A2 Milk forecasts sales jump

NZ milk company A2 Milk is forecasting higher than previously expected sales in the six months to June, as a result of increased demand.

The company said in a statement demand has been particularly strong in Australia, but also through the cross border e-commerce (CBEC) channel into China.

“The Company confirms that for the 9 months ended 31 March 2017, Group revenue was NZ$388.5m ($358m),” the statement read.

The company said that, in response to increased demand, it will increase its production for the remainder of the year.

“On the assumption of continuing strong demand for a2 Platinum infant formula and production deliveries being achieved consistent with the revised production schedule, the Company is now expecting infant formula sales for second half FY17 to exceed sales achieved in first half FY17,” the statement said.

“As a result, Group revenue for the 2017 financial year is forecast to be approximately NZ$525m ($483.8m).”

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