In the year to June 2011 the company delivered a very creditable performance, particularly in the challenging economic environment.
There was a significant improvement in underlying profit after tax to $17.3 million on similar revenue to the previous year, balance sheet strength was enhanced, and the final dividend of 9 cents increased the full year dividend to 15 cents per share.
Safety performance measured by Medical Treatment Injury Frequency Rate, improved by 33% over the previous year, which is an excellent achievement.
The executive leadership team has been strengthened and we welcome Janie Elrick Chief Financial Officer, Dennis Boyle General Manager Supply and Brett Douglas General Manager Marketing.
The board is pleased with the way in which Dave Taylor is putting his stamp on the organization. The culture being developed focuses on having clearly defined expectations, improving skill levels, and facing up to measured performance issues, all within a framework of a genuine concern for people.
The One-Company model is being implemented through this process, and the response from our people, our customers and the broader stakeholder community has been very encouraging. The efficiencies introduced, which include those from the rationalisation of our facilities, have improved our bottom line. In conjunction with these activities, the new branding has helped to re-invigorate the company.
The ongoing situation in Christchurch has created an extra-ordinary load on our people there, and indirectly across the company, and the response has been inspiring. The levels of personal commitment and team support have been a tangible demonstration of the values that the company espouses. Looking ahead we have focussed our attention on being in the best position to participate in the very significant rebuilding program.
The board has continued its refreshment process. As previously announced Barry Dineen retires today. Sir John Anderson has been appointed to the board today and is before you later in the meeting for election.
In addition Steve Hamer, who has the role of Chief Executive Distribution for OneSteel, joins the board in place of Robert Bakewell. Steve is before you later for election. Robert has been an excellent board member, and as CFO of OneSteel will no doubt have an ongoing keen interest.
Barry has been a director for 17 years, and has seen practically all of the significant changes and developments in the modern history of Steel & Tube. His commitment and contribution to the company in this time has been unstinting. He will be remembered for his ability to provide insightful critique or suggestion, based on wisdom and a deep caring for the company, delivered always with a gentlemanly charm. On behalf of us all Barry we thank you, and wish you and Su well in the years ahead.
The world is certainly a complex place to do business in right now. Global economic uncertainty is having an impact on global growth and these continuing pressures, notably in Europe, may influence the forecast growth for New Zealand. Other important factors are how developments in Asia, particularly China might affect our export performance, and more local issues including the extent and timing of reconstruction in Christchurch, and the likely impact on the ongoing demand to increase savings and reduce debt.
Turning to the current year, as we flagged in our results announcement in August, the year has begun more slowly than we had originally expected, and the economy is struggling to build momentum in the sectors Steel and Tube service. Dave will talk about the factors that are of interest to us particularly, and explain why we are of the view that our first half result will be less than the corresponding period last year. There is potential for recovery in the second half.
In summary, the board is encouraged by the transformation taking place in the company, and believes that this has strengthened our capacity to continue to maximize our position in these tough and uncertain times, and to capitalize on any upturn when it eventuates.
Before handing over to Dave for his presentation, on behalf of the Directors I would like to thank him and all in Steel & Tube for their continued commitment and contribution. It is the source of the great strength of this company.