Nuplex profits ahead of target

Chemicals company Nuplex says that profits for the new financial year are ahead of target.

The increase in profits was largely a result of the company's recent Australian acquisitions, Nuplex chairman and chief executive Fred Holland told shareholders at the company's annual meeting in Auckland.

Nuplex last year made a number of transtasman buys, including a construction product operation and a polyester resin business acquired from Orica Australia and an emulsion business acquired from National Starch and Chemical. The Australian deals led to reduced operating costs and improved revenue as a percentage of sales, Mr Holland said.

In August, Nuplex said it had lifted its profit for the year to June 30 to $16.7 million from $11.7 million. Nuplex shares closed up 4c at $3.26 compared with $2.95 a year ago.

- NZPA