It is reported that Whitehaven Coal Ltd new developments have positioned it well to continue to build its position as one of Australia leading coal producers, after reporting over a five-fold increase in net profit.

For the 12 months to June 30, Whitehaven net profit leapt 528.8% to USD 62.539 million from USD 9.946 million in the previous corresponding period. The result was boosted by $4.8 million in gains on items relating to the company's acquisition of Aston and Boardwalk, accounting adjustments relating to those acquisitions and the sale of its interest in the Maules Creek project in NSW.

The coal producer revenue edge down by 0.7% to USD 618.087 million from USD 622.186 million. The company will pay a final dividend of three cents plus a special dividend of 50 cents taking the total dividend for the year to 53 cents fully franked. However, Whitehaven underlying profit fell 21% to USD 58.781 million down from USD 73.300 million last year.

Mr Tony Haggarty Managing director said the underlying result was impacted by weather and a fall in coal prices. He said that wet weather had resulted in higher operating costs, as Whitehaven carried out road repairs and addressed water management issues.

He added that "A focused review of operating costs is currently underway to identify opportunities for reduction."

The company said acquisitions during the 2011-12 financial year had provided the company with significant growth potential.

Source - Business Spectator

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