City Rail Link contractor makes $500,000 loss

CRL is New Zealand's largest infrastructure project. Photo/Michael Craig

A contractor working on New Zealand's largest infrastructure project has just filed annual accounts showing it made a $502,000 loss for the year.

RCR Infrastructure (New Zealand) is in a joint venture for part of the $3.4 billion City Rail Link and the business of Westfield Pl, Mt Wellington, has filed the accounts for the June 30, 2018 year. The loss compares to a $103,000 profit last year.

The business is in a joint venture with WSP Opus to deliver some services for the big underground job stretching from Britomart to Mt Eden.

Its Australian parent, ASX-listed RCR Tomlinson, went into voluntary administration this month but the New Zealand arm is continuing on the CRL job.

The local business made $26.2 million revenue but the cost of sales, administrative, marketing and other expenses resulted in the $502,000 loss. Equity in the business fell from $5.1m last year to $4.6m in the latest period.

Last week, Sean Sweeney, City Rail Link chief executive said the New Zealand arm of a troubled Australian engineering and infrastructure business remained working on New Zealand's largest infrastructure project, unaffected by woes across the Tasman.

RCR and Opus are working on a $50m contract to build the systems for the underground network, such as the tracks, signalling and control systems.

Sweeney said nothing had changed with the New Zealand company contracted to CRL.