Australasian glass processor Metro Performance Glass has reported a slight rise in profit despite softer-than-expected conditions in New Zealand.
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MPG's net profit rose 1.9 percent to $11.8 million in the six months ended September, compared with $11.5m a year ago.
Construction activity in New Zealand being softer than expected, as well as pricing pressures in the South Island, but that was offset by an increased contribution from its Australian business.
Group revenue rose 22 percent to $141.7m.
"Anticipated growth in NZ residential and commercial construction activity in the six-month period did not eventuate, contributing to a disappointing financial result in NZ.
"The sector was adversely impacted by housing affordability and the availability of credit, difficult winter conditions, uncertainty around the general election, and continued industry-wide capacity constraints," the company said in a statement.
Metro Glass said while market activity is hard to predict, it was forecasting residential dwelling consents would be in a range of 28,500 to 35,000 a year for the next two to three years.
As a result, the company expects a full-year profit of between $18.5m to $20m compared with $19.4m last year.