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Synlait Milk almost doubled net profit in FY2018

The company's revenue increased $120.0 million to $879.0million in FY2018.

Synlait Milk Ltd (ASX:SM1) (NZX:SML) has nearly doubled its net profit after tax (NPAT) to $74.6 million for FY2018, which ended on 31 July 2018.

The company noted an increase in finished infant formula sales helped to drive this profit, which was enabled by a number of investments in the blending and consumer packaging space.

Synlait also has today detailed that it has entered into a conditional agreement to acquire selected Talbot Forest Cheese assets.

The proposed acquisition builds on its existing portfolio of high-quality, flexible dairy manufacturing capabilities that can be tailored to meet customer needs.

READ: Australian Dairy Farms snaps up farm and progresses premium dairy products plan

Synlait’s growth follows in the footsteps of ASX-listed dairy and baby formula companies Bellamy's Australia Ltd (ASX:BAL), A2 Milk Company Ltd (ASX:A2M), Keytone Dairy Corporation Ltd (ASX:KTD) and Australian Dairy Farms Group (ASX:AHF).

Both KTD and AHF have spoken to Proactive Investors over the recent months.

READ: Keytone Dairy Corporation set to debut on ASX after successful IPO

Keytone Dairy recently listed on the ASX after raising $15 million in a successful initial public offering (IPO) in mid-July 2018.

Since listing, the company’s shares have more than tripled to 70.5 cents from their 20-cent listing price.

In early August, Keytone entered an option agreement to acquire additional industrial land adjacent to its existing manufacturing properties in Christchurch, New Zealand.