LIC earnings forecast downgraded for 2020/21 year
Private Bag 3016
Hamilton 3240
New Zealand
0800 651 156
www.lic.co.nz
LIC is the trading name of Livestock Improvement Corporation Limited
Market Announcement
20 May 2020
LIC EARNINGS FORECAST DOWNGRADED FOR 2020/21 YEAR REFLECTS IMPACT OF COVID-19
Livestock Improvement Corporation (NZX: LIC) confirms that its underlying earnings guidance for the
year ended 31 May 2020 remains unchanged at $21 million to $25 million.
However, LIC has downgraded its underlying earnings forecast for its next financial year: year-ended
31 May 2021. The cooperative announced an underlying earnings (NPAT excluding items such as bull
valuation and nil paid share movements) range of $21 million - $27 million on 29 January 2020. As a
result of expected impacts of COVID-19, Board Chair Murray King said that range has today been
downgraded.
“Based on the impacts of COVID-19 on forecast milk price, credit tightening for farmers and increased
compliance costs for the next season on New Zealand dairy farmers and LIC, the Board has updated
its market range for the year ended 31 May 2021 to $16 million to $22 million.”
LIC will continue to update the market in line with its continuous disclosure obligations.
Ends
For investor relations questions, please contact:
Gillian Brennan
Company Secretary
Gillian.Brennan@lic.co.nz
+ 64 27 2955215
For media enquiries, please contact:
Jo Jalfon
Communications Manager
Jo.Jalfon@lic.co.nz
+64 27 297 1904
About LIC
LIC is a farmer-owned co-operative that provides a range of services and solutions to improve the
productivity and prosperity of farmers. This includes dairy genetics, information technology, herd
testing, DNA parentage verification and farm advisory services through FarmWise®. Subsidiary
business LIC Automation also provides integrated automation systems and unique milk testing
sensors that present real-time data while a cow is being milked. With origins dating back to 1909, LIC
has a long history of world-leading innovations for the dairy industry. Today the New Zealand-based
co-operative employs more than 700 permanent staff, swelling to 2000 during the peak dairy mating
season. LIC also has offices in the United Kingdom, Ireland and Australia. All LIC profit is returned to
its farmer owners/shareholders in dividends or re-invested for new solutions and research and
development. www.lic.co.nz
Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.
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