Mainfreight profit falls on tax charge

New Zealand transport group Mainfreight reported a 29 percent fall in full year profit as a one-off tax charge hit record earnings, reported Reuters.


Mainfreight reported a net profit for the year to March of US$20.6 million compared with $29.45 million a year earlier.
However, the result included a $13.67 million deferred tax charge on depreciation of buildings. Net profit before one-off charges rose 23 percent to $38.18 million.


The company has cargo handling businesses in New Zealand, Australia, Britain, the United States and China. In March, the company said it was buying Netherlands-based transport firm Wim Bosman Group for $156 million, giving it an entry into 14 European countries.


Mainfreight said with the Bosman acquisition it was positioned
for further growth, although its capital spending will also increase, but expected improved returns over the next two years.
(Source:http://www.cargonewsasia.com)