Derek O’Neill, CEO at Billabong, told investors that the falling Australian dollar is great for company profits, according to a story in The Australian.
There has been a dramatic fall in the value of the Australian dollar, in particular against the US dollar and the euro,” Mr O’Neill said. “After so many years of watching the company’s reported profits eroded by an appreciating Australian dollar, there is now the prospect of strong reported gains from a depreciating Australian dollar.” . . . Every 1c movement from these assumed exchange rates meant a 0.6 per cent change in profit for Billabong, Mr O’Neill said.
And that must make Paul Naude very, very happy.
[Link: The Australian]
