NZX Release
1 November 2016
Veritas first quarter market update
The Board of Veritas Investments Limited (NZX:VIL) provides its quarterly
market update for the 1st quarter of FY2017, ended 30 September 2016.
Group Outlook
As at 30 September 2016, the Veritas Investments group remains on track to
achieve the previously stated guidance of Revenue of $50 m - $55 m and
Underlying NPAT in the range of $3.0 m - $3.6 m for the year ending 30 June
2017.
Updates on individual business units are provided as follows:
Mad Butcher
Trading remains competitive with a number of stores experiencing aggressive
supermarket competition. The company is entering what is traditionally its
strongest trading period, being Christmas and summer. The company has
implemented a number of marketing and cost control initiatives that have
resulted in a slight improvement in underlying profitability despite the
trading conditions mentioned above, compared to the previous year to date.
Nosh
The operational changes and profit improvement programme that Nosh has
implemented are contributing to a reduction in the ongoing operating losses.
We expect the results to further improve with the increased trading over the
Christmas period. The franchise marketing programme continues with
encouraging levels of interest.
Better Bar Company
During the first quarter The Better Bar Company exceeded its EBITDA budget
and showed a significant improvement on last year''s result for the same
period. Ongoing improvements are planned for several of the outlets to
enhance the customer experience. Trading is expected to be strong over the
next quarter.
Kiwi Pacific Foods
The wind down programme for Kiwi Pacific Foods is on target and is largely
complete. All remaining matters are expected to be finalised on or before 31
March 2017.
For further information, contact: Tim Cook
Chairman, Veritas Investments Limited
021 764 401
timc@corporateadvisory.co.nz
About Veritas Investments Limited
Veritas Investments is an NZX Main Board-listed investment company focusing
in the Food and Beverage, Franchise and Hospitality sectors. The shell
company was formed in December 2011 and made its first acquisition of the Mad
Butcher franchisor business in May 2013 through a reverse acquisition
transaction. A further investment was made in December 2013 for 50% of Kiwi
Pacific Foods Limited. In September 2014 Veritas acquired the Nosh Food
Market business. In November 2014 Veritas acquired The Better Bar Company
group business.
www.veritasinvestments.co.nz
End CA:00291888 For:VIL Type:QUARTER Time:2016-11-01 14:44:40