New Zealand Professional Investment Services Firm

Forsyth Barr

We are proud to be a New Zealand owned firm, with 21 offices throughout the country and over 300 employees. We assist personal, institutional and corporate clients providing a full range of investment services.

Forsyth Barr is a foundation New Zealand Exchange firm (NZX) and accredited market participant. We have been confirmed by the Financial Markets Authority as a Qualifying Financial Entity (QFE).

Research is the cornerstone of our advice. We have one of New Zealand's leading teams of analysts. Our global affiliations ensure comprehensive research coverage of all major investment markets.

New Zealand Professional Investment Services Firm, Forsyth Barr

Equity Bottom-Up

<ul><li>Comvita (CVT) announced a reasonably robust FY23 result which was broadly in line with our expectations.</li><li>The key positives were (1) limited impact from Cyclone Gabrielle (CVT received a small net gain from insurance proceeds), and (2) normalised earnings, excluding one-off and transformational items, demonstrated solid double digit growth. Key negatives included (1) higher net debt and inventory at FY23 year end, and (2) lower than expected guidance for FY24, which includes higher transformation expenses versus FY23. CVT's FY24 guidance is once again "double digit EBITDA growth", consistent with outlook for FY23.</li><li>The key unknown for CVT is to what extent slowing demand in key markets can be offset by channel and product expansion, especially in its key Greater China market. </li></ul>

Comvita (CVT) announced a reasonably robust FY23 result which was broadly in line with our expectations.The key positives were (1) limited impact from Cyclone Gabrielle (CVT received a small net gain from insurance proceeds), and (2) normalised earnings, excluding one-off and transformational items, demonstrated solid double digit growth. Key negatives included (1) higher net debt and inventory at FY23 year end, and (2) lower than expected guidance for FY24, which includes higher transformation expenses versus FY23. CVT's FY24 guidance is once again "double digit EBITDA growth", consistent with outlook for FY23.The key unknown for CVT is to what extent slowing demand in key markets can be offset by channel and product expansion, especially in its key Greater China market. 

Comvita - FY23 Result — Extracting Profits

Comvita Ltd

Comvita - FY23 Result — Extracting Profits