Carpet maker Cavalier says its New Zealand business is showing no signs of recovery, despite good sales in Australia.
Cavalier says Australian residential and commercial sales have offset poor carpet sales in New Zealand, which are tracking at low levels not seen in years.
At its annual meeting, the company told shareholders revenue rose 2.5% in the four months to October and tax-paid earnings jumped 19%.
However, Cavalier managing director Wayne Chung says it may be a stretch to lift tax-paid earnings by 5% from the $16.6 million it made last year and which it had earlier forecast.
Cavalier says it expects full-year earnings to come in at plus or minus 5% in the range of $15.8 million to $17.5 million.