Slower start than expected to new year for Comvita

The new financial year has got off to a slower start than natural healthcare company Comvita was expecting.

Chairman Neil Craig told the annual shareholder meeting the first three months of the 2011 financial year were affected by such factors as a slower start to the southern hemisphere winter, and no repeat of last year's swine flu tailwind.

The continued resurgence of the New Zealand dollar was also having an impact, particularly against sterling, with Comvita finding it extremely difficult to turn a profit in Britain, Mr Craig said.

"It is too early to make a forecast of profits for 2011 except to say it is already clear that the market environment at this time is generally more sluggish than we had anticipated."

In the year to the end of March, Comvita reported net profit of $5 million, on revenue of $84.9m.

Comvita's shares were down 20c to $2.05 around mid-afternoon.