- Unaudited numbers for a2 Milk Company show a 68% increase in 2018 full year revenue to $NZ922 million.
- And the infant formula maker, whose products are in high demand in China, says further growth is expected in 2019.
- The company plans to spend more on marketing win Australia and China, and expand into the US.
The a2 Milk Company, whose infant formula is loved in China, is about to post a 68% jump in full year revenue to $NZ922 million ($A845.5 million), exceeding the high end of its own guidance.
The company says the unaudited numbers also show an EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortisation) to sales ratio for the 2018 year of 30%.
Final 2018 results are due to be released in August.
a2 Milk says it expects further growth in revenue in 2019.
Spending on marketing will be higher given continuing investment in Australia, activities in China and increased investment to support expansion in the US.
And overheads will rise mainly due to increasing headcount for China and corporate headquarters sto support the increasing scale of the company.
Earlier this month, a2 Milk announced an extension to its supply deal with Synlait, the New Zealand-based infant formula company.
The deal also increases the volume of infant formula products as demand for a2 Platinum infant formula continues to grow in China and in Asia.
Jayne Hrdlicka, a former CEO of the Jetstar, is taking over as CEO of a2 Milk on Monday next week.