Dividends back at NRW

GROWING resource sector and infrastructure contractor NRW Holdings will reinstate dividends after confirming strong expectations for the year ahead and a 48% increase in net profit after tax to A$42.2 million.
Dividends back at NRW Dividends back at NRW Dividends back at NRW Dividends back at NRW Dividends back at NRW

NRW expects to continue trucking along well in 2019

The final dividend of 2c per share comes with the company having cash holdings of $59 million after earnings in the recently completed financial year increased from $59 million a year earlier to $93.5 million.

The earnings came from a top line totalling $754.3 million, with NRW expecting that to increase to about $1.1 billion in the current financial year.

NRW said $950 million had already been secured with the "tender pipeline" standing at around $6 billion and the company expecting "improving activity levels" in both its targeted sectors for the next five years.

Following repayments totalling $31.3 million net debt at June 30 stood at $34.4 million, giving the company a gearing ratio of 12.6%.

Shares in NRW rose 6% to $1.80 in early trade, capitalising the company at nearly $670 million.

The stock has gained around 70-80% over the past year.