Business

Record profit for Fisher and Paykel Healthcare

13:07 pm on 27 November 2015

Leading manufacturing company Fisher and Paykel Healthcare's net profit has hit a record high after introducing new products and changing its approach in the United States.

It made a net profit of $62 million in the six months to September, up 27 percent on the same time last year.

Revenue jumped 20 percent to also hit a record $381m.

Chief executive Michael Daniell said the firm had moved to a direct sales model in the United States, instead of going through a distributor.

"The record result is attributable to a continuation of our consistent growth strategy, which has driven strong revenue growth in both of our major product groups and further gross margin improvements.

"Historically we have sold our products to hospitals in the US, our largest market, through a distributor."

With the move to a direct sales model in the US, as we have already done in our other major markets, we expect that the increased sales focus will enable us to maximise opportunities and increase revenue growth in the US," he said.

Fisher and Paykel Healthcare have declared an interim dividend of 6.7 cents per share.