In its report for the first six months to the end of December, the company showed an interim profit of $423,280 before tax, subvention payments and donations, compared with a $50,978 loss in the same six months of the previous financial year and a profit of $75,415 for the 12 months of 2010-11.
The half-year result was achieved on a lower income of $9.6 million compared to $10.4 million in the first six months of the 2010-11 financial year.
At the same time, the company reduced operating expenses to $9.1 million compared with $10.5 million in the first half of the previous financial year.
The result is good news for Waitaki's ratepayers, who benefit from profits paid by the company to its sole shareholder, the council.
Mr Walker told the council meeting on Tuesday Whitestone had achieved a significant improvement in its operating surplus for the first six months of this year, despite fierce competition in the contracting industry and a reduced turnover.
The company continued to focus on efficiencies, reducing costs and applying strict contract management principles to ensure maximum value for the shareholder.
"Without a doubt, the company is adjusting to a reduced workload in traditional areas and is very actively positioning itself for new opportunities," he said.
Mr Walker was "cautiously optimistic" the company would continue to win its share of the market over the final six months of the financial year and, with a continued focus on efficiencies, maintain an acceptable level of return to the council.
Company chief executive officer Glenn Campbell said trading conditions were tough and likely to remain so. The industry was very competitive and some contractors were bidding for tenders on a break-even approach.
Whitestone had about $3 million in construction projects ahead of it, Mr Campbell said.
