Adelaide Brighton net profit down 10.6%

Adelaide Brighton net profit down 10.6%
Published: 18 August 2011

Adelaide Brighton reported a 10.6 per cent decline in fiscal first-half net profit to A$61.5m from A$68.8m a year earlier. The result was in line with company guidance.

Revenue fell 2.2 per cent in the period ended June 30 to A$507.9m from $519.4m previously as demand from the mining sector helped offset weaker residential activity.

Revenue was also affected by lower sales of cement to a major customer in Western Australia and the temporary suspension of operations by a major lime customer in the Northern Territory, the company said.

While outlining a mixed to steady outlook of demand for its building products, Adelaide Brighton said it was “confident on future earnings due to its strong exposure to infrastructure and resources”.

The company said it expected full year net profit of A$144-$152m and anticipated demand for cement across Australia in 2011 to be similar to 2010 levels.