McAleese slumps 50% on earnings warning

Company News

Shares in McAleese Limited (ASX:MCS) slumped near 50 per cent yesterday after exiting an extended trading halt and warning its annual earnings will drop from prior guidance. 
 
The transport company expects earnings before interest, tax, depreciation and amortisation to decline to about $70 million and net debt is forecast to grow up to $165 million. 
 
McAleese has also advised it will recommence haulage services to iron ore miner Atlas Iron Limited (ASX:AGO) at its Abydos and Wodgina mines during May. 
 
McAleese says talks continue with Atlas and its other major contractors about the potential recommencement of the Mt Webber mine.  
 
McAleese reported a net profit of $52.53 million in the first half of the 2015 financial year.