The consulting services group is now expecting full-year after-tax profit to be between $A9.6-10 million, up from directors’ previous forecasts of $A8.9-9.3 million.
Better-than-expected contributions from its expanding Middle East operations and last year’s acquisitions IT Environmental and Enesar Consulting were behind the upbeat outlook, said managing director Roger Olds.
Coffey launched a new Middle East business unit in March to help drive international growth. It was also eyeing a possible acquisition in the region.
“The international development business continues to perform according to our expectations in a tough marketplace, and is implementing its Middle East growth strategy with significant business development activity,” he said.
“The fact that we are able to invest in large-scale business development and still be able to forecast a higher group result than our previous guidance further demonstrates the strength and growth potential of the group.”
The new forecast, which includes a $A1.4 million profit from the settlement of a dispute with the former auditor of wholly owned subsidiary company Aquaclear Technology, represents a growth of 37-42% in net profit over the previous year.
In February, Coffey targeted 15-20% year-on-year earnings lift.
Coffey’s consulting businesses include Coffey Geosciences, Control Testing Laboratories, Water Studies, Soil & Rock Engineering, IT Environmental, and Enesar Consulting. Its international development business comprises SAGRIC International, Coffey MPW, Landmarc and Specialist Training Australia.
