NZ's a2 Milk sees maiden interim dividend in February, lifts FY25 revenue growth forecast (updated)

A2 Milk

21/11/2024 20:10

(Recasts paragraph 1 to add maiden dividend expected in February, adds details and background
in paragraphs 2, 3, 5 & 6)
       Nov 22 (Reuters) - New Zealand's a2 Milk  ATM.NZ  said on Friday it expects to declare
its first ever interim dividend in Feb. 2025 while raising its revenue growth forecast for
fiscal 2025 on the back of higher global dairy prices and strong sales of its products. 
    The dairy giant said it had launched a dividend policy of targeting a payout ratio range of
between 60% to 80% of net profit after tax excluding non-recurring and other items (normalised
NPAT).
    The expected interim dividend will be the company's first in its history. It is anticipated
to be in line with the bottom end of the payout range, being 60% of normalised NPAT.
    The firm now expects mid to high single-digit revenue growth in fiscal 2025, higher than its
previous forecast of mid single-digit growth.  
    The Auckland-headquartered company attributed its forecast hike to its year-to-date sales of
China label infant milk formula (IMF), which are in line with expectations despite supply
constraints. 
    The firm also said its year-to-date English label IMF sales were "slightly above plan" and
so were its liquid milk sales. 

 (Reporting by Rajasik Mukherjee; Editing by Alan Barona)
 ((Rajasik.Mukherjee@thomsonreuters.com))