Murray Goulburn brings in new leadership after trading halt
Dairy company Murray Goulburn has today revealed its Managing Director Gary Helou will be stepping down and has downgraded its expected profits for the financial year ending 30 June 2016 by 40 per cent.
The announcements come after the company requested an Australian Securities Exchange (ASX) trading halt from last Friday 22 April – 27 April 2016.
It is now expected Murray Goulburn, owner of Devondale, will no longer be able to pay its farmers the previously anticipated AUD $5.60 per kilogram of milk solids for the season. It now predicts as low as AUD $4.75 per kilogram instead.
Murray Goulburn said its initial higher predictions were based on a number of factors including there being no unfavourable changes to the AUD/USD exchange rate and the continued strong performance of international ready-to-consume dairy food product sales. As these factors did not eventuate Murray Goulburn said it was forced to reduce its expected milk solid payout.
The company now predicts its net profit after tax for the financial year ending 30 June 2016 will lie between AUD $39 million and AUD$42 million.
Chief Financial Officer also steps down
Murry Goulburn confirmed its Chief Executive Officer, Brad Hingle, resigned from his position following Helou’s decision to step down as General Manager.
David Mallison, current Executive General Manager Business Operations at Murray Goulburn has been appointed interim Chief Executive Officer.