Boral's cement shipments rise by three per cent

Boral's cement shipments rise by three per cent
Published: 28 August 2014

Tagged Under: Boral Australia Results USA 

Boral's turnover in its financial year to the end of June 2014 eased by 1.6 per cent to AUD5204m (EUR3646m), but the EBITDA improved by 3.9 per cent to AUD556m (EUR390m).

The trading profit advanced by 28.9 per cent to AUD294m (EUR206m) and after a net interest charge 14.4 per cent lower at AUD83m (EUR58m) the pre-tax profit rose by 62.7 per cent to AUD211m (EUR148m). The net attributable profit went from an AUD212m (EUR149m) loss to a profit of AUD173m (EUR121m) profit.

Net debt at the end of June was reduced by 49.7 per cent from the level a year earlier to AUD718m (EUR503m), giving a gearing level of 21 per cent, compared with 43 per cent a year earlier, helped substantially be the sale of half of the plasterboard business in Australia and Asia to USG. Capital expenditure in the year was 13.3 per cent lower at AUD268m (EUR188m).

The cement, lime, aggregates, asphalt and concrete operations generated a turnover 4.5 per cent higher at AUD3,287m (EUR2,303m), but the EBITDA was 4.3 per cent lower at AUD445m (EUR312m). Cement deliveries increased by 3 per cent, but the lime volume declined by 10 per cent, while the trading profit rose by some 44 per cent to AUD105m (EUR74m) on a turnover 5.5 per cent ahead at AUD307m (EUR215m). Turnover in concrete improved by 9.6 per cent to AUD1341m (EUR940m), in aggregates by 3.6 per cent to AUD517m (EUR363m), but declined by 5.1 per cent in asphalt to AUD783 (EUR549m). Volumes improved by seven and four per cent in concrete and aggregates, respectively.

Boral Building products generated a turnover 4.5 per cent ahead at AUD487m (EUR341m), with brick volumes ahead by nine per cent, tile volumes by four per cent and softwood volumes by 18 per cent but underlying hardwood deliveries were little changed, giving an overall three per cent increase in timber revenue. The EBITDA recovered from an AUD5m loss to a profit of AUD29m (EUR20m).

The gypsum division, which became an associate from the 1st of March, contributed a turnover 24.8 per cent lower at AUD691m (EUR484m), but the underlying business showed an 18.7 per cent increase to AUD1091m (EUR764m) as turnover rose by 23.3 per cent to AUD720m (EUR505m) in Asia and by 10.7 per cent to AUD371m in Australia. The underlying EBITDA rose by 18.4 per cent to AUD148m (EUR104m). Plasterboard volume increased by 11 per cent in Asia and by seven per cent in Australia.

Boral USA improved turnover by 22.7 per cent to AUD681m (EUR478m), but in local currency the increase was a more modest 9.3 per cent to US$622m and the previous year's US$22m loss at the EBITDA level turned into a US$3m profit. Brick and other cladding sales advanced by 17 per cent to US$323m and roofing turnover improved by 13.9 per cent to US$139m but the turnover in fly ash and other construction materials declined by 6.4 per cent to US$160m, reflecting the sale of the Oklahoma concrete and sand operations. Brick volumes increased by 15 per cent, while roof tile volume was up by 10 per cent.