Blackmores (ASX:BKL) downgrades full-year profit expectations

Company News

by Rachael Jones

Health supplement company Blackmores (ASX:BKL) today released an update on the first-half financial results showing underlying NPAT of $18 million compared to $34.3 million a year ago.

Full-year NPAT expected to be in the range of $17 million to $21 million including impacts of Coronavirus.

The Group’s transition to manufacturing has put pressure on the second-half result.

Costs associated with rollout of new product labels have been adversely impacted by Coronavirus disruptions.

They are anticipating at least 2-3 months of China sales and supply challenges due to the virus.

In light of the significant deterioration in the outlook for the second-half, the Board has made a decision not to pay an interim dividend to conserve cash for operations.

Shares in Blackmores (ASX:BKL) are trading 20.4 per cent lower at $71.20.