LOGISTICS provider Qube has delivered another positive result with FY19 earnings growth across all divisions and net profit after tax up 15.4% to $123.2m.
Other results included underlying revenue growth of 4.7% to $1.73bn and full-year dividend of 6.7 cents per share fully franked.
Highlights for the period included a strong market positions and diversification strategy that enabled Qube to continue to achieve solid earnings growth and deliver on guidance despite challenges in some parts of the business.
Patrick delivered a solid increase in earnings supported by market growth, increased market share and productivity improvements.
“In the face of some strong economic headwinds, this is a pleasing result. Qube’s diversification strategy has protected the business from a slowing economy and helped deliver our continued good performance,” Qube managing director Maurice James said.
Throughout 2019 management focused on growing market share, defending margins in a competitive environment while maintaining tight control of costs across the business units.
All business units in the operating division, logistics, ports and bulk delivered growth despite operating in competitive markets, the effects of drought, declines in new car sales (and imports), a slowdown in container volume growth, tight operating margins and a decline in some commodities in the period.
“We continue to see further growth opportunities (through both organic growth and acquisitions) across a range of activities that fit our core strategy,” the company said.
The logistics operations generated revenue of approximately $711.3m which was marginally lower than the prior period. The result was considered to be satisfactory given the low agricultural volumes, slowing of container volumes, competitive conditions and the end of the terminal services contract with Aurizon at North Dynon (VIC) during FY18 and Acacia Ridge (QLD) in November 2018.