The first half of the 2007-08 financial year proved fruitful for the company following a 56.7% increase in half-year earnings before income tax and amortisation to a record $21 million.

Sedgman also reported a record combined revenue of $211.1 million, a 27.2% increase on the comparative half year, and a record net profit after tax of $11.3 million.

Managing director Peter Hay said record earnings reflected the continuing underlying growth in the company’s coal business and the successful integration of its metals business acquisitions, Pac-Rim and Intermet.

Hay said the company’s strong order book was buoyed by newly awarded contracts such as the Thiess Sedgman Joint Venture’s Lake Vermont Coal Handling and Preparation Plant contract, valued in excess of $100 million.

“We have also secured an expansion of the Sonoma contract from $75 million to more than $180 million for additional project scope and a five-year operations agreement,” he said.

In the past six months Sedgman has been servicing a number of feasibility studies in both engineering services and operations, which it is confident it can convert into contracts, representing some $3.2 billion, in the future.

The outlook for the company remains strong with demand for Sedgman’s services expected to continue on the back of strong growth in the global resources market.

Hay said Sedgman remained on track to post a record full-year result.

“We remain comfortable with our guidance to deliver 15 to 20 percent growth in cash earnings per share to shareholders in the current financial year and the $3.2 billion pipeline provides the foundation for our future growth,” he said.

Company directors declared an interim fully franked dividend of 3.5c per share.

Sedgman shares gained 15c to reach $2.15 in mid-morning trade.