Logistics group Qube, currently slated for acquisition by Macquarie Asset Management in an $11.7 billion transaction, has reported a significant surge in interim net profits. The company announced a doubling of net profits to $212.6 million. This substantial increase was primarily driven by the sale of land holdings in Beveridge, Victoria.
Qube operates in two main divisions: logistics and infrastructure, and ports and bulk. Earnings within Qube’s logistics and infrastructure business, encompassing grain and automotive terminals, demonstrated robust growth, climbing 22 per cent to $158.9 million. However, the ports and bulk division, responsible for handling timber and commodities, experienced a slight downturn, with earnings decreasing by 5 per cent to $90.6 million. Qube attributed this dip to a slowdown in wind farm activity in Queensland, which reduced the demand for heavy lifting services. Qube is an Australian logistics and infrastructure company that facilitates the import and export of goods. It also owns 50% of Patrick, a stevedore that operates container terminals around Australia.
Stevedore Patrick, in which Qube holds a 50 per cent stake, reported a 9 per cent increase in earnings, reaching $216.8 million. This growth was attributed to increased handling volumes and a rise in fees charged to transport groups utilising its terminals.
In light of its strong performance, Qube has declared an interim dividend of 5.35¢ per share, marking a 30 per cent increase compared to the previous year. The company’s underlying net profit also experienced a 10 per cent rise, reaching $157.5 million. Looking ahead, Qube anticipates that underlying earnings will continue to grow, projecting an increase of 6 to 10 per cent for the full year compared to the prior year.
