F&P shares up despite profit fall

Fisher and Paykel Healthcare shares have rallied sharply despite the company reporting a 57 per cent fall in first-half net profit to $95.9 million.

The fall in earnings reflected sales returning to more normal levels after a Covid-driven rush.

The bottom line figure was slightly above the top end of company guidance, issued in August, of $95m.

The respiratory products maker said its revenue for the six months to September fell by 23 per cent to $690.6m but was above the $670m figure guided by the company.

F&P Healthcare — New Zealand’s biggest company by market capitalisation — raised its interim dividend by half a cent to 17.5 cents a share.

The sharemarket’s response to the result was positive, with the company’s share price gaining $2.51 or 12 per cent to $23.22 by midafternoon yesterday.

The company did not give a fullyear forecast for revenue or earnings because of the high number of uncertainties.

Managing director and chief executive Lewis Gradon said the result was consistent with what was signalled in August.

“Compared to pre-pandemic levels, this represents solid growth.”