Mainfreight profit up 46pc for half-year

By CHRIS DANIELS

Transport and logistics company Mainfreight has announced a solid increase in interim profit, with its revenue up 16.7 per cent.

Profit at the company, which has been embroiled in an attempted takeover of fellow transport operator Owens, was up 46 per cent to $3.6 million for the six months to September 30.

Managing director Don Braid said the company was well-placed for growth in the rest of the year, and pre Christmas freight movements remained strong.

Revenue was up in all three divisions, namely domestic, logistics and the international business unit.

The only gloomy note came from its Australian international operations, which had poor import volumes during the first half of this year. Revenue from this part of the business fell to $67.9 million in the past six months from $73.6 million for the same half last year.

Braid said import volumes in Australia had picked up again and were expected to remain strong through to December.

Braid said opportunities for the Owens group were positive, and he remained committed to ensuring it became "a profitable and strong New Zealand transport business".

More details of what Mainfreight had done with the business would be disclosed when it issued Owens' half-year results on November 28.

Mainfreight's takeover of Owens Group was stymied by the last-minute acquisition of a 12 per cent blocking stake by Australian logistics company Toll Holdings.

In March, Braid said that to compete against larger operators, Mainfreight must move into bigger markets.