NZ's Steel and Tube H1 profit down 42 percent

WELLINGTON, Feb 14 (Reuters) - New Zealand's Steel & Tube Ltd. (STU.NZ: Quote, Profile, Research) on Thursday reported a 42 percent fall in first-half net profit due to slowing markets, restructuring costs and tighter margins.

The company, half-owned by Australia's OneSteel Ltd. (OST.AX: Quote, Profile, Research), made a net profit of NZ$8.6 million ($6.7 million) in the six months to Dec. 31, compared with NZ$14.8 million a year earlier.

Steel & Tube said market conditions were challenging despite strong non-residential and infrastructure building in New Zealand, which has boosted demand for the company's steel roofing and pipes, wire products and metal fasteners.

Its shares closed on Wednesday at NZ$3.60. The stock has fallen 20 percent since July 1, compared to a 16 percent drop in the benchmark NZSX-50 index .NZ50.

It declared a dividend of 9 cents a share, down from 15 cents a share last year. On Nov 9 the company warned its first half profit could fall by as much as 27 percent because of a high New Zealand dollar <NZD=> and slowing markets. ($1=NZ$1.28)