28/08/2009 - 10:36

RCR profits fall 22% amid record sales

28/08/2009 - 10:36

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Engineering services provider RCR Tomlinson has posted a profit of $13.95 million for the year to June 30, falling 22 per cent on last year's $17.9 million despite its sixth consecutive year of record sales.

Engineering services provider RCR Tomlinson has posted a profit of $13.95 million for the year to June 30, falling 22 per cent on last year's $17.9 million despite its sixth consecutive year of record sales.

The company generated $589 million in revenue, up 14 per cent on last year's figure of $518 million, however the company said profitability was impacted by margin constriction and assisted by research and development tax credits.

Looking forward the company's order book istans at $245 million, up 44 per cent on last year's $170 million.

Earnings per share fell by 22 per cent, from 14.7 to 11.1 cents per share.

And the company cut its dividend from 5 cents last fiscal year to 2.5 cents per share in FY2009.

RCR chief executive, Paul Dalgleish said RCR is well positioned to take advantage of the major spending on gas and other resource projects.

"We have already seen an increase in activity in July and August and do not expect it to slow down in the remainder of this financial year," he said ion a statement.

"Considerable opportunity exists for RCR to improve our financial performance and deliver profitability to our shareholders from our strong revenue base. Our significant investment in financial systems will substantially assist achieving this target."

 

 

 

Announcement below:

 

RCR FULL YEAR RESULTS

- Revenue Increases 14% to $589M
- Net Profit After Tax $13.95M
- 2.5 cents Fully Franked Dividend Declared
- Order Book of $245M, up 44 % From PCP

Leading integrated engineering services provider, RCR Tomlinson Ltd (RCR), is pleased to announce its full year results for the financial year ended 30 June 2009. In the sixth consecutive year of record sales for RCR, net profit after tax was $13.95 million, down from $17.9 million last year. Profitability was impacted by margin constriction and assisted by research and development tax credits.

Commenting on the results, RCR Chief Executive Officer, Paul Dalgleish said:"RCR is well positioned to take advantage of the major spending on gas and other resource projects. We have already seen an increase in activity in July and August and do not expect it to slow down in the remainder of this financial year.

"Considerable opportunity exists for RCR to improve our financial performance and deliver profitability to our shareholders from our strong revenue base. Our significant investment in financial systems will substantially assist achieving this target."

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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