Canterbury milk processor Synlait has reported a net after tax profit of $74.6 million.
The figure for the year ending July 2018 is almost double the result for the same period last year of $39.5 million.
- Results 'don't meet the standards we live up to', says Fonterra boss
- Shane Jones launches blistering attack on Fonterra
Synlait Chairman Graeme Milne said an increase in finished infant formula sales helped drive the increased profit.
This was enabled by a number of investments in the blending and consumer packaging space.
"In November 2017 we completed our second Dunsandel wetmix kitchen, and the same month commissioned our Auckland blending and consumer packaging facility," Mr Milne said.
"Both these projects have allowed us to increase our finished infant formula capacity."
Synlait also announced on Wednesday it has entered into a conditional agreement to acquire selected Talbot Forest Cheese assets.
This includes property, plant and equipment at a new 12,000 MT Temuka site, the consumer cheese brand (Talbot Forest Cheese) and customer relationships.
"The proposed acquisition builds on our existing portfolio of high-quality, flexible dairy manufacturing capabilities that can be tailored to meet customer needs," said Synlait's new CEO, Leon Clement.
FY18 has been a successful year for Synlait, with top line revenue increasing from $759 million to $879 million and bottom line profit after tax growing from $39.5 million to $74.6 million.
"That is a gratifying 16% growth in top line and an 89% growth in bottom line," says Mr Milne.
Synlait's final average total milk price for FY18 has been announced at $6.78 per kilogram of milk solids (kgMS).
This includes a base milk price of $6.65 per kgMS (FY17 base milk price: $6.16 per kgMS) and seasonal and average value-added incentive payments of $0.13 per kgMS.