Adairs surges on sales lift
SHARES in Adairs have soared to a five- month high after the manchester and homewares retailer’s sales rebounded to hit the top end of its forecast. Adairs says adjusted sales were higher than expected in the second half of the financial year at $ 140.4 million, up 8 per cent on the same period in the previous year. As a result, the company now expects revenue to hit $ 264.9 million for the 12 months to June 30, at the upper end of its guidance. Chief executive Mark Ronan said it was a pleasing result in a subdued environment but the company should not be complacent. “While we are pleased to see sales in the bed linen category improve, we continued to see higher than usual sales variability,” he said in a statement. WATTLE Health Australia shares have soared after the infant formula supplier acquired a stake in Australian infant formula maker Blend & Pack, helping to secure its business in China. Shares in Wattle Health gained 10.5c, or 22.1 per cent, to 58c, almost triple their original price of 20c when the company listed in March. Wattle Health has paid $ 5 million for a 5 per cent stake in Blend & Pack, one of eight infant formula manufacturing plants in Australia licensed by Chinese authorities to produce infant formula for China’s market. The company will nominate the Wattle Health Infant Formula for accreditation with the China Food and Drug Authority under new regulatory requirements from January 2018. That would allow Wattle to continue to supply China with its formula.