Aug. 26 (Bloomberg) -- Nuplex Industries Ltd., a New Zealand resin manufacturer, rose the most this year in Wellington trading after full-year operating profit surged 52 percent, beating the company’s forecast.
Operating profit, or earnings before interest, tax, depreciation and amortization, rose to NZ$139.4 million ($98 million) in the year ended June 30 from NZ$91.5 million a year earlier, the Auckland-based company said today. The result exceeded a June 9 forecast of NZ$125 million to NZ$135 million. The stock gained 6.8 percent, the most since Dec. 17.
Full-year resin sales volumes rose 11 percent, and the company was able to increase margins as raw material costs declined, Chief Executive Officer Emery Severin said in a statement sent to the stock exchange. The company, which sells resins used in paints and construction materials, said government stimulus plans in Europe and increased demand from Asia helped boost sales.
The company continues to focus on improving margins and current demand is “significantly stronger than a year ago,” Severin said.
The stock increased 20 cents to NZ$3.15 at the 5 p.m. market close in Wellington. The NZX 50 index gained 0.4 percent.
To contact the reporter on this story: Tracy Withers in Wellington at firstname.lastname@example.org.
To contact the editor responsible for this story: Iain Wilson email@example.com