Directors of consulting engineering company Cardno today announced they expected the company's full year results for the June 2005 financial year to be approaching $7 million after tax or nearly 40% above its prospectus forecast of $5.007 million.
Cardno managing director Andrew Buckley said this further lift in profit forecast built on the previous 15-20% upgrade announced in December.
"We have been continuing to experience strong business conditions across many sectors of our operations," Mr Buckley said.
"In addition, our October 2004 acquisitions (Cardno Lawson Treloar and Cardno BSD) are continuing to deliver better than expected combined contribution to our bottom line."
Mr Buckley also noted that the Queensland and Western Australian markets for consulting services remained especially robust and that the recent announcement by the Queensland State Government regarding infrastructure expenditure requirements should underpin that.
Cardno recently announced it was capitalising on the strong conditions in north eastern Australia by opening a new full service office in Rockhampton. Cardno has also recently opened an office in Toowoomba.
Mr Buckley noted that while some competitors were pulling out, Cardno remained committed to the operation of financially sound regional offices throughout Australia.
Cardno chairman John Massey said the further upgraded profit forecast continued to reflect the success of the company's growth strategy.
"This demonstrates the strength of our strategy to build the business through both organic growth and acquisitions," Mr Massey said.
"We continue to look for further growth opportunities to deliver shareholder value and such opportunities continue to become available," he said.