Wagners flags growth of overseas markets in profit report
TOOWOOMBA company Wagners Holding Company has signalled strong growth for its products in the United States and Europe as part of a positive half-yearly results report.
CEO Cameron Coleman handed down the announcement this morning, revealing the company enjoyed revenue of $125 million for the first half of the current financial year, more than three per cent above the prior corresponding period.
Wagners also reported a proforma net profit after tax of $9 million, while earnings before interest and tax was in line with guidance it had given.
Mr Coleman said the company had seen strong growth in its composite fibre technology facility at Wellcamp, particularly for its electrical cross-arm products.
"We are pleased with the half-year results given the delays in some large infrastructure projects that we had hoped would commence and deliver revenue to the business during the period," he said in the release.
"We've experienced growth in overall sales, particularly in cement and transport and the business is now realising the benefits of the growing international acceptance of our new generation building materials.
"Geographical expansion will be key to the success of this growth strategy and we have now proven our ability to deliver our products and services throughout Australia and internationally."
Mr Coleman told The Chronicle the potential for growth in North America and Europe was particularly exciting, especially since the company had recruited a sales team to sell its products in the United States.
"It does relate to a new sales force we've established in the US and the UK," he said during the phone conference.
"They've been through a rigid training program, and we've had two people from Australia travelling through the US to assist.
"The growth in the US is extremely exciting."
Wagners sent over its first order to the United States last year in the form of a boardwalk for the city of Ocala in Florida.
The company had also flagged building its own manufacturing facility for CFT products in the United States, but no location has been announced.
"Our first large project is already being installed in Florida, and we've seen two more flow in recent months," Mr Coleman said.
"Some of the potential ones we've seen from that boardwalk in Florida is in Dallas.
"They're looking at pedestrian infrastructure through the city. That would be 20 times what we've done in Florida.
"The size of the jobs done over there are much larger than in Australia."
The company's earth-friendly concrete was expected to be approved for use in Europe this year.
Looking domestically, three of the company's seven identified concrete plants across south-east Queensland were now under construction.
Wagners said it was expanding the number of pultrusion machines at its CFT facility in Wellcamp to cater for future domestic and international growth.