Southern Cross Electrical Engineering has posted a net loss for the year to June 2011, though the company says it has already moved on from the poor results it recorded in the first half of the year.
The contractor reported a statutory net loss of $1.7 million, compared with a profit of $8.7 million in the prior year.
The loss occurred despite a 4.5 per cent lift in annual sales revenue to $101.8 million.
The company said the loss was due to “a combination of competitive pressures and some challenging projects, particularly in the first half of FY 2011”.
It added that margins and earnings improved during the year, with a first-half loss of $4.8 million and a second-half profit of $3.1 million.
“The margin improvement coincides with a successful completion and commercial resolution of the Pluto project,” the company said in a statement.
Managing director Simon High said he anticipated increased revenue and better margins, as historic contracts unwind.
“Our order book is a lead indicator of future performance and it currently stands at around $75 million, up $48 million compared to 30 June 2010.”
