Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Freightways Continues Strong Growth Path For 3Q

7 May 2002

Freightways Continues Strong Growth Path For Third Quarter


Freightways Express Limited (Freightways) has continued its strong performance posting consolidated operating revenue for the nine months ended 31 March 2002, of $137.8 million - up 4% on the same period last year.

Company Chairman, Michael Butler, reports that earnings before Interest, Tax and Amortisation (EBITA) were $19.9 million compared to $17.4 million for the corresponding period last year, up 15%.

He says this reflects a strong performance across the entire group, delivering a $9.7 million consolidated profit after tax attributable to members, comfortably covering the preference share dividend obligations for the period of $3 million.

In accordance with an announcement to the New Zealand Stock Exchange made on 5 April 2002, Freightways paid a six-monthly preference share dividend of approximately 3.1 cents per share (fully imputed) on 30 April 2002.

The potential sale of Freightways by its parent company, AUSDOC Group Limited, has attracted a number of interested parties who participated in due diligence during February and March and submitted bids to AUSDOC for consideration. The outcome of the sale process will be communicated to shareholders when it becomes available.

Managing Director, Dean Bracewell, says the Q3 result continues Freightways’ outstanding performance as it approaches the end of the financial year. “I am confident that the success of robust company market strategies, the ongoing support and commitment of employees and contractors and our market position will enable ongoing strong financial performance,” he says.

“Freightways’ seasonal Christmas peak reported in its half year result was followed in this quarter by a further surge in volumes across its major businesses, including rising courier/express freight volumes from existing customers, ongoing efficiency improvements and cost containment, and an increase in market share.

“The positive New Zealand economy has underpinned the increased activity experienced by Freightways, as has the disciplined implementation of our growth strategies.”

The Courier/Express Freight and Business Mail operations experienced a 5% increase in revenue earnings to $126.2 million with EBITA figures rising 16% to $21.1 million over the prior year to March 2001.

Mr Bracewell expects Freightways to conclude the 2002 financial year on an “extremely positive note”. “We will continue to explore acquisition opportunities and act on these where appropriate,” he says. “We expect that the buoyant economic climate will enable increasing business opportunities to continue being developed with minimal impact on our cost structures.”

A continuation of sound earnings and dividends for Freightways’ shareholders is expected.


-ends-

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Half Full: Fonterra Raises Forecast Payout As Global Supply Shrinks

Fonterra Cooperative Group, the dairy processor which will announce annual earnings tomorrow, hiked its forecast payout to farmers by 50 cents per kilogram of milk solids as global supply continues to decline, helping prop up dairy prices. More>>

ALSO:

Results:

Meat Trade: Silver Fern Farms Gets Green Light For Shanghai Maling Deal

The government has given the green light for China's Shanghai Maling Aquarius to acquire half of Silver Fern Farms, New Zealand's biggest meat company, with ministers satisfied it will deliver "substantial and identifiable benefit". More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news