Perth-based mining service company Ausdrill has recorded a record annual profit for 2009, the company yesterday in a statement to the Australian Securities Exchange.
The company’s net profit of $40.25 million is a 14% increase over the same period last year, and follows a 30% rise in revenue to $509 million.
Ausdrill chairman Terry O’Conner said the company worked hard to achieve such positive results in a down market.
“We have been able to significantly reduce capital expenditure in the second half and focused on controlling costs,” he said.
“Ausdrill’s balance sheet remains strong, and the company is well positioned to fund further growth opportunities.”
The company said in the statement that it has a cash balance of $44.7 million, which it plans to use to fund further expansion.
News of the record profits comes after the 17 August announcement that Ausdrill’s proposed merger with Brandrill Limited.
“The board believes this industry consolidation is a natural fit and an exciting opportunity for both Ausdrill and Brandrill to deliver a diversified mining services group,” Ausdrill said.
“The two companies run complementary businesses and the potential synergies arising from the transaction are significant, particularly for Ausdrill’s manufacturing businesses.”