Auckland, New Zealand, November 2-- Feltex Carpets made a first quarter net profit of $4.4 million, in line with forecasts.
The unaudited surplus for the three months ended September 30 compared with $2.5 million a year earlier, and a forecast in October of $4.5 million.
Earnings before interest, tax, depreciation and amortisation rose 15 percent to $10.0 million, due to a change in product mix, and cost control, the company said.
Carpet sales increased, but a stronger New Zealand dollar cut revenue by 1.7 percent to $79.1 million.
Profitability was affected by seasonal factors.
"Historically the second and fourth quarters have been the strongest, followed by the first and lastly the third quarter," the company said in a statement.
About one third of Feltex's business is commercial, expected to offset a slowdown in the residential business which makes up the remainder.
Feltex said it intended to raise retail prices to cover higher costs from surging oil prices.
Shares in Feltex, which produces about a quarter of carpet made in New Zealand and Australia, were unchanged at $1.57 on Tuesday, compared with the $1.70 June issue price.
Feltex returned to the New Zealand sharemarket in June after the largest public offering since 1999. The company ranks with privately held Godfrey Hirst as one of the two largest carpet makers in New Zealand and Australia.
