Impairments took Metro Performance Glass deeper into loss in the year to March while its operating earnings doubled.

The company said its statutory net loss came to $10.5 million from a $0.5m loss in the previous March year, driven by a $10.0m impairment of intangible assets due to the softer outlook for New Zealand construction.

Group earnings before interest and tax (ebit), and before significant items, improved by 100 per cent $11.8m, supported by price and cost management disciplines across the business and the strong performance of Australian Glass Group (AGG).

Metroglass said the group delivered a result at the upper end of guidance, buoyed by AGG’s improvement in profitability to $6.4m.

On the flipside, supply chain disruption, cost inflation and the early signs of a construction sector downturn affected the New Zealand business.

New Zealand revenue improved 5 per cent, year-on-year, and price increases have begun to improve gross margin, the company said.

The group’s net debt at the end of the period was $60.4m - at the lower level of a previously advised guidance.

Group revenue for the year came to $263.5m, 12 per cent higher than the prior year, with New Zealand up 5 per cent and Australia up 32 per cent.

In the New Zealand residential segment, revenue of $122.1m was 6 per cent above the prior year.

AGG performed well, despite disruptions to supply chains and labour availability.

In February, Metroglass announced its intention to explore divestment options for the Australian business.

“This process continues to progress and is expected to take a number of months,” it said.

Proceeds from any sale would be directed towards the reduction of debt.