Nomad Building Solutions says its turnaround plan is on track, after narrowing its loss substantially during the second half of financial year 2011.
Nomad reported a net loss of $20.1 million for the year to June 30, on revenue of $175.1 million.
In FY2010 Nomad reported a loss of $63 million, on revenue of around $215 million.
Around $18.7 million of the FY2011 loss was attributed in the first half, while the company lost $1.4 million over the second half of the year.
The loss included a $10.1 million writedown in the carrying value of its subsidiary, Rapley Wilkinson, and provisioning for Gorgon and other legacy contracts totalling $8.2 million.
Nomad said the majority of the issues on the Gorgon contract related to significant and late design changes requested by the Thiess Decmil Kentz joint venture.
The company said the outlook for the new financial year was for more improvement in its bottom line.
“Nomad operates in a sector that will continue to benefit from a major sustained period of growth in remote and regional construction activity levels over the enext few years,” Nomad said in a statement.
“The company has made good progress with its turnaround program and the resulting improvement in performance provides a sound platform for the expected continued improvement in the company’s financial results in 2011/12.”
At close of trade today Nomad’s stock had dropped 4 per cent, to 11.5 cents.
