Chalmers bounces back into the black


First half net profit rises hugely off low base despite fall in revenue

Chalmers bounces back into the black
Chalmers records a first-half profit.

 

Transport and logistics firm Chalmers put some black ink between the first half and last year’s full-year loss with a $418,000 profit.

The result, up 387 per cent from the previous first half’s $85,378, came despite revenues falling 5 per cent to $29.7 million.

The company’s container handling arm was the impetus for profits going in the right direction.

"The revenue contraction resulted from low revenue in the Transport division – representing a rail-off of southern Australia grain volumes and Brisbane warehouse facility utilisation," the company says.

"Some offset was achieved with improved revenue for the Container division though additional volume for the empty container and tanks businesses in Brisbane together with surrender of a property lease option."

Transport’s revenue fell from $21.97 million to $19.93 million for a loss of $577,000 while the containers business rose to $10.18 million from $9.20 million for a profit of $750,750.

Also helping the bottom line were operational improvements and savings that saw costs fall $1.5 million from the previous first half to $29.5 million.

Labour and subcontracting costs were down $778,000 and $29.5 million respectively.

"Labour costs reduced on the back of lower direct labour, overtime and support staff costs," the company says.

"Subcontract costs reduced in order to maintain company fleet utilisation."

Lower net fuel spending helped vehicle costs fall $413,000 to $4.03 million, while a Brisbane warehouse lease writeback saved $357,000.

 

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