asciano on a roll but wary

Asciano buoyant but cautious
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October 23, 2009

Article from: The Australian
ASCIANO continues to enjoy buoyant conditions in its key businesses, particularly coal haulage, but remains cautions about the year ahead.

The transport and logistics group yesterday reported a 25 per cent increase in first-quarter coal haulage by its Pacific National rail outfit to 4.21 million net tonnes per kilometre, from the same period a year ago.

It also saw volumes rise by 15 per cent between the end of June and the end of September, due to increased coal exports and steel production in NSW.

"The key trends established in our business during the second half of the last financial year have continued," chief executive and managing director Mark Rowsthorn said.

"We are continuing to experience generally buoyant trading conditions for our key bulk businesses, and are delighted with the ongoing strength of our coal business, where we are earning revenue in Queensland ahead of our original target dates."

Asciano's Patrick Container Ports stevedoring business recorded an 8 per cent rise in container lifts to 470,000 quarter on quarter.

But the number of lifts fell by 7 per cent over the year, as a 17 per cent decline in Melbourne offset a 6 per cent rise in Sydney.

Vehicle movements at its ports rose 10 per cent to 228,000 in the quarter but were down 21 per cent over the year.

Bulk and general goods shifted fell 14 per cent to 6.26 million tonnes in the quarter and were down 15 per cent over the year.

"Whilst volumes for our non-bulk businesses remain below last year's level, the overall results are in line with our expectations," Mr Rowsthorn said.

Asciano shares closed down 0.5c at $1.64.