Perth mining services company Viento Group has foreshadowed strong growth in revenue and underlying earnings in the current financial year following a series of acquisitions.
Viento predicts revenue for the year to 30 June 2014 to be in the range of $100 to $105 million, an $80 million increase on last year's performance, with earnings before interest, tax, depreciation and amortization (EBITDA) expected to be in the range of $10 to $12 million.
The company recorded $24 million in revenue over the 2013 financial year, and an EBITDA loss of $1.7 million.
The company said the acquisitions of HVLV and Power Infrastructure Services, along with internal growth of existing businesses have contributed to the strong increase in financial performance.
“The result demonstrates early success in the board’s decision to create a diversified earnings base for the company, which the board expects will continue to produce further growth in the new financial year,” Viento’s executive chairman Ray Munro said.
The estimated EBITDA figures exclude the amortisation of intangibles on acquisitions made during the year and any impairment of the fair value pf assets held on the balance sheet.
Viento specialises in civil contracting on rail embankments, access roads and general mine infrastructure projects, mine pre-stripping, contract mining and utility services to the oil and gas industries.
Viento’s share price rose by 14.3 per cent to 24 cents at 2:00pm WST.
