Transpacific Industries $42m Profit 1H2013

Waste management company Transpacific Industries Group (ASX:TPI) have announced its first half financial results to its shareholders and investors on the Australian stock market.

• Transpacific Industries Group posted a first half net profit of $42 million, up from $16.5 million in the previous corresponding period.
• TPI underlying net profit up to $35.8 million from $25.2 million.
• Transpacific revenues increased from $1.12 billion to $1.16 billion.
• Transpacific Industries will retrench 200 employees to cut costs, saving $15 million for the full year.
• The company has also divested properties and its Australian and New Zealand metals manufacturing businesses, raising $10 million.
• Revenues were impacted with Australian landfill volumes down 24 percent, with NSW down 55 percent.
• Transpacific chief executive Kevin Campbell said, "The operational performance of our waste management businesses is disappointing and we need to improve our performance markedly. We are taking concrete actions to improve efficiency, lower operating costs, sell or close unprofitable or uneconomic businesses, and generate organic growth."
• Transpacific Industries is paying down debt by $10 million a month, aiming to cut its interest by $25 million over the financial year to June. The company will sell more assets to achieve its target.
• Transpacific did not declare an interim dividend.