KEY POINTS:
Casual labour company Allied Work Force reported a 30.5 per cent increase in first-half net profit to $1.2 million, as the group focused on protecting margins and managing costs.
Revenue from ordinary activities for the six months to the end of September was $39.8 million, a 5.2 per cent increase on the corresponding period last year.
The latest period had been difficult, with fluctuating business confidence, a wet winter and the general meltdown of key areas of the construction sector, Allied said.
Managing director Simon Hull said investments in systems and the transport fleet had continued.
While regional branch profitability had shown satisfactory improvement across the board, the current business climate was increasingly difficult.
The company, which has a network of 28 branches, said that at the end of the period it had more than $4 million in cash and no debt. Full provisioning for bad debts had been made.
"In the current economic environment the board continues to tread with caution, however several acquisition or expansion opportunities have been considered but are not proceeding at this stage."
An interim dividend of 3.5c per share was announced, up from 2.8cps a year ago.
Allied Work Force shares closed up 12c at 62c, down from a year high of $1.10.
- NZPA
