"Strong utilisation rates and the full year flow through income effect from the $9 million of stock additions made during the course of the previous year drove the results and increased margins," said James Cullen, managing director of PCH Group Ltd.

PCH specialises in the hire and installation of scaffolding and is enjoying buoyant and growing conditions in the sectors in which it operates - the mining and international oil and gas industries and the residential and commercial building sectors.

The profit figure includes a one-off tax credit of $1 million (associated with entry into the new tax consolidation regime) and comes from a revenue jump of 48% to just over $23 million. Approximately half of the company's revenue is now drawn from its overseas operations.

The company said one of the key achievements in the December half was the securing of substantial long-term work at PCH's Caspian Sea operations which has laid a strong foundation for company earnings out to December 2007.