Macmahon boosts interim profit and dividend

CONTRACTOR Macmahon has reported a statutory profit of A$45 million for the first half of the 2021 financial year, with an interim dividend of 0.3c per share to be paid to shareholders.
Macmahon boosts interim profit and dividend Macmahon boosts interim profit and dividend Macmahon boosts interim profit and dividend Macmahon boosts interim profit and dividend Macmahon boosts interim profit and dividend

Staff reporter

The dividend, which equates to more than $6 million, is up from 0.25c 12 months ago with the net profit result a 56% increase.

However, underlying earnings were only up 5% to $46.5 million, while guidance for the full year remains unchanged at $90-100 million.

Macmahon said it has continued to maintain a strong balance sheet, with gearing of 20%, cash on hand of $148.4 million, and net debt of $129 million - as at December 31.

Macmahon increased and extended its debt facilities during the period to $170 million from $75 million.

"As a result, the company is well placed to fund growth opportunities with cash and unutilised facilities of $255 million," the contractor said.

Macmahon has an order book standing at more than $4 billion.

Shares in Macmahon were down slightly to 23.5c in late trade, capitalising the company at about $506 million.