Perth and Bowen facilities highlights of strong first half results
Lindsay Australia gives first half results credit to its investments in new locations and equipment when reporting a 7.7 per cent rise in net profits to $5.4 million compared with the previous first half.
The integrated transport, logistic and rural supply company also lifted revenues 6 per cent to $203.27 million, while operating cashflow was $15.3 million, a $21 million rise on the previous first half, the company reports.
Internal and external transport revenue rose $11.3 million or 8.6 per cent, to $206.6 million, “largely driven by increased capacity and utilisation rates, price increases and additional revenue from its export business Lindsay Connect”.
Transport gross profits rose from $7.6 million to $7.7 million.
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“This robust performance has been delivered despite a challenging trading environment for your transport division, once again highlighting our operational excellence and the resilience of our group portfolio,” company CEO Kim Lindsay says.
“During the first half we made good progress in delivering our strategy of a strengthened portfolio through diversification of products and location with almost $17 million invested in new developments as well as facility and equipment upgrades.
“The investments offer strong growth opportunities and enhance our presented in the rural and transport supply chains.”
Outgoings also increased, including vehicle operating costs up nearly $5 million to $32.6 million and subcontractors up $2.4 million to $18.1 million, though pallets were down $300,000 to $4.7 million.
Payments for property plant and equipment also rose about $600,000 to $2.17 million, with disposal of same fell nearly $2 million to $1 million.
Capital expenditure was $16.9 million.
On the Perth site, undertaken in November to “provide the national network desired by our existing eastern seaboards customers”, Kim Lindsay says the greenfield operation and location “is supported by 35 new refrigerated rail containers with an additional 15 coming on tap in the second half as we continue to expand our rail capabilities”.
This raises total rail capacity to 76 such units.