Engineering contractor RCR Tomlinson has reported a big boost in profits for the half-year, propelled by a near doubling in revenue as the company increases its stake in the renewable energy sector.
RCR recorded profit of $16.3 million for the period, up 63 per cent from last year, with $940.1 million in revenue, compared with $471 million in 2017.
The company said it had been successful in the renewable energy sector during the past year and had secured over 850 megawatts of renewable energy projects.
Earnings for the period increased from $25.2 million last year to $32.8 million in 2018 while operating cash flow was $48.7 million.
“RCR has delivered record revenues and earnings growth, whilst investing in growing our renewable energy and rail businesses,” managing director Paul Dalgleish said
“Our cash flows have improved significantly over the past year, and combined with our successful capital raising, we now have a record $84.7 million in net cash.
“Over the past six months we have secured a number of large contract wins valued at over $800 million, which is partly a result of the conversion of a number of preferred contractor positions into orders.
“Pleasingly, we have added a number of new opportunities to further grow our strong pipeline of preferred contractor status to $2 billion.”
Profit after accounting for losses from discontinued operations was $9.7 million, up nearly 8 per cent.
Shares in RCR finished up 9.6 per cent at $4.00.
