Underlying cost savings and productivity performance have exceeded the planned schedule, but the expensing of acquisition integration costs has affected earnings. BPC's success will depend on results from FY05 and the degree to which its staff are 'focussed and energised'. High debt and the speed of repayment will be an issue for many investors. We believe there is potential for earnings surprise. Our valuations are well north of the current share price. We maintain our BUY recommendation.
FRom ageis resarch
BPC
burns, philp & company limited
