Austal Ltd upgraded its full-year earnings guidance after flagging the non-cash recognition of research and development tax credits from prior years.
In a statement to the Australian Securities Exchange, Austal said it expects net profit after tax in the range of $35 million to $40 million, up from a previous target range of between $23 million and $26 million.
Austal also reaffirmed its full-year earnings before interest, tax, depreciation and amortisation (EBITDA) will be in the $65 million to $71 million range, which it said was exclusive of the impact of stock boats.
“While the tax benefit is a boost to our bottom line, it is simply the recognition of non-cash tax credits from prior years," chief executive Andrew Bellamy said.
"It is pleasing however that the operational improvements and efficiencies that management and staff have driven across our businesses have been sustained throughout the year.”