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BRIEF-Fonterra increases forecast earnings per share range

Published 16/11/2015, 06:45 am
© Reuters.  BRIEF-Fonterra increases forecast earnings per share range

Nov 16 (Reuters) - Fonterra Co-Operative Group Ltd FCG.NZ :

* Fonterra increases forecast earnings per share range

* Fonterra Co Operative Group Limited is increasing its forecast earnings per share range for the current financial year to 45-55 cents

* The co-operative is continuing to forecast a reduction in milk collections in New Zealand for the current season of at least 5 per cent

* Forecast farmgate milk price of $4.60 this lifts the total available for payout to $5.05-5.15 per kgms

* Says increasing the rate at which farmers are paid the co-operative support of 50 cents per kgms

* Says "capital expenditure of $258 million is down 37 per cent, in line with the target"

* First quarter initiatives are expected to generate a one-time cash benefit of NZ$110 million this financial year"

* Initiatives generating recurring benefits implemented in Q1 are expected to deliver a cash benefit of $170 million in current financial year

* Initiatives in second quarter are expected to increase recurring cash benefits to NZ$340 million and contribute to both EBIT, and farmgate milk

price in current FY"

* All figures in nz$ Source text for Eikon ID:nNZW1cSdPl

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