30 May 2017

Mainfreight reports record annual profit

12:23 pm on 30 May 2017

The country's biggest transport company, Mainfreight, has reported a record annual profit on the back of solid growth in freight volumes in its home markets and Europe.

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Mainfreight is New Zealand's largest transport company. Photo: Wikimedia Commons

The company's net profit rose 16 percent in the year ended March to $101.5 million compared with $87.6m last year.

Revenue was up 2 percent to $2.33bn.

"The momentum created in achieving this result is expected to continue throughout the new financial year," the company said in a statement.

It said strong economic growth with record immigration and tourism lifted its New Zealand earnings by more than 8 pecent, despite the disruption to road and rail freight caused by the Kaikōura earthquake.

Australian revenue grew by 6 percent as the company chased business and improved its service, while its European operations had 10 percent growth on improved volumes.

However, Mainfreight said the performance of its Asian and United States businesses was disappointing, as it was unable to counter falling volumes, and it had quit an unsuccessful warehouse operation in Hong Kong.

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