AusGroup's Q4 earnings slump by 93.6%

AusGroup's fourth quarter net profit slumped by 93.6 per cent to A$525,000 (S$605,000).

Revenue for the three months to June 30 fell by 21.5 per cent to A$137.6 million.

This was mainly a result of a reduction in revenue generated by the integrated services division.

The group was impacted by decreased activity in the resource sector.

This was a result of major resource companies scaling back capital expenditure in response to volatility in commodity prices, as well as customer delays in awarding contracts in the oil and gas sector.

Earnings per share sank to 0.1 Australian cent from 1.7 Australian cents previously while net asset value per share firmed to 36 Australian cents compared to 34.1 Australian cents.

No dividend was recommended, unlike last year when AusGroup paid out one cent a share.