Road safety barriers drive 500pc jump in Saferoads profit
It was good year for road safety equipment, if Saferoads’ full-year results are anything to go by.
Saferoads (ASX:SRH), which sells a range of traffic safety solutions including safety barriers, bollards, guide posts and speed bumps, posted a 497 per cent increase in full-year profit, up to $710,000.
Just two years ago, the $8 million ASX minnow was more than $100k in the red.
Revenue also increased, up 13 per cent to $19.2 million.
Still, chairman David Ashmore told investors there was more work to be done. “It reflects solid organic sales growth and good cost management, however it is only a solid start towards a much larger goal,” he said.
“But it does reflect our ongoing sustainable transformation across the business.”
The company says the east coast has been a key driver of their performance, with increased transport infrastructure investment from state and federal governments.
Much of that is due to roadworks, as anyone who has driven on the Pacific Highway in northern NSW and southern Queensland can tell you. Saferoads says its temporary concrete barriers have been used extensively in the project.
Last we checked in on Saferoads, they were developing a new product called OmniStop Security Bollards in response to the outbreak of vehicles being driven deliberately into crowds.
The bollards can stop cars weighing up to 2.3 tonnes and also blend in to the urban environment.
Since then, the company says one of its OmniStop bollards stopped the motorist who drove into people shortly before Christmas on Flinders Street last year.
Saferoads shares were flat on the news at 23c. The company has been on an upwards trend over the past year.