dropping 3.1 per cent from 919 million litres.
Company Chairman, Frank Davis blamed a persistently high Australian dollar, flat international prices and high raw milk costs although added that steps have been taken to maintain incomes and mitigate losses.
"A number of strategic steps have been taken to maintain long term revenue base and mitigate against ongoing deterioration in international commodity revenues.
"A late surge in international powder prices and the depreciation of the Australian dollar was insufficient to wholly compensate for the depressed trading conditions and outcomes that prevailed for the majority of the year".
Despite downturn, the company balance sheet remains ‘strong’, geared at 31.8 per cent.
TheCattleSite News Desk