James Hardie has recorded a strong lift in adjusted third quarter profit as sales rose sharply over the previous year.
The building products supplier's adjusted net operating profit of $US48.6m for the third quarter was an 11 per cent lift on the $US43.7m recorded last year, while its adjusted profit for the nine months to December 31 of $US164.1m was up 8 per cent on the $US152m seen in the previous financial year.
The ASX-listed group reported net sales of $US388.4m for the quarter and $US1.25 billion for the nine months, increases of 10 per cent and 11 per cent, respectively.
James Hardie CEO, Louis Gries, said the group had seen strong performances across its global portfolio, though the US recovery had not been as strong as expected.
“Our third quarter and nine months results continue to reflect increased volumes across our USA, European and Asia Pacific businesses,” he said.
“While our operating environment in the US has improved marginally compared to the prior corresponding quarter, we are yet to see the previously anticipated accelerated growth in the US residential market.”
“When we look at the US housing market, and the broader US economy as a whole, we see continued uncertainty in the short term. However, our more positive view on the medium and longer-term outlook remains unchanged.”
The company tightened its range for full-year earnings guidance, now expecting a range of $US210m to $US222m. At its half-year results the group tipped earnings to come in at between $US205m and $US235m for the full-year.
The company has previously declared a first half dividend of US8c per share, payable on 27 February 2015.