Shares in baby formula supplier Synlait Milk have slumped after an earnings downgrade
Shares in baby formula supplier Synlait Milk have slumped after an earnings downgrade
13 February 2020
The company is the key infant formula supplier for A2 Milk.
Synlait says market consolidation in China has meant it won't achieve expected profits this year, because of much lower infant powder base sales .
The company expects profits for the year to July 31 to be 70-to-85 million dollars, compared to last year's 82-million.
Soon after the share market opened, Synlait's share price fell by 14 per cent.
Synlait hasn't felt the impact of the coronavirus outbreak yet - but says it poses a risk.
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