A2 Milk : New Zealand's a2 Milk Lowers Earnings Forecast

By Stephen Wright

WELLINGTON, New Zealand--Infant formula company a2 Milk Ltd. has cut its full-year earnings forecast, citing a more severe-than-anticipated decline in surrogate-shopping sales to Chinese consumers.

The New Zealand-based company on Friday said it expects an operating profit margin of 26% to 29% for its 2021 financial year, down from its previous forecast of 31%.

Revenue for the full year would range between 1.4 billion and 1.55 billion New Zealand dollars (US$1 billion to US$1.11 billion), compared with an earlier forecast of NZ$1.8 billion to NZ$1.9 billion, it said.

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(END) Dow Jones Newswires

12-17-20 2105ET