Laundry company Taylors Group has seen a 40 per cent drop in its interim net profit, despite a rise in revenue.
Net profit was $1.15 million for the six months to December , due to labour and energy costs, new plant and interest costs.
It was offset slightly by seasonal factors and trickle-down efficiencies in some of its recent investments.
Sales revenue for the period was $34.3 million, up 4.3 per cent or $1.4m on the previous year, largely from improvements in the Auckland healthcare and industrial operations.
Sales were improving across the group, with the exception being Christchurch , where strong competition existed.
Taylors will pay an interim dividend of 6cps , the same as the previous year.
Looking ahead, the company said directors still expected some recovery and were forecasting its full year net profit to be 30 per cent below the previous year's.