Toll Holdings's half year net profit falls 16pc

AUSTRALIA's Toll Holdings Limited has posted a profit after tax for the six month period ending December 31, but before the Footwork re-measurement charge of A$37.4 million, of A$147.3 million (US$131.08 million), a 16 per cent decrease over the previous corresponding period when profit after tax amounted to A$176.3 million.

Toll, a leading transport and logistics provider in Asia, suffered a six per cent decline in consolidated revenue to A$3,305 million during the reporting period, as its "major customers traded down on the previous year," a company statement said.

EBIT for the six-month period declined 16 per cent year on year to A$224 million.

"This has been one of the toughest trading environments for the logistics sector in many years," said Toll Group managing director Paul Little in a statement to the Australian Stock Exchange.

"Much of the revenue shortfall generated a disproportionate impact on EBIT as our key express networks were unable to completely defray the impact of revenue shrinkage," he said.

But results also show that "revenue has recovered from the lows of the first quarter, and that the company expects this trend to continue over the remainder of the year," the release said.

"Whilst some of Toll's businesses fell short of their half-year targets, volumes now appear to be improving and the company is well placed to take advantage of anticipated more buoyant economic levels," Mr Little said.

Source: www.schednet.com