Mainfreight reports strong growth through 2014

Mainfreight has announced its financial results for the 12 months to March 2015. It reported that sales revenue increased by 6.8% to NZ$2.05bn. The company also recorded EBITDA of NZ$162.20m, an increase of 8.7% year-on-year. Accordingly the company’s margin stood at 7.91%.

Revenue saw increases across the board with a very strong performance in the company’s home markets of Australia and New Zealand, though the company stated that it was disappointed with growth in Australia which fell back in the second half of the year and was outperformed by the smaller New Zealand market. Mainfreight recorded a mixed year in the Americas with a strong first half performance followed by a poor second half from Mainfreight USA and equally a disappointing full year result from CaroTrans. However overall sales revenue in the Americas still rose by 16.1%.

In terms of revenue the company’s troubled business in Europe provided growth of 3.6% year-on-year. This improvement was largely attributable to renewed management focus on the company’s weaker sectors, better utilization of the existing network and the expansion of the network in France and Poland. The company also increased sales staff by some 30% to develop revenue.

Across all geographical segments EBITDA was improved on the prior year’s results. This includes European operations, which report EBITDA up 33.5% on prior year performance. In contrast to the total group, Europe’s second half EBITDA improved over the first half.