Australia's Collins Foods faces worst day in over 2-1/2 yrs on profit slump

Collins Foods

29/11/2022 01:32

(Adds UBS comments, updates milestones)
    ** Shares of Australia's Collins Foods Ltd  CKF.AX  fall as
much as 18.3% to A$8.200 - set to mark worst day since March 18,
2020 if losses hold 
    ** Fast-food chain operator posts 58.2% drop in HY net
profit attributable to A$11 mln ($7.32 mln), declares a fully
franked dividend of 12.0 AU cents per share
    ** HY revenue from ordinary activities rises 15% to A$614.4
mln 
    ** Co says margin pressure expected to remain for balance of
FY23  
    ** UBS says 2H23 ongoing cost pressure higher than
management/consensus had previously expected
        ** Brokerage adds ongoing  impact  in  2H23  likely  to 
result  in  EBIT  downgrades
  
        ** CKF is the top loser on benchmark index  .AXJO 
  
    ** Stock hits its lowest level since June 22
    ** CKF had fallen 24.9% this year, as of last close
($1 = 1.5031 Australian dollars)
 (Reporting by Nausheen Thusoo)
 ((Nausheen.Thusoo@thomsonreuters.com;))