Coates profits hold up in first half-year

By Murray Pollok19 February 2021

Coates Hire reported a 1% increase in EBIT profits to A$105.3 million for the six months to 31 December 2020 on revenues that were 7% lower.

Owner Seven Group Holdings also committed its Coates and WesTrac businesses to achieving net zero emissions by 2040.

 No caption available

Seven Group reported that Coates experienced an impact on its East Coast metro markets related to the Covid slowdown, but that other regional areas performed well. Business levels in Western Australia continued to strengthen in both mining and industrial sectors.

Seven said that while overall revenue was down 7% at Coates, reduced costs and operating expenses had resulted in EBIT growth of 1% against the first half of the previous financial year.

Its WesTrac business – the largest Caterpillar dealership in Australia - reported strong results in Western Australia driven by a 17% increase in new sales. EBIT profits for the half year were up 14% at A$211.4 million.

Ryan Stokes, Managing Director & Chief Executive Officer of Seven Group, said the results were strong; “We are pleased to deliver Group revenue growth and underlying EBIT growth for WesTrac and Coates

“Our Industrial Services portfolio [which includes Coates and WesTrac] is benefitting from accelerating mining production and economic stimulus measures to generate building and infrastructure activity.”

Stokes added; “We announce our commitment that SGH and our current operating businesses, Coates and WesTrac, will achieve net zero greenhouse gas emissions by 2040.

“This continues the proud history of SGH in corporate social responsibility as seen through our actions in the community, dedication to staff well-being and safety, and innovations within our businesses to re-use equipment and minimise waste”.

MAGAZINE
NEWSLETTER
Delivered directly to your inbox, International Rental Newsletter features the pick of the breaking news stories, product launches, show reports and more from KHL's world-class editorial team.
CONNECT WITH THE TEAM
Murray Pollok Managing Editor Tel: +44(0)1505 850 043 E-mail: murray.pollok@khl.com
Simon Kelly Sales Manager Tel: +44 (0) 1892 786 223 E-mail: simon.kelly@khl.com
CONNECT WITH SOCIAL MEDIA
Latest News
Normas acquires Ajos crane business
Ajos to focus on core business after sale of crane rental division to tower crane dealer Normas
Speedy to exit from Middle East
Fleet being sold to Abu Dhabi customer ADNOC for US$18m and 600 staff will transfer
Bell appointed as JCB’s South African dealer
Bell Equipment Sales will offer JCB’s full range of construction machinery from May 1, 2021