Paengaroa-based natural health products company Comvita expects about a $7 million net profit for the full year ended 31 March 2014.

This is from sales of $115.3m, the company says in advice to the New Zealand Stock Exchange.

This compares to NPAT and sales in the 2013/14 financial year of $7.37m and $103.5m respectively.

Earnings before interest, tax, depreciation and amortisation is expected to be approximately $16 million compared to $14.7million in the previous year. The results are based on unaudited management accounts.

Second half earnings are significantly stronger than the first half, says Comvita CEO Brett Hewlett.

"As signalled to the market in October 2013, Comvita historically has a year of two profit halves,” says Brett.

'This effect has been amplified over the past two years due to shortages of our core raw material, Manuka honey during the first six month period.

'However, when unconstrained by raw material shortages, as happened in the second six months, we clearly have growth momentum. The strategy of acquiring apiary businesses is working to alleviate these supply shortage pressures."

For the full year Comvita had an 11 per cent growth in net sales and 12 per cent growth of EBITDA. For the second six month period alone, Comvita had sales growth in excess of 24 per cent and growth in EBITDA of 54 per cent over the comparable period of the prior 2013 financial year.

Comvita's net debt as of 31st March is $26.5m million compared to $25.3m million at the same time last year.

Comvita made a number of acquisitions to bolster Manuka honey sourcing as well as other capital investments in building infrastructure, systems development, plant and equipment.

These investments were largely funded from operating cash flows and the $9million placement of shares in September 2013 to Comvita's strategic wound care partner, Derma Sciences Inc at $3.90 per share.

Comvita's audited results will be announced on Friday 23rd May, along with a detailed update of progress in key markets. The annual meeting is scheduled for Thursday