Metcash (MTS) released its 1H15 results sometime back confirming the need for uplifting the Food & Grocery business. The Company has indicated a solid net working capital result. Improved gearing mirrored solid operating cash-flows, working capital control and lesser capital investment. As per the Company’s results for the financial half-year ended 31 October 2014, sales revenue increase of 1.0% to $6.6 billion; profit after tax increase of 2.8% to $101.7 million; underlying profit after tax dip of 9.0% to $101.7 million; and underlying EPS dip of 10.2% to 11.4cps has been reported. Operating deleverage and investment in the Food & Grocery strategy led to the decrease of the underlying profit after tax. The interim dividend per share of 6.5 cents fully franked was declared. The Company hinted its intention to maintain DPR of at least 60% for full year in congruence to its policy.
Click here to read the full report.