For the six months ending December 31, 2006 WDS reported an adjusted net profit after tax of $5.9 million on revenues of $104.5 million.

“WDS currently has work in hand on existing contracts of $370 million and overall growth remains strong,” the company said.

WDS Group managing director Garry Ash said a strong performance from the Diversified Construction Corporation arm had offset the softening in forecast returns from Walter Mining.

“The Walter Mining result reflects a slowdown in some coal mining projects due in part to infrastructure bottlenecks at major coal ports and delayed project start dates,” he said.

Looking forward, the company expects that mining opportunities will increase as new loading capacity comes online at Dalrymple Bay in Queensland and at Newcastle.

WDS continues to identify strong short- to medium-term prospects across the group as pipeline activity accelerates, particularly due to government initiatives to bolster water pipeline infrastructure and through increased demand for pipelines associated with the buoyant coal-seam methane sector.

“While the very nature of our business is significantly driven by the winning of major contracts, whose timing can vary considerably, we remain confident that the company’s business fundamentals remain strong and that key industry trends are positive,” Ash said.