The annual profit of print company Blue Star Print Group (BSPG) fell nearly 18 per cent to $7 million, despite a 10 per cent rise in revenue.
Blue Star, once part of Graeme Hart's investment portfolio and subsequently bought by private equity, said it expected cost and marginpressures to increase over the coming year.
"Notwithstanding this, BSPG expects to achieve acceptable financial performance due to the anticipated benefits of new revenue initiatives, together with benefits from an ongoing focus on production cost and productivity," the company said.
Revenue was $434.8 million for the year ended June and earnings before interest, tax, depreciation and amortisation were steady at $52.8 million, excluding restructuring, bond issue and management costs from the previous year.
Net debt at the end of June was $176.6 million and total equity was $27 million. Total assets as at June 2007 were $307.3 million.
Blue Star completed $54.7 million worth of asset sales during the year, of which $28.7 million was used to repay debt.
Blue Star is 84 per cent owned by funds advised by CHAMP Private Equity, with senior management and managing director Tom Sturgess holding the remainder.
