Pod's shares have dropped 27.5 per cent, or 11c, to 29, after the firm announced it had fallen into the red.
The listed fashion and garment firm said yesterday it had incurred a $1.173 million interim net loss, after being stung by poor hedging positions. It reported a net trading profit of $507,000 in the same 2005 December half.
No interim dividend will be paid.
Pod's chairman and cornerstone investor, George Gould, said bottom line profitability would return in the June 2008 year.
Fashionable merino garments have recently been Pod's key focus, but the high kiwi dollar has hit export returns for those products, causing foreign exchange losses of $1.035m.
Gould said the strategy would now be to accelerate overseas merino-product manufacturing in Sri Lanka and China to remain competitive.
