Transpacific's H1 profit soars

Gains made on commercial vehicles divestment buoys H1 profit by more than 300%.

Transpacific Industries Group (TPI) says trading conditions in the second half will be largely similar to the those experienced in the first, after posting a sharp lift in half-year profit, buoyed by gains made on the divestment of its commercial vehicles group.

In the six months to December 31, Transpacific posted a net profit of $158.6 million, a 391% increase on the $32.3 million recorded in the previous corresponding period.

Transpacific said its profit result included a number of significant items totalling $116.9 million, with the major component being a gain on the sale of its commercial vehicles group in August last year.

Underlying net profit was $41.7 million, which still represents a 16.5% increase on the previous corresponding period.

In the same period, revenue was $726.9 million, a 5.1% decline on the $766.1 posted in the first half of the previous year.

The group declined to pay a dividend, saying it had previously agreed to certain restrictions on the payment of dividends with its sydnicate banks and US private placement note holders.