Toll Holdings Ltd released its first half results today and the share fell down by nearly 18% in today's trading as the company posted a decrease of 32% in its net profit for the first six months of the fiscal.

According to market analysts, Toll had experienced one of the toughest trading environments for the logistics sector in many years. The share prices fell down to the six month low. Toll shares closed at A$7.10 on Thursday after falling as low as A$7.00.

Toll reported a net profit of A$107 million for the first half of the fiscal ended December 31, decreasing by 32% while the net profit was reported A$158 million in the same period last year. Revenue in the first half decreased by 6% and was reported to A$3.3 billion. The company said that the decreased revenue was reported in the first half as its major customers traded down and competition increased.

Also, the outlook given by the company for the second half is not encouraging and it fell well short of market expectations. The company is expecting some similar results for the second half of the year.

"Trading conditions in the Australian businesses improved progressively through the period, and revenues for the first two months of calendar 2010 provide encouraging signs that this trend will continue,'' Toll said in a statement.