GUD first half profit falls 21%
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Household appliances and cleaning products supplier GUD Holdings says it is in a strong financial position although most of the sectors in which it trades remain highly competitive.
GUD on Tuesday booked a net profit for the first half of the 2012/13 financial year of $18.19 million, down 21 per cent on the the prior corresponding period.
The result included $3.6 million in integration and restructuring costs for the Dexion Commercial business.
Its underlying net profit was 8.7 per cent lower at $21.7 million.
Revenue for the six months to December 31, 2012 was up 0.2 per cent at $311.78 million.
The company declared an interim dividend of 26 cents per share, fully franked, compared to 30 cents in the prior corresponding period.
GUD will also pay a previously-announced special dividend of 10 cents per share, fully franked.
"We expect that trading conditions across most of the sectors we operate in will remain highly competitive," GUD managing director Ian Campbell said in a statement.
"GUD remains in a strong financial position and continues to seek acquisition opportunities to drive future growth.
"Our intention is to pay a further 10 cents-per-share special dividend in conjunction with our full year result, Mr Campbell said.
Mr Campbell said GUD's consumer business would remain under pressure in the second half of the financial year.
But new strategic initiatives were expected to strengthen the financial performance of the Sunbeam Brand.
GUD's industrial and water businesses were expected to perform better, and the a continued solid performance was expected from the Ryco and Wesfil businesses.
Shares in GUD were nine cents lower at $8.30 at 1242 AEDT.