Westland hits $1b revenue
Hokitika-based Westland Milk Products is bracing for another good year after hitting $1 billion in revenue for the first time in 2022.
The Westland board lowered its predicted payout range to $5.80 - $6.00 (previously $6.00 to $6.20).
Chairman Pete Morrison said factors driving the revision included the fact that the last quarter’s sales targets for infant and toddler nutrition (ITN) will not be met.
“While we have seen increased production of ITN by 29%,” Morrison said, “the budget was reliant on the business achieving 52% sales growth, and now the forecast sales growth is 34%.
“This situation reinforces Westland’s need to have better and more direct sales channels and to reduce our reliance on third party distributors,” Morrison added.
Morrison says the boad believes the proposed sale of Westland to Chinese company Hongkong Jingang Trade Holding — a wholly owned subsidiary of Inner Mongolia Yili Industrial Group —will provide a strong route to market as one of the world’s leading dairy producers.
