Story image

Mainfreight forecasts annual profit hike, pays tribute to Rowlands

19 Mar 15

Mainfreight expects annual profit to rise as much as 7.1 percent on revenues in excess of $2 billion as it pays tribute to one of the business leaders who helped it evolve from a company with one truck.

The Auckland-based transport and logistics group said profit excluding abnormal items will be in a range of $80 million to $83 million in the year ending March 31, up between 3.2 per cent and 7.1 percent, it said. Annual earnings before interest, tax, depreciation and amortisation will be between $156 million and $160 million, up between 4.6 per cent to 7.2 percent, it said. The result will be released May 27.

When reporting its first-half earnings, the company signalled annual revenue in excess of $2 billion and it said today the number will between $2 billion and $2.05 billion, a rise of between 3.9 per cent and 6.5 percent on a year earlier.

"We retain a positive outlook across the group for the 2016 financial year," the company said.

Earnings before one-time items and foreign exchange movements rose about 17 percent to $33.7 million in the six months ended Sept. 30 when sales rose 3.6 percent to $987 million.

The global logistics company founded by Bruce Plested with one truck 35 years ago also took the opportunity to pay tribute to its original chairman Don Rowlands, who died on Thursday.

Rowlands was Mainfreight chairman from 1978 to 1989, and continued as a director until 2011.

"His contribution to the company's success and culture are a legacy that will endure, and he will be remembered by us with much affection and gratitude," managing director Don Braid said.

Rowlands was appointed as a knight companion of the New Zealand Order of Merit in 2014 just a month after becoming one of the few New Zealanders appointed to the Order of Australia.

He was honoured for his contribution to rowing and to business and at the time kiwi athlete Peter Snell said Rowlands worked by helping to empower others and his achievements had flown under the radar because of his humble attitude.

"In my opinion [Don] is peerless as an administrator and no other champion athlete has matched his successful business career," Snell said.

Soul Machines' virtual humans go mainstream
An Auckland AI firm renowned for its work creating ‘digital humans’ is now unleashing its creativity to the wider market.
Hands-on review: The Logitech R500 laser presentation remote
With a clever ergonomic design, you’ll never have to glance at the device, unless you deliberately look to use the built-in laser pointer to emphasise your presentation.
GCSB welcomes Inspector-General's report on intelligence warrants
Intelligence warrants can include surveillance, private communications interception, searches of physical places and things, and the seizure of communications, information and things.
Lightning Lab accelerator delves into tourism
“It’s great to see the tourism sector taking a proactive and collaborative approach to innovation."
Apax Partners wins bidding war for Trade Me buyout
“We’re confident Trade Me would have a successful standalone future," says Trade Me chairman David Kirk
Verifi takes spot in Deloitte Asia Pacific Fast 500
"An increasing amount of companies captured by New Zealand’s Anti-Money laundering legislation are realising that an electronic identity verification solution can streamline their customer onboarding."
Homegrown stress relief app to be launched next year
Researchers at the University of Auckland and an Auckland-based creative agency are working together to create a ‘world first’ app that they believe will help with stress relief.
How blockchain will impact NZ’s economy
Distributed ledgers and blockchain are anticipated to provide a positive uplift to New Zealand’s economy.