Gypsum industry news
Etex boosts net profit by 26% year-on-year in 2019
08 April 2020Belgium: Etex’s net profit was Euro176m in 2019, a rise of 26% year-on-year from Euro140m in 2019. Sales crept up by 1.5% to Euro2.94bn from Euro2.90bn. Etex chief executive officer (CEO) Paul Van Oyen called 2019 an ‘outstanding year’ in which Etex ‘significantly increased its plasterboard volumes, driven by a strong market in several countries’ and reduced its debt by 43% to Euro331m, its lowest level since 2011. This was thanks to the sale of its UK and Portuguese tile roofing businesses.
Van Oyen’s announcement was overshadowed by the current circumstances surrounding the COVID-19 outbreak. “Today, my thoughts mainly go to all of our colleagues and their families worldwide, especially the ones who have been infected with the coronavirus,” he said. “Etex will not change its identity as a result of this crisis: our priority is and will always be the health and safety of our colleagues and stakeholders worldwide. We are determined keeping our business running, and to continue to Inspire ways of living.” Van Oyen also paid his respects to those within the company who have died of coronavirus.
BNBM shares 2019 results
25 March 2020China: Beijing National Building Materials (BNBM) recorded a net profit of US$62.3m in 2019, down by 82% year-on-year from US$348m, ‘mainly caused by settlement fees.’ Its profit after deduction of non-recurring profit and loss was US$335m, down by 7.0% from US$359m in 2018. Its revenue rose by 6.0% to US1.88bn from US$1.77bn.
BNBM’s gypsum wallboard sales volumes were 1.97Bnm2, up by 5.2% year-on-year from 1.87Bnm2. This corresponds to a 2019 Chinese market share by volume of 59%.
GMS reports three-month net profit growth of 87%
06 March 2020US: GMS has reported a net profit over the three months to 31 January 2020, the third quarter of its 2020 fiscal year, of US$10.9m, up by 87% from US$5.83m in the corresponding quarter of its 2019 fiscal year. Its net sales over the period rose by 5.2% year-on-year to US$761m from US$724m. The company’s gypsum wallboard sales reached US$314m, up by 5.7% from US$297m in the third quarter of the 2019 fiscal year.
Saint-Gobain increases profit by 207% in 2019
28 February 2020France: Saint-Gobain’s net profit in 2019 was Euro1.45bn, up by 207% year-on-year from Euro474m in 2018. Its net sales were Euro42.6bn, up by 1.9% from Euro41.8bn in 2018. Saint-Gobain chairman CEO Pierre-André de Chalendar praised the year’s performance in spite of a ