Six months after buying Western Australian recruitment services company Integrated Group Ltd, Melbourne-based Programmed Maintenance Services Ltd has widened its footprint in the west by securing the $9 million-per-year facilities management contract on Rottnest Island.
Formerly held by Transfield Services, the contract will involve the management of buildings, infrastructure and essential services on the island.
The contract will be fulfilled by Programmed’s infrastructure and facilities management services business, Tungsten.
The Rottnest contract is one of a number of new contracts won by Tungsten, together worth $70 million annually.
The announcement came as Programmed reported a $10.3 million after-tax profit for the six months to September 30 2007, up from the $7.8 million recorded for the first half of financial year 2007.
Programmed managing director Max Findlay said the results validated the company’s decision to merge with Integrated Group.
The merger has enabled the company to broaden its range of services, adding labour hire, recruitment and managed labour, and its geographic footprint.
It has also more than doubling net assets and revenue and providing a more diversified and secure earnings base, Mr Findlay said in a statement.
The merger had a substantial impact on the company’s operating cash flow for the six months to September, which has increased to $36 million from $12 million in the previous corresponding period.
West Perth-based Integrated Group merged with Programmed in June in a $90 million scheme of arrangement deal.
Integrated’s chairman Neil Hamilton and non-executive director Jonathan Whittle have been appointed to the Programmed board.
