FLY-IN FLY-OUT PROFITS SOAR ON NEW CONTRACTS
Written on the 23 August 2012
A FLURRY of new contracts and growth in the mining sector has produced favourable conditions for fly-in fly-out (FIFO) transport operators.
ASX-listed Alliance Aviation Services (AQZ) has reported a 43 per cent jump in net profit after tax to $19.1 million for the 2012 financial year. The result was 6 per cent higher than forecast during AQZ’s initial public offering last year.
Managing director Scott McMillan (pictured) credits strong charter and wet-leasing performance for the positive outcome.
“The 2012 year has been one of transformation and delivery for the group,” he says.
Revenue was up 44 per cent to $184.2 million and on-time performance was an above-industry-average 92 per cent for FY12.
The Australian Mines and Metals Association (AMMA) suggests AQZ’s growth reflects “flow-on effects” of increased mining, gas and construction activity.
“Many Brisbane-based companies are benefiting from increased investment in Queensland’s resources industry, from engineering firms like Ausenco and Cardno to various transport and logistics providers,” says industry executive director Minna Knight.
“Like Alliance, Greyhound is another transport provider with a Brisbane office that is doing very well.”
AMMA agrees with Federal Government predictions that each job created in the resources sector indirectly gives birth to an additional two to three positions.
“More than 40,000 new jobs for Queenslanders will be created from this activity between now and 2016, so it is a very exciting time not only for Brisbane businesses but also workers in both blue and white collar roles,” says Knight.