Welshpool-based mining services company NRW Holdings Ltd has forecast a profit growth of at least 15 per cent for the 2009 financial year, as it today reported a 137 per cent jump in full year net profit.
Statutory net profit, which included one-off costs associated with NRW's initial public offer and business development, reached $32.8 million, up from the previous year's $13.9 million.
Pro forma wise, net profit for more than doubled to $41.1 million while
The result was on the back of an 84 per cent rise in revenue of $471.2 million.
The results were above the forecasts given in the company's prospectus before it listed in September last year.
Out of its four divisions, the company's civil contracting arm was the standout player, achieving revenue of $336.8 million, up from $159 million from the previous year.
NRW said the division's growth continued to be driven by infrastructure demand from iron ore producers in the Pilbara.
Revenue for the mining services division reached $107.2 million, up from $77.8 million, while revenue for the sales and rental arm fell 26 per cent to $21.2 million due to a reduction in tyre sales.
The company's Action Mining Services Pty Ltd subsidiary, which provides equipment repairs, sandblasting and painting services, reported a revenue jump to $26.2 million, up from the previous year's $4.8 million.
Action Mining Services was acquired in the final quarter of 2007.
Looking forward, NRW said the mining and civil construction divisions are well positioned to take advantage of recent iron ore price hikes of between 9-12 per cent, and expects to capitalise on its push in Queensland.
NRW expects profit growth for fiscal 2009 to be at least 15-20 per cent.
