Freightways profit gains 1% on rising costs

Freightways profit gains 1%, trimmed by rising costs

Feb. 16 – Freightways Ltd., a transport and logistics company, posted a 1% rise in half-year profit as a gain in sales was offset by increasing costs.

Net profit rose to NZ$16.9 million for the six months ended Dec. 31, from NZ$16.8 million in the same period a year earlier, the company said in a statement. Operating revenue rose 9.6% to NZ$177.4 million while operating expenses rose 11% to NZ$141.3 million. Earnings before interest, tax, depreciation and amortisation rose 0.6% to NZ$31.5 million.

“In a challenging operating environment, Freightways has delivered a sound result,” the company said in a statement. “Corporate costs have increased year on year, primarily to assist and support our Australian expansion.”

The company’s directors declared a reduced dividend of 8 N.Z. cents per share from 9.5 cents per share last year. The company’s stock fell 0.6% to NZ$3.10.

(Businesswire)

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