Construction materials supplier Adelaide Brighton's annual profit has fallen due to fewer proceeds from land sales and power blackouts in South Australia.
Demand for cement was also impacted by fewer mining and property projects in Western Australia and the Northern Territory, though that was partially offset by strong construction activity in the eastern states.
Adelaide Brighton's net profit of $186 million in 2016 was down 10 per cent from 2015, and revenue slipped one per cent.
The company said disruptions to electricity supply in SA had a pre-tax impact of $9 million.
"The disruptions caused higher electricity and gas prices, production losses at Adelaide Brighton plants and subsequent reduced sales to customers whose production facilities were temporarily suspended," Adelaide Brighton said.
Property sales totalled $7.9 million in 2016, down from $35 million a year earlier.
"The reduction in demand that we experienced in WA and NT in 2016 was offset by strength in other states, supported by our relentless focus on costs and returns," Chief executive Martin Brydon said.
The company expects sales volumes of cement and clinker to be higher in 2017 than in 2016, and prices will be increased.
"2017 is expected to see strong demand for most Adelaide Brighton products, particularly on the east coast, improved pricing and further efficiency improvements," Mr Brydon said.
Adelaide Brighton shares were up 19 cents, or 3.6 per cent, at $5.46 at 1450 AEDT.
MIXED CONDITIONS A FACTOR FOR ADELAIDE BRIGHTON:
* Net profit down 10.4pct to $186m
* Revenue down 1.2 per cent to $1.4b
* Final dividend up 0.5 cents to 11.5 cents, plus special dividend of four cents
