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Johannesburg - Engineering and construction company Stefanutti Stocks on Wednesday reported a 22% increase in first half diluted headline earnings per share to 103.66c from 85.08 cents a year ago.
The company declared an interim dividend of 25 cents a share.
Revenue for the six months to end August 2009 rose 56% to R4bn from R2.6bn previously, operating profit was up 46% to R257.1m from R176.3m while net profit after tax increased by 39% to R198.1m from R142.7m in the comparative period.
Earnings per share grew by 25% to 111.94 cents from last year's 89.77 cents and headline earnings of R195m for the period translated into HEPS of 111.17 cents against 90.42 cents last year.
Looking ahead the company said the next six months were expected to remain challenging due to continued project funding constraints and lower tender margins.
"Securing new contracts in the 2011 financial year is projected to be far tougher than previously. However, Stefanutti Stocks is strongly positioned to benefit from infrastructure spend and anticipated growth in the power generation and mining sectors," the company said.
It added that it sees particular opportunities within the municipal services environment including waste management, sanitation and water purification as well as in the pipeline, rail construction and renewable energy arena.
Geographic expansion remains a focus with an emphasis on bolstering the group's construction operations throughout Africa as well as in the Middle East.
Stefanutti Stocks' order book stood at R6.6bn at the end of the period.
- I-Net Bridge
