Opus International Consultants, the engineering firm with one of four mandates to lead design the Christchurch rebuild, reported a 2.6 per cent decline in annual profit as it dealt with rising interest costs and a bigger tax bill, and trimmed its dividend payment while taking on more debt in the year.
Net profit fell to $22.8 million, or 15 cents per share, in the 12 months ended Dec. 31, from $23.4 million, or 16 cents, a year earlier, the Wellington-based company said in a statement. Opus's interest costs rose 28 per cent to $3.7 million in the year, while its tax expense climbed 36 per cent to $10.2 million. Revenue rose 12 per cent to $462.9 million.
Earnings before interest and tax gained 14 per cent to $34.3 million, ahead of First NZ Capital's forecast EBIT of $31.8 million.
"Despite ongoing constraints on local government spending, business confidence is rising sharply and indicators point to a range of opportunities in the marketplace," chief executive David Prentice said. "We need to be nimble and astute to ensure we realise these while also driving continuous, improvement in all aspects of the business."
The board declared a final dividend of 3.9 cents per share, payable on April 1 with a record date of March 18, down from 4.9 cents a year earlier. That takes the annual return to 7.9 cents, below First NZ's forecast of a 9-cents-per-share dividend.
