Fonterra
(ASX:FSF) has released its first half interim results, and reported that its net profit rose 2% to $418 million.
However, the dairy co-operative has revised down its earnings per share forecast due to increased market volatility. In February, its EPS forecast was between 50 and 60c – now it’s between 45 and 55c.
In 1H17, Fonterra’s normalised earnings before interest and tax (EBIT) fell 9% to $607 million. It also declared an interim dividend of 20 cps, which is the same last year’s result.
Fonterra also says it remains confident in its forecast Farmgate Milk Price of $6 per kilogram of milk solids for this season – but advises its farmers to “budget cautiously”.
Yesterday, Fonterra shares closed 0.53% higher at $5.69.
