(Alliance News) - Capital Ltd on Thursday reported a decrease in interim profit, but said the tender pipeline "remains buoyant" and raised its full-year revenue outlook.
Pretax profit in the six months to June 30 fell to USD15.1 million from USD24.3 million a year ago. This was despite revenue increasing 40% to USD138.1 million from USD98.7 million.
The mining services company posted a USD10.3 million loss on investments at fair value, turning from a gain of USD5.7 million a year prior. Administrative expenses widened to USD19.7 million from USD14.3 million while depreciation, amortisation and impairments widened to USD13.4 million from USD8.2 million.
Capital declared an interim dividend of 1.3 US cents per share, up from 1.2 US cents.
The company increased its revenue guidance for 2022 to between USD280 million and USD290 million from USD270 million to USD280 million seen previously. "Tendering activity across all business units remains robust, with a number of opportunities progressing," it explained.
Executive Chair Jamie Boyton said: "The underlying demand in the market continues to be encouraging, as is evident from the high utilisation rates the group delivered in the first half. While there will be some seasonal slowdown through the third quarter, the tender pipeline remains buoyant across drilling, mining and laboratories."
Capital shares were 0.5% higher at 96.44 pence each in London on Thursday.
By Tom Budszus; tombudszus@alliancenews.com
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Capital (CAPD)