The Chairman of Pacific Brands, Peter Bush announced the appointment of Stephen Goddard and Jonathan Ling as non-executive directors and the retirement of past Chairman James MacKenzie after five years on the board. Stephen has had more than 25 years of retail experience, including lengthy tenures with both Myer and David Jones. He has overseen all aspects of premium branded multi-site retail operations. He possesses a very sound understanding of Pacific Brands' portfolio of brands and has been able to observe over time the issues facing the business from a retailer/customer perspective. Jonathan has had a career spanning over 30 years of which 20 have been in senior leadership/managing director roles across multiple geographies throughout the world. Most recently chief executive officer of Fletcher Building, Jonathan has had extensive experience in business restructuring, positioning businesses for growth, international business development and cultural change. He also has a very strong understanding of regulatory matters and corporate governance.

Pacific Brands Limited reported consolidated earnings results for the half year ended December 31, 2012. For the period, the company’s sales revenue was AUD 639,193,000 against AUD 684,729,000 a year ago. Results from operating activities were AUD 64,260,000 against negative results from operating activities of AUD 336,542,000 a year ago. Profit before income tax expense was AUD 53,340,000 against loss of AUD 350,186,000 a year ago. Profit was AUD 38,933,000 against loss of AUD 362,212,000 a year ago. Profit attributable to owners of the company was AUD 38,899,000 or 4.3 cents ordinary and diluted per share against loss of AUD 362,390,000 or 39.3 cents ordinary and diluted per share a year ago. Net cash from operating activities was AUD 34,285,000 against AUD 40,618,000 a year ago. Acquisition of property, plant and equipment was AUD 6,739,000 against AUD 12,728,000 a year ago. Net debt as on December 31, 2012 was AUD 177.7 million against 242.2 million a year ago. The business generated free cash flow of AUD 36 million. CapEx was mainly applied to the payment of dividends and restructuring costs previously provided for. EBITDA was AUD 72.1 million compared to negative EBITDA of AUD 329.4 million reported a year ago. EBIT was AUD 64.3 million against negative EBIT of AUD 336.5 million a year ago. ROCE was 14.6% compared to 14.7% reported a year ago. On February 18, 2013 the company declared an interim dividend of 2.5 cents per fully paid ordinary share, franked to 100% in Australia based on tax paid at 30% compared to 2.0 cents fully franked dividend declared for the half year ended December 31, 2011. Declared dividend represents an increase of 25% on the previous corresponding period and an increase in the payout ratio to 59% (up from 51%). The company's dividend record date is February 28, 2013 and the dividend is payable on April 2, 2013. For fiscal 2013, the company expects gross margins and costs of doing business be broadly in line with first half of fiscal 2013.

Pacific Brands Limited, H1 2013 Earnings Call, Feb 18, 2013