Leading manufacturing company Fisher and Paykel Healthcare has posted a record full year profit on strong hospital demand for its face masks and higher margins.
Its net profit for the year ended March was up 12 percent to $190 million, while its revenue rose 10 percent to $980.8m.
F&P Healthcare makes humidifiers, breathing masks and systems for obstructive sleep apnea used in hospitals and homes. It has factories in Auckland and Mexico, which are currently being expanded.
Its chief executive Lewis Gradon said hospital sales have grown strongly, especially for one of its masks.
"[We're] benefiting from a growing number of influential clinical studies pointing to its effectiveness in reducing the need for more invasive therapies and reducing the length of hospital stay for patients."
He said the company was spending nearly 10 percent of its revenue on research and development and this was resulting in a line up of new products, which would drive future earnings.
The protracted legal battle over patents and intellectual property with US rival Resmed cost $15.6m in the past year, and is expected to cost about the same next year.
The company forecast a net profit of around $210m with revenue breaking through $1 billion, assuming the New Zealand dollar stayed around current levels.
Shareholders were rewarded with an increased final dividend of 12.5 cents a share.