Analysis - Fisher & Paykel Healthcare: FY Profit to 31/03/09

Lets take a quick look at today's profit announcement for Fisher & Paykel Healthcare Ltd [FPH.NZ]

Key Points:

1. Real revenue growth up by 10% to US$299.3 million.

2. Profit up over 70% and revenue up 28% is an excellent result- In New Zealand dollar terms.

3. A big contribution from a favourable exchange rate.

4. Nice contribution from the sleep apnea products.

5. Steady DIV of 7 cents - a DIV re-investment plan to be initiated.

6. Outlook positive for 2009-2010.

The stockmarket has reacted negatively to this result, marking shares down 20c at time of writing because profit guidance by management for the next year is lower than expected by analysts.

On first glance this might frighten the unwary FPH shareholder but if you have been watching the US/NZ dollar exchange rate you will know that this had favoured the company in a major way over the last year and as revenue is reported in kiwi dollars this has had the effect of boosting revenue higher than real revenue growth from increased sales.

This favourable boost to company revenue through exchange rate crosses is not going to continue over the coming year and may in fact negatively impact the bottom line, as it has done in the past.

These facts are already known by the market and there should be no surprise to anyone about the exchange rate factor and its effect on company profit. Shareholders shouldn't expect the same "windfall" profits next year.

All I can say is the analysts put the anal in their name -try looking outside the office next time you quote forward profit projections.

Of course the material sales revenue figures are the all important ones and must be the main stress in this profit report and that has increased 10% to US$299.3 million-mostly on the back of their sleep sector products.

Shareholders should take note that the company is still growing, and your focus needs to be on the bottom line health of the business and not on exchange rate fluctuations which will occur regardless of what the company does.

The company like the name, is in good health.

You can find the full Fisher & Paykel Healthcare FY 2009 profit announcement here .

Disclosure I own FPH shares in the Share Investor Portfolio


Fisher & Paykel Healthcare @ Share Investor

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The Business of Healthcare Innovation
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c Share Investor 2009

Stock of the Week: Fisher & Paykel Appliances Ltd

This is the beginning of a new a column. A regular outing, I will pick one stock that may have been in the news - good or bad-or one that simply takes my fancy and recommend that investors might like to take another look at it to see if it fits their investment profile.




The inaugural Stock of the Week pick is Fisher & Paykel Appliances [FPA.NZ]. Long given a good stiff verbal beating by my good self over many years the main reason why I am picking this stock for closer scrutiny is the ability for you short term investors out there for you to make a quick buck rather than the slow and sometimes painful ones that I make.

Yes, yes, yes you could have bought at NZ 37c a few weeks back but the company's future survival wasn't clear at that point.

The stock closed at 66c on Friday and is on a trading halt until this Wednesday 27 May.

It seems there is to be some material news out this Wednesday in regard to the success or otherwise of its capital raising process.

It seems likely that the news is going be that some kind of finance has been found to keep the company going, at least for the short to medium term, with a 200 million rights issue mooted by BusinessDay over the weekend, the main reason given by FPA management for putting a trading halt on today.

There is some life left in this beast yet, how much we cannot be too sure, but there is short to medium term money to be made if one gets in early on positive news after trading is lifted on Wednesday. The short-term money to be made will be on buying quickly on Wednesday and flicking shares off to those who want to participate in the rumoured capital raising (it could actually be a cornerstone shareholder instead of or as well as) or buying quickly and holding medium to longer term hoping that the company can trade its way out of its current financial, revenue and profit troubles.

It is worth a look at and I will be taking a cursory glance at it on the big day to see if I can gain any benefit from it, as I am not against a short term punt myself.

Good luck.


