US: USG Corporation has reduced its net loss in the third quarter of 2012 by US$86m, to US$29m from US$115 in the same quarter in 2011.
In August 2012 USG announced it had entered into an agreement to sell its European operations to Knauf. Results from European operations have been reported as discontinued operations for the 2012 and 2011 periods.
The corporation reported a year-on-year rise in its net sales from continuous operations of 9% in the third quarter of 2012, to US$828m from US$763m. Its operating profit from continuing operations for the third quarter of 2012 was US$29m compared to a US$79m operating loss in 2011.
Discontinued or European operations reported net sales of US$27m in the third quarter of 2012 compared to US$29m in 2011. Discontinued operating profit was US$1m in 2012 compared to US$3m.
"The announced sale of our European operations is another great example of USG's Plan to Win. Completion of this sale will allow us to reallocate assets from a lower-growth market to joint ventures supporting higher-growth markets in India, which will allow us to diversify the company's earnings and offset some of the cyclicality in our core businesses," said, president and CEO, James S Metcalf, Chairman. Metcalf added that wallboard demand remains 'significantly' below previous levels.
USG wallboard shipments rose by 14% year-on-year in the third quarter of 2012, to 366Mm2 from 320Mm2 in 2011. Sheetrock brand UltraLight panels accounted for 47% of all USG wallboard shipments in the United States.
