Fletcher Building today announced record results for the year ended 30 June 2005. Net profit after tax and minority interests was $330 million, compared to $240 million in the previous year. There were no unusual items in the latest result.
Fletcher Building achieved operating earnings, that is earnings before interest and tax of $596 million – up 30 percent on the 2004 year. The result reflected continued strong demand, along with the benefits of acquisitions and ongoing productivity improvements.
The lift in earnings enabled a further increase in dividends – from a total 25 cents per share in the previous year to 32 cents per share. Total shareholder return was 61 percent for the 12 months ended 30 June 2005.
All divisions lifted their operating earnings for the fourth successive year. Building Products’ earnings before interest and tax were $222 million (previously $164 million), Distribution $81 million (previously $73 million), Infrastructure $196 million (previously $136 million) and Laminates & Panels $103 million (previously $95 million).
The Chief Executive Officer, Mr Ralph Waters, said the results reflected continuing benefits from the reshaping of Fletcher Building undertaken over recent years. “Acquisitions and internal performance improvements have been key contributions to the latest year’s earnings growth” he said. “The Amatek group of companies acquired during the year contributed $30 million of operating earnings.”
Mr Waters noted that the changes in Fletcher Building’s business profile had reduced the extent of its reliance on the new housing market in New Zealand, increasing its revenue from Australia and from the infrastructure sector. “These changes, along with the internal improvements, should stand the group in good stead during the current year,” he said.
Results highlights:
- Operating earnings up 30 percent to $596 million.
- Group net earnings up 38 percent to $330 million.
- Total dividend for the year of 32 cents per share.
- Cashflow from operations up from $424 million to $479 million.
- Interest cover up from 7.8 times to 9.6 times.
- Basic earnings per share up from 55.7 cents to 73.8 cents.
- Economic value added of $190 million.
Contact:
Ralph Waters
Chief Executive Officer
Phone: +64 9 525 9169
Fax: +61 9 525 9032
Bill Roest
Chief Financial Officer
Phone: +64 9 525 9165
Fax: +64 9 525 9032