Breville Shares Up 19% After Bumper Profit
Small appliances manufacturer, Breville Group Limited, has lift its interim dividend payout to 18.5 cents [partly franked] from 16.5 cents last year, following a 19.7% lift in half-year net profit to $43.5 million.
The news has sent shares soaring 19.35% after midday to $14.25.
For the half-year, EBITDA soared 14.6% to $70.5 million.
Despite sluggish local retail conditions, Breville’s Australian and New Zealand business achieved double digit growth during the half-year.
Double digital growth was also notched by its North American and UK division.
Earnings follow the ASX-listed entity’s expansion into Germany and Austria, with full year EDBIT forecast to beat current market consensus for 11%.
Net profit was boost by a one off reduction in the company’s US deferred tax asset in the previous corresponding period.
Excluding the deferred tax asset, net profit after tax notched a 14.8% lift.
“We continued to deliver double digit earnings before interest and tax growth while successfully executing on our acceleration program, increasing our investment in product development and marketing, and successfully entering the German and Austrian markets,” claims Breville Chief Executive, Jim Clayton.