Stock of the Week Series

Reprise 2 : Contact Energy Ltd
Reprise: Contact Energy Ltd
Restaurant Brands
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Fisher & Paykel Healthcare
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Fisher & Paykel Appliances


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c Share Investor 2009

Auckland Protest Supports Racism and cost Citizens Millions

So a few hundred braindead losers who think there should be Maaoori representation on the new Auckland City Council without them being democratically voted in stopped Auckland traffic this morning costing those that work for a living 10s of millions of dollars in lost income.

Did they ever think about what they were protesting for?

Well, plain and simple they were protesting to support apartheid. Yep, these morons were holding up you and me to support racism.

Ironically a large percentage of those protesting today were also protesting against apartheid in South Africa during the 1981 Springbok tour.

The Willie Jacksons, John Tamaheres and Haraweras of this world protested against the evil of South African apartheid in the 1980s but these racists are back in 2009 proposing the very same thing for Auckland.

Its evil, nasty, venal, lazy thinking and it has no place in a modern progressive society. 

We should all be ashamed of them and some of us really need to grow up, shun tribalism and embrace freedom, capitalism and democracy.

c Political Animal 2009

Excellent fillets, tasty breasts

I was interested about the big fuss made about the advert for the Huntsman Steakhouse in Dunedin that was banned after a complaint to the Advertising Standards Assoc over its use of a pretty lady holding two of the companies assets over two of hers to advertise their meat. The use of the buxom lass is supposed to be sexist and degrading to Women-ahh give me more you say!

I found a picture of it at a blog full of morons called appropriately enough the "Hand Mirror" where it criticises the splendid advert. According to these shitheads it is sexist according to a knuckle-dragger called Anna but they post it on the net where it will be there forever!

The lady in question in the advert, and clearly she is a lady, did the said spread of her own volition and from her own teeny tiny mind (go girl!) . She works there and will benefit from the extra income that the ad would surely have provided for the Huntsman Steakhouse in Dunedin.

The retards at the Hand Mirror are supposed Wimins libbers that are there to spread equal rights for (ugly) wimin but attempts by dingbats like these to stop personal freedoms of lovely ladies such as the restaurant manger expressing her own freedom and attempting to make a bloody living in the first place are clearly the murmurings of very disturbed and un-photogenic wimin with too much time on their hands and not enough gazing in a correctly appropriately glazed mirror.

People like this should make you want to vomit. They are trying to stop this woman and her company from making a living and expressing their own choice. It is juvenile in the extreme to rail against such things and I was hoping that this country would have grown up by now.

Clearly we have a long way to go before the bra less, hairy arm pitted, lesbian, dolphin loving, mung bean eating, Prius driving, global warming munching, vegan loving, whale watching, single, ugly (on the inside and out) brain dead wimin grow up!

Political Animal supports the Huntsman Steakhouse especially because of their fine. So should you.

311 George St
Dunedin Central
Dunedin City

03-477 8009

 

Now open for lunch noon -2pm Mon-Sat

Offering Soups, salads, Fantastic Burgers, Luscious…

Hours:

• Mon - Sun 5:30am - 9:30pm
• Mon -Sat for lunch 12 noon-2pm

• Facilities/Features:

  • Children's Menu
• Payment Types: EFTPOS, Visa, MasterCard, AMEX, Diners
• Price Range:
  $ = Budget, Under $15
  $$ = Moderate, $15 - $25
  $$$ = High, $25 - $35
  $$$$ = Premium, Above $35">High, $25 - $35
• Dress Code: Casual
• Alcohol: Beer, Wine
• Seating for: 50/60
• BYO/Corkage: BYO, Corkage Fee
• Parking: Free On-Street, Pay, Pay & Display
• Good For Groups: Yes
• Good For Children: Yes
• Takeaways: Yes
• Delivers: Yes
• Takes Reservations: Yes
• Dietary Restrictions: Vegetarian
• Wheelchair Accessible: Yes
• Outdoor Seating: No
• Meals: Lunch, Dinner, Dessert

Steakhouse with unlimited salad bar

Sounds yummy !

c Political Animal 2009