Comvita (CVT) has put the building blocks in place to grow sales to more than NZ$400m within five years (we are estimating FY20 sales of NZ$440m) and at the same time improve margins and ROCE. In the last three years CVT’s sales have almost doubled and the operational leverage has seen operating profit treble in the same time frame. In FY16 EPS increased by 45%, dividends were up 23% and ROCE improved from 12% to 15.3%.
