A leading underground coal contractor, Mastermyne Group, has recorded 1H16 revenue of AUS$99.7 million – up 28% on pcp. 1H16 EBITDA came in at AUS$3.5 million, which is an increase of 73% on pcp, and an underlying NPAT loss was AUS$0.5 million – an improvement on the previous period, which was AUS$5.8 million. Mastermyne reduced debt by AUS$2.5 million over this period.

Mastermyne’s Managing Director, Tony Caruso, commented: “All things considered we are pleased to have delivered a resilient performance amidst the tough conditions being experienced across the resources sector at this time. Our underground Division, which has again, delivered a robust result and we are confident that we have built a solid platform which will enable us to continue to generate cash returns.”

The company has reported a strong balance sheet to support operations and has made a resilient performance despite tough industry conditions. It has indicated its Mining Division has continued to deliver projects injury free and deliver a strong financial result. The Mastertec Division was noted to have suffered from the continued deferral of maintenance and engineering spending.

During this period, Mastermyne has been restructuring the parts of its business that were not delivering by consolidating workshops, reducing overhead roles and focusing on business development and tendering, in order to reduce overheads and minimise costs.

The company has indicated it will focus on business development and tendering, diversification and key partnerships in order to stay cash positive.

Edited from press release by Harleigh Hobbs