A stronger second half is expected after Steel & Tube's interim results for the beginning of the financial year presented a 85% drop in interim earnings.Today the company announced an interim after tax result of $3.2 million, down $17.6 million when c
A stronger second half is expected after Steel & Tube’s interim results for the beginning of the financial year presented a 85% drop in interim earnings.
Today the company announced an interim after tax result of $3.2 million, down $17.6 million when compared with the same period last year.
This was due to a 30.3% drop in revenue to $190.6 million. This was $83.1 million lower than the same period last year due to the effect of reduced demand and steel prices.
However, the company reported continued focus on inventory levels, debtors management and discretionary expenses resulted in a $27.3 million positive operating cash flow compared to a negative $8.8 million for the same period last year.
The net tangible assets per share at the end of December were $1.43 compared to $1.52 in 2008.
Steel & Tube has declared a fully imputed dividend of 3.5c per share to be paid on March 31 to a total of $3.1 million.
The company’s share price at noon was $2.80 (NZX: STU).
