In the middle of a makeover
Microcap consumer products company McPherson’s Limited (ASX:MCP) is a supplier of household and personal care products, with operations in Australia, New Zealand and Asia. McPherson’s is undergoing a transformation in order to focus on the faster growing and more profitable Health and Beauty and Home Appliances segments, and diversify away from the competitive Household Consumables segment and grocery distribution channel. The company owns household names such as A’kin, Dr. LeWinn’s, Lady Jayne, Swisspers, Euromaid and Multix, and has agency agreements with Trilogy and Procter & Gamble Fine Fragrances.
Following an encouraging financial result in FY16, we expect further earnings growth and strong cash flow generation in FY17 and FY18, as McPherson’s continues to build on the transition that has occurred since 2012.
