TNT profit falls in second half

Press, 27 September 1982, Page 26

TNT profit falls in second half

PA Sydney Despite a downturn in the second half, Thomas Nationwide Transport, Ltd, increased profit 17.9 per cent to a record sAust 62.6 million for the year to June 30, the directors reported. The group also topped sAustlooo million in revenue for the first time.

Turnover rose 29.9 per cent to $1250 million.

The directors said that although revenue and profit had again reached record levels, the over-all growth in group earnings had been achieved in the first half, when profit had increased 56.7 per cent to sAust4o.6 million.

They said the second half, which saw earnings slide 19.1 per cent to $22 million had reflected the downturn in economic conditions, which had been felt by the group quite severely in the final months of the year.

The directors said improved results had been recorded in isolated instances, $lOO. million after a one-for-five cash issue at 50c par. a one-for-10 bonus issue, a one-for-30 cash issue at 50c par to 1983 noteholders and allotments on the exercise of rights by' convertible note-

holders and a 1990 bondholder.

The group’s tax bill eased to $19.1 million from $33.6 million, interest charges jumped to $43.6 million from $27.8 million and depreciation was higher at $25.8 million, compared with $23.1 million previously.

TNT also recorded a $5.9 million extraordinary loss, mainly from exploration expenditure write-off. Earnings a share declined to 31.3 c from 36.3 c and net tangible asset backing fell to 118 c a share from 128 c. The .directors said the profit outlook for 1982-83 was uncertain. ? ? ?

They said that after additional trading experience, a review of prospects would be given at the annual meeting in November.

mainly in some specialist activities.

Results from traditional Australian activities were lower.'.

Ansett Transport Industries, Ltd, had increased its contribution to group profits in a-year of intense competition.?for market share of airline traffic. ■;

‘’The..’: sharp economic downturn: in. the second half resulted In a significant de-

crease in air travel,” the directors said.

They said revenue and profit from New Zealand activities had been satisfactory Respite a continuing low level in economic activity. Among other, subsidiaries. TNT Bulkships, Ltd, reported a record result for the third consecutive year. Annual dividend has been held at 12c a share after an interim of 9c and a final ol 3c, payable on September 24. During the year, paid-up capital was increased by about $26.9 million to about