ASX-listed UXC Group has posted mixed results for the half-year to December 31.
Pre-tax profit was down by 8 per cent to $11.8 million. But the company’s revenue was up 15 per cent to $380m and net profit was up 177 per cent to $3.2m. Closing cash total was $31.4m.
In a statement, the company said the results were impacted by losses and charges totalling $12.9m (after tax) within the company’s environmental sector, Field Solutions Group. The division provides outsourced infrastructure and environmental solutions to utilities and government sectors.
In the statement, UXC attributed the decline to changing market conditions, falling commodity prices in the renewable energy markets, unilateral and abrupt changes to government policy as well as the funding of programs in the environment space.
“Our response has been swift and is designed to return to profitable trading in the second half,” executive chairman, Geoff Lord said. “We have reduced our cost base quickly.”
The company’s Business and Professional Solutions Group, meanwhile, hit a record pre-tax profit of $19m for the first half. The company is aiming to reach $750m in full-year revenues.
In July, UXC scored an $80m deal with CitiPower and Powercor to install smart meters across the electricity networks in Victoria.
In September, the company recorded a profit drop to $18.85 million from the previous year.