Media Release - Profit up 18% on 2009
14 April 2011
PROFIT UP 18% ON 2009
Today, Chairman, Kerry McDonald of Opus International Consultants reported net profit after tax up by 18% in 2010, on steady revenue of $367 million, at its Annual Meeting held in Wellington.
Mr McDonald said that “with the strong performance and improved cash position, I am able to confirm a final dividend of 4.3 cents per share, which is fully imputed. This brings the total dividend for the year ended 31 December 2010, to 7.7 cents per share, representing a 15 percent increase, of 1.0 cent per share, on last year.”
“While 2010 was another challenging year for businesses around the world, Opus responded effectively, with astute direction, excellent leadership and a committed and supportive team.”
Managing Director, Dr David Prentice, said “Earnings before Interest and Tax (EBIT) was $31 million, an increase of 22 percent on 2009. We continued our strong performance in New Zealand with EBIT of $27.4 million. In Australia, we delivered a record EBIT result of $3.7 million reflecting growth in this market. Importantly, we were able to turn around a loss in the difficult UK market to produce a positive EBIT of $0.6 million, an excellent improvement of $7.3 million on last year. While our result in Canada was a disappointing $0.3 million negative result, we expect an improvement in 2011”.
“We continue to have the well-earned status of being the number one consultant in transportation asset management in New Zealand. In Australia, we were selected as the preferred provider for the Wheatbelt Integrated Service Arrangement contract for MainRoads Western Australia. This multi-million dollar asset management contract, which will run over a five-year period, is for the provision of network maintenance and management services.”
“We have also been commissioned to design and project manage the construction and repair of parts of the road network damaged by flooding in the Bundaberg and Mackay regions in Queensland, Australia.”
Dr Prentice told shareholders that “as we reflect on 2010 and look to the future, we are well positioned. While the NZ Government’s injection of capital on infrastructure, particularly in new roads, was positive for the sector, this would be subject to budget pressures and the reality of rebuilding Christchurch – work that we anticipate being heavily involved in.”
“In Australia, we have a strong platform for future growth in an expanding economy driven by the resources sector – a sector that is a key focus for us. Growth will continue to be supplemented by building on carefully targeted acquisitions particularly in Australia and Canada.” He identified the recent acquisition of Dayton and Knight Consultants Ltd, a 90-strong water engineering business in British Columbia, as an important example of this.
Mr McDonald said that “while the level of market uncertainty and risk remains a key consideration for the Board and the management team, there are also many opportunities, particularly in some of the developing economies. These factors are all influencing the Board’s thinking about the future.”
Dr Prentice concluded that “we have continued to operate successfully in a very challenging and ever-changing environment. Our ability to deal quickly and successfully with change and uncertainty is vital and we look ahead with a high degree of enthusiasm and optimism.”
For further information please contact:
Dr David Prentice
Opus International Consultants
Tel: 04 471 7022