Aurizon (ASX:AZJ) earnings up 1% amid Covid-19 pandemic

Company News

by Lauren Evans

Aurizon (ASX:AZJ) reports earnings before interest, tax, depreciation and amortisation (EBITDA) of $1,482 million for the period ending 30 Jun 2021 (FY21), 1 per cent higher than the prior year.

The freight rail transport company notes key drivers for FY21 results, including above-rail coal tonnages down 6 per cent as a result of lower end-market demand driven by covid-19 disruptions and China import restrictions. 

Bulk business EBITDA was up 27 per cent from the prior year, driven by new contracts and higher volumes from existing customers.

Final dividend of 14.4 cents per share, 70 per cent franked, increased by 5 per cent from the prior year.

Free cashflow increased by 1 per cent to $734 million and net profit after tax was $533 million, compared to $531 million in the prior year.

Aurizon managing director & CEO Andrew Harding said, "we expect coal volume growth of around 5 per cent in FY2022, as markets recover and with Australian coal successfully redirected into alternative markets." 

Shares in Aurizon (ASX:AZJ) are trading 0.3 per cent higher at $4.07.

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