SYDNEY, Feb 28 (Reuters) - Australian forestry group Gunns Ltd GNS.AX said on Thursday its first-half profit fell 27.6 percent.
Gunns, which exports forest products and runs a managed investments business, said its net profit for the six months to Dec. 31 was A$14.86 million ($14 million), from A$20.5 million a year earlier.
The company said it expected its second-half trading result to be significantly stronger, with further improvement in sales volumes seen.
Gunns received government approval in October to go ahead with a controversial A$1.7 billion pulp mill project in the southern island state of Tasmania. ($1=A$1.06)