Qube's Moorebank Monetisation Gathers Pace, Overshadowing a Solid First Half

Narrow-moat Qube presented a positive first-half result considering the current headwinds facing the industry caused by the coronavirus and trade tensions with China. Underlying revenue of AUD 953 million was 2% below the same period last year. However, underlying net profit improved 9% to AUD 74 million as profit margins benefitted from price increases and productivity improvements in the Patrick stevedoring joint venture. Improved conditions in the operating division and lower net interest expense also contributed. Qube’s EBITDA margin firmed to 17.1% in the first half from 16.3% a year prior.