Methven is picking its full year profit will almost double this financial year, due to its British business returning to profit and lower operating costs.
At its annual meeting, the showerhead and tapware maker told shareholders it expects to make $9 million in the year to March.
Methven's largest UK customer, Focus DIY, went into voluntary administration during the year, costing the company $2 million.
Chairman Phil Lough says the loss of Focus added to the company's challenges of the last year.
However, he says the company has recouped $500,000 and remains in a solid financial position.
Mr Lough says the loss was provided for in the last financial year and the outlook for next year is much better.
Excluding Focus, Methven's underlying profit is only slightly more than it forecast in May, but Mr Lough says the company remains in a solid financial position.
It expects improved profits from Australia, despite the slowing economy, but does anticipate a fall in profits in New Zealand as the rebuilding of Christchurch takes longer than expected to start.
