Company news: Pacific Brands
Pacific Brands reported at their AGM that sales for the first 16 weeks of the financial year are 7% up on last year. Further they stated they expect higher earnings in FY-16 than in FY-15 and to return to be dividend paying at 1H-16 (and onwards with at least 50% of Net Profit After Tax payable as dividends going forward). These are terrific results and are all ahead of where we expected the business to be. Now that the business is a focused machine (on Bonds and Sheridan primarily) and is moving further away from its wholesaler past, we expect to see a much more stable (and profitable) business in the years ahead.