Coal producer Gloucester Coal Ltd
(ASX:GCL) has reported a 59% drop in earnings for the first half of fiscal 2010.
Net profit after tax for the six months to December 31, 2009 came to $18.1 million down from $44 million in the first half of fiscal 2009 on the back of a 24% decline in revenue to $103.7 million.
CEO Barry Tudor says the company is pleased to have achieved this result despite the volatile economic conditions.
Gloucester sold 914,000 tonnes of coal in the period, down from 921,000 tonnes in the same period a year ago.
Mr Tudor says although the sales price for its semi-hard coking coal fell by over 60% from last year, the company was able to maintain healthy volumes and solid margins.
Looking ahead Gloucester says its outlook remains positive, with the outlook for coking coal very strong.
In the 12 months to June 30, 2009 Gloucester Coal reported profit of $81.74 million.
