Labour contractor Skilled Group has suffered a 55 per cent fall in annual profit, but says conditions are looking better for the new year.
Skilled posted on Thursday annual net profit of $12.701 million, down from $28.254 million in the prior year.
Skilled shares were down 1 cent, or 0.8 per cent, to $1.17 in early trading.
Revenue was down 12.6 per cent at $1.698 billion.
Earnings per share were 7.3 cents, down from 23 cents.
Skilled declared no final dividend, after 1.5 cents fully franked in 2008/09. Total dividends remained at nothing, from 10.5 cents in 2008/09.
Skilled said its results had been affected by a slower than expected recovery of the labour hire market, and lower contributions from several of its divisions.
The company said it had conducted a strategic review of the company, initiated in April, 2010, which found that, while its "fundamental elements... are strong", its debt was high for its financial profile and operating requirements.
As a result, Skilled said it would sell its Swan Contract Personnel division, to enable the company to "reduce debt to an appropriate level".
The company said the economy seemed to be recovering, "with steady signs of improvement and recovery across the Group in the last two months of the year with the trend continuing into the new financial year".
AAP