Revenue increased 6.3% to $A56.8 million on the previous corresponding period, while net profit after tax increased 13.9% to a record $13.79 million.

The MAC chief executive officer Mark Maloney said while room expansions were down, the company had successfully adjusted operating overheads.

“The result supports our business plan to align our accommodation facilities to major corporations owning and/or operating low-cost, high-production mines and is further proof of the sustainability of The MAC’s business model,” he said.

The flat trading conditions provided the company with the opportunity to upgrade road and car parking facilities, refurbish dining rooms and replace older rooms.

The MAC also continued to rollout ancillary services with retail outlets now established in each village.

Taverns have been introduced at Coppabella, Nebo, Dysart and Kambalda, contributing materially to the business.

Maloney said production cutbacks by some miners affected occupancy levels, but this mainly occurred at Dysart.

“Activity levels have increased and there are good signs that a number of previously delayed projects are pressing ahead, particularly in the Bowen Basin where we have a strong presence,” Maloney said.

The MAC has acquired land in Gladstone and Wandoan in Queensland and has development approval for both sites.

Discussions are continuing with BHP Billiton over a new village at Roxby Downs to service Olympic Dam, but the company does not expect it to proceed this financial year.

The MAC is also looking to expand in Western Australia, beyond the Goldfields region.

Gearing levels are 25% and the company has undrawn bank facilities of $52 million.

Maloney said the company was expecting a solid second half.

“The level of enquiry for new rooms is solid and we expect approximately 1000 new rooms to be manufactured and installed over the next 18 months, at significant investment by the company,” he said.

Shares in The MAC jumped 8% or 19c to $2.39 this morning.