Sealink acquires Fraser Island resort

Sealink acquires Fraser Island resort

Listed tourism and transport company Sealink (ASX: SLK) has announced it has acquired Kingfisher Bay Resort Group as it reported a drop in first half profit of 13.7 per cent to $11.3 million.

With the half year results announement, Sealink revealed it has acquired the Fraser Island resort, which includes two resorts on the island, a coach touring business, and ferry operations.

Earnings were also down from $26.7 million in 1H17 to $23.8 million this year.

A revenue fall of nearly five per cent to $100.8 million was attributable to changes in customer business operations, the planned closure of key travel centres, the non-continuation of certain services, and the lengthy refurbishment of a major ship in the company's fleet.

"The first half of 2018 was one of continued innovation and expansion of our product offerings to iconic Australian destinations, with the dominant hospitality, touring and marine transport operation on Fraser Island soon to be added," says Sealink managing director Jeff Ellison.

The group anticipates net profit after tax for the second half 2018 to be in line with the same period last year.

The company has declared a fully franked interim dividend of 6.5 cents per share, payable on 20 April 2018.

Shares in the tourism company are down 2.73 per cent to $3.92 per share at 10.12am AEDT.

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