Kordia has posted a normalised profit of $2.2 million for the first half of its 2013 financial year, ending on December 31.
This compares with a profit of $7.3 million for the first half of the previous financial year, but last year's result included the results of a dispute settlement with Telecom, Kordia CEO Geoff Hunt says.
Normalised trading revenue for the 2013 first half year was up 10.5 percent at $207.6 million, against a Statement of Corporate Intent target of $197 million. Normalised profit after tax for 2013 is in line with the previous year's figure.
Hunt says that net debt has increased by $9.4 million from December 2011 to $75.3 million, driven primarily by a demand on working capital from Kordia Solutions Australia. Gearing is up 4 percent to 46 percent.
He says revenue for the six months from Kordia Solutions Australia exceeded revenue for the same period last year.
“There is a record amount of investment in telecommunications infrastructure projects for key customers planned over the next 18 months,” says Hunt. “This indicates a solid longer term outlook for Kordia Solutions Australia.”
In 2012 Kordia posted a full-year net profit of $12.1 million on revenue of $399 million.
Hunt steps down as Kordia Group CEO in March after eight years at the helm. When Hunt leaves, the heads of the New Zealand and Australian operations (Scott Bartlett and Peter Robson, respectively) will report directly to the board along with the group CFO Shaun Rendell.