Dual-listed Move Logistics Group is ditching its financial year guidance following an “unexpected” contract loss of around $14 million in revenue for its freight division.
The transport firm had previously advised the market it was expecting underlying EBITDA from continuing operations to be an improvement on last year’s $54.3m.
However, the contract loss means results from its freight division will now be “below expectations”.
Its stock fell slightly following the announcement and is currently trading at $1.15 per share.
“Trading within contract logistics and international (including the Move Oceans initiative) remains robust,” the company says.
The company’s investment into shipping has seen it purchase the Atlas Wind vessel out of Europe for trans-Tasman freight operations.
It can carry 366 containers or the equivalent of 5000 tonnes of bulk cargo.
The ship is expected to arrive in New Zealand before the end of the year and will deliver a strong profit from its maiden voyage, the company says.
Move expects to release its first-half 2023 result by the end of February.
