22/02/2021 - 12:00

MACA posts jump in revenue, profit

22/02/2021 - 12:00

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Mining contractor MACA has reported revenue of $467.2 million in the first half of the financial year, most of which can be attributed to work in the gold sector.

MACA posts jump in revenue, profit
MACA's revenue has grown 29 per cent to $467.2 million in the six months to December 2020. Photo: MACA

Mining contractor MACA has reported revenue of $467.2 million in the first half of the financial year, most of which can be attributed to work in the gold sector.

MACA's revenue grew by 29 per cent in the six months to December 31, from $353.3 million in 1HFY19. About 47 per cent of the result can be attributed to work in the gold sector, followed by 24 per cent in iron ore and 11 per cent in nickel.

Its underlying earnings grew by 18 per cent to $69.6 million while net profit was up 7 per cent to $19.4 million.

That figure is expected to grow, with MACA recently completing its acquisition of Downer's Mining West division, which is expected to contribute $400 million in revenue and $25 million in earnings each year.

The $200 million deal, completed at the start of the month, included contracted work on Fortescue Metals Group’s Eliwana iron ore mine in the Pilbara and on the Gruyere joint venture in the Goldfields-Esperance region, operated by Gold Field and Gold Road Resources.

Mining West now accounts for $900 million of MACA's work in hand position, which stands at $3.3 billion.

The Welshpool-based business has declared an interim dividend of 2.5 cents per share, up from 2 cents a year earlier.

MACA was trading 2 per cent higher at 2:46pm AEDT to $1.30.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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