Aust sorties bring profit

Nuplex Industries' annual profit has risen sharply after a bold move into Australia and a rise in local market share.

The resin manufacturer reported an after-tax profit of $16.7 million for the year ended June 30, 2000, up from $11.6 million last year.

Nuplex chairman Fred Holland said three big Australian purchases had shown early success.

"We haven't felt the full effect of them yet, but they've helped us build a platform for growth in Australia."

Nuplex lifted sales by 22 per cent to $382 million, but Mr Holland said increases in petrochemical prices on the back of crude oil rises were affecting the company. Price rises had been necessary to hold profitability.

Nuplex's construction products business rose by 17 per cent during the year, and despite a projected slump in building Mr Holland said retail sector building was still a strong source of revenue.