Today, shares of the protective glove and condom maker, Ansell Limited (ASX: ANN), bucked falls in the broader S&P/ASX 200 (Index: ^AJXO) (ASX: XJO) to trade firmly higher.
In an ASX announcement, Ansell released its highly anticipated results for the six-month period ended 31 December 2015. After falling 17% last week, the worst of today's profit announcement appears to have been factored in by the market.
Nonetheless, for its first half, sales fell 7% to $784.8 million and earnings before interest and tax (EBIT) fell to $99.3 million, down 16% on the prior corresponding period. The company said its medical and industrial businesses were affected by weak emerging markets and short-term variances.
"The Company continued to make significant progress against strategic goals during the first half," Ansell Chairman, Glenn Barnes, said, "Although we have reduced our full year earnings guidance reflecting a more challenging economic environment as we begin the second half, we remain confident in our long term growth strategy."
The company's Single Use and Sexual Wellness businesses saw profit and sales growth year-over-year.
"The more challenging economic environment and a slower than anticipated start to the second half as reflected in January sales have led us to reduce our full year earnings expectations," CEO, Magnus Nicolin, added. "However, I am confident we will see good progress on our key priorities during the balance of the financial year and an improved earnings performance compared to the first half."
While the recent profit downgrade remains in place, looking ahead, the company says it expects an improved performance in the second half, given that between 51% and 52% of sales are usually recorded in the second half. EBIT margins are also expected to improve.
Finally, the company announced a US 20 cents per share unfranked dividend, in line with last year's interim payment. The dividend will be payable on March 10th, 2016.
Before midday, shares of Ansell were trading 3% higher at $15.48, while the S&P/ASX 200 was 0.4% lower.
