Shares in infrastructure services consultancy Cardno Limited rose more than 3% yesterday after the company revealed a record net profit after tax of $37.60 million, up 10% for the June 30 year.
The company told the ASX that dividends were being lifted a high 29c a share, with the payment of a 15c a share final.
The full year payout is up from the 27.2c a share paid for the 2009 financial year.
Cardno shares rose 10c, or 2.6%, to $3.95.
Revenue was $477.24 million, which was down from revenues of $514 million in 2009, with the company blaming most of the fall on the stronger Australian dollar in 2010.
The company said this was "the sixth consecutive year of record profit and earnings per share growth since listing in 2004 with total shareholder return in this period of over 400%".
Managing Director Mr Andrew Buckley noted that the company’s second half performance was stronger than the first half as expected, reflecting the impact of improving market conditions and the benefit of acquisitions undertaken in recent months.
"Our markets continue to improve," Mr Buckley said.
"Cardno traditionally achieved organic growth of 7% to 9% before the global financial crisis.
"With the strong performance of recent major acquisitions and a return to organic growth, the company is well positioned for 2011", he added.
And with all these mining and other developments, the workers have to stay somewhere, whether it’s in the development phase or when mining commences.
Mining accommodation and services provider The Mac Services Group is a major operator in the resources area and yesterday it revealed 16% rise in full year profit and forecast further growth over the next two years.
In fact Mac describes itself as "Australia’s largest mining accommodation and services company".
Mac said net profit for the year to June 30 was $27.5 million, up from $23.7 million in the previous corresponding period.
A fully franked final dividend of 4.75c per share was declared, taking the full year dividend to 9.25c, up from 8.5c in the previous year.
"Bookings at all of the Mac’s villages remain strong and the additional contracted rooms to be installed in the Bowen Basin villages through (financial 2011) will deliver revenue and profit growth through the second half of (financial 2011) and into (financial 2012)," the company said in a statement on Tuesday.
"The Mac expects the next two years will be a period of continuing growth."
Annual profit growth came on a 6% cent rise in revenue (to $113.5 million), reflecting cost control and careful capital allocation through the downturn, chief executive Mark Maloney said.
"This result provides a solid base to continue to grow earnings as we roll out our expansion plans through the current year," he said.
"Contracts were recently confirmed for an additional 1,050 new rooms to be installed at The MAC’s Bowen Basin villages during FY11. Of those, 400 remain subject to DA approval.
"Three major contracts were renewed for a total of 2,050 rooms at The MAC’s villages in Moranbah, Dysart and Nebo, further improving the contracted forward revenue profile."
Growth plans include potential village sites in the NSW Hunter valley region and in Queensland’s Surat Basin to service the liquefied natural gas (LNG) industry, Mac said.
The company said that the increase in its banking facilities from $100 million to $125 million will provide flexibility for a $60 million capital expenditure program planned for the current financial year.
Based on the reported net profit of $27.5 million and sales of $113.5 million, Mac has a fat net margin of just over 24c in every dollar of revenue.
The company’s shares rose in early trading, but settled back to be off 6c at $2.71 at the close.
