Despite today (31 August) posting a first half net loss of A$255,000, down from H12005’s profit of A$234,000, Queensland-based ginger processor Buderim Ginger issued an upbeat outlook for the second half of the year.
The company reported a 6% sales increase, which it described as “satisfactory”, and noted that it exceeded budgets both in Australia and export markets. However, Buderim said profits were eroded by a number of one-off charges, including higher costs due to product loss in storage, reprocessing of partially finished product, tighter delivery schedules resulting in reduced yield and regulatory problems in the US.
“The company expects a considerable lift in profitability during the second half. This is a normal seasonal effect in the ginger business,” Buderim chairman John Ruscoe said. “The company expects to resume year-on-year profit growth in 2007 and beyond.