Just posted in the SMH - finance section....
The A2 Milk Company's shares dropped as low as $11.86 a share before recovering to trade down 7.1 per cent at $12.12.
A2 said in an investor presentation that it's expecting marketing investment in the second half of 2018 to exceed investment made in the first half of 2018 by between NZ$35 million to NZ$40 million due to increased spending in China and the USA.
A2 also said that inventory levels have improved during the first half of 2018 and it's expecting a further build in the second half of the year.
It continues to consider the appropriate use of available capital, including reviewing opportunities to invest directly in blending and canning capabilty, the firm said.
Separately, Nestle has reportedly launched a rival infant formula product in China. Nestle's formula uses the A2 beta-casein protein that A2 has championed and it's already understood to be available in China under the brand name Atwo, the New Zealand Herald reported.
The company has performed strongly this year, up 63.5 per cent.
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