By Keri Algar
SYDNEY, NSW: GUD Holdings has announced a strong profit result, with full year net profit up 33 per cent, to a record $46.4 million.
The consumer products segment, including Sunbeam and Emjoi, boasted an EBIT up 13 per cent to $39.9 million. The report cited Sunbeam’s sponsorship of MasterChef Australia for boosting sales growth in core kitchen categories, and further cementing the brand’s standing with consumers and retailers her e and across the Tasman.
Operating cash flow was a record $78.2 million, an improvement of 35 per cent on FY09’s figures.
GUD Holdings managing director, Ian Campbell, credited a strong Australian Dollar and a selective price increase strategy for the positive result.
“The strong profit result and pleasing cash flow generation reflect the full year impact of the initiatives taken at the outset of the global financial crisis to underpin margins,” Campbell said.
“A stronger Australian dollar coupled with these initiatives, which included selective price increases, improved purchasing terms and tight working capital controls, held through the FY10 year.”
Campbell pointed out a slight decline in consumer products sales due to the withdrawal from a number of underperforming personal care categories and lower sales of seasonal products due to a mild start of winter conditions.
Revenue rose two percent to $476.6 million from $468.3 million in the prior year.