Mainfreight has released its six monthly results to 30 September 2015 which shows that net profit (before abnormals) has declined by 1.5% to $33.14 million.
The company’s share price fell slightly on receipt of this statement.
Mainfreight’s statement says total revenue (sales) increased 12.9% to $1.114 billion, a record for its half-year reporting. (Excluding foreign exchange effects the increase is 5.6%).
Earnings before income tax, depreciation and amortisation (EBITDA) improved 3.3% to $71.58 million (excluding foreign exchange effects, down 2.1%).
“This decline is less disappointing than it appears, at first sight, as it is largely a result of increased costs that have been incurred to assist our growth development across the business, albeit with effects of softer trading in the domestic Australian and United States markets,” says a statement issued by Mainfreight.
“EBITDA performance improved for our Asia and Europe operations, however, declined in Australia, New Zealand and the Americas as overhead cost increases exceeded gross margin increases,” says Mainfreight.
Mainfreight says trading in the month of September improved across all five regional divisions, and weekly pre-Christmas volumes have been stronger through October and now into November.
