To right Werdplaya58,

If you are going to post up such a sensational article you are meant to post a link to the article to see it in its full context.

Of course if you are the CEO of this company you are going to try to attribute your business decline somewhere. The truth is they have been sidelined by companies that used to rely on getting the majority of their product into China thru daigous. A2M management last I heard has reduced that number down to 10% or probably less than that now from the 40% they started with. Because we have Chinese accreditation this allows us to sell directly into China the preferred China labelled product that has the added lactoferren their market demands and is higher margin for A2M.

This company specializes in low volume exports to individual Chinese consumers, sad for them and any other IF company that does not have Chinese accreditation to sell China labelled product. There loss is our gain during these times and beyond.


Quote from QEX CEO

"exports Kiwi products such as baby food and health supplements to individual Chinese consumers"

QEX Logistics faces challenging six months after revenue fall

12 Jun, 2020 4:14pm

3 minutes to read

QEX Logistics founder and chief executive Ronnie Xue. Photo / Supplied

BusinessDesk

By: Dan Brunskill

QEX Logistics expects a challenging first half, with sales for the past two months down 23 per cent but a lift in activity expected in June and July.

The logistics company, which exports Kiwi products such as baby food and health supplements to individual Chinese consumers, said trading in April and May is traditionally quiet and sales in May last year were boosted by clearance sales of discounted stock.

It sees both challenges and opportunities in the wake of the Covid-19 pandemic.

"Demand for milk powder and other New Zealand products remains strong in China, despite the uncertain global economic environment," the company said in its full-year result announcement.

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QEX shares fell 1.6 per cent to 60 cents, taking their loss so far this year to 25 per cent.

"The company today reported a 38 per cent slide in net profit to $1.2m for the year to March 31. It attributed the decline to weaker margins in the first half of the year and costs establishing a new base in Sydney. Pre-tax profit dropped 42 per cent to $1.67m, within its May guidance of between 1.5m to $1.7m."

Revenue increased 5.7 per cent to $62.8m and earnings before interest, tax, depreciation and amortisation fell 8.5 per cent to $3m.