Sedgman forecast a net profit after tax range of $A16-17 million for the recently completed financial year. This was an encouraging outcome given the $7.7 million post-tax loss it clocked up in the previous year.

“The key contributing factors to the improved FY2015 result are the continuing disciplined focus on cost control across the business, the strong performance of both the projects and operations businesses with the award of $292 million of engineering procurement and construction project work and the renewal of operating contracts at Mount Isa, Agnew and Sonoma during the course of FY2015, and resolution of contractual claims from completed projects,” Sedgman said.

“These estimates are preliminary and remain subject to finalisation by the company and external auditors. Full details will be provided when the company reports its full year results on 27 August 2015.”

Sedgman shares hit a high of 79.5c in trading yesterday and by 3pm AEST were still 10c, or 15%, higher at 77.5c.