Another article that gives any A2 shareholder a reason to sleep soundly about the future of this company.
http://www.copyright link/personal-...disruptors-keep-on-disrupting-20180222-h0wh14
- Feb 27 2018 at 2:00 PM
- Updated Feb 27 2018 at 3:22 PM
A2, Seek, Fortescue: The disruptors keep on disrupting
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A2's alliance with dairy giant Fonterra is regarded as the latest signal the dairy disruptor is becoming too hard for the dairy industry to ignore. Eddie Jim
A2 MilkRelated articles
Industry background: A2 was founded by scientist Corran McLachlan in 2000 after identifying the fact that cows produce different types of milk proteins. The A2 Milk Company's promotion that its milk is a healthier option has helped deliver it a 9.5 per cent share of the fresh milk market in Australia.
A2 settled out of court with Lion Dairy & Drinks this year after a long-running legal dispute about the rights to use the term "A2 protein" on labels, which prompted a Lion counter-claim that A2's representations its milk makes many customers feel better than normal milk are false. A2's alliance with dairy giant Fonterra is regarded as the latest signal the dairy disruptor is becoming too hard for the dairy industry to ignore.
The result: A2 posted a better-than-expected interim result, reporting a $NZ98.5 million ($92 million) December-half profit underpinned by surging infant formula sales and stronger sales to China.
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The company flagged its marketing costs will increase and hit earnings in the second half. A2 is yet to declare a dividend, though fund managers say they prefer the company invests in its growth at this stage.
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Another article that gives any A2 shareholder a reason to sleep...
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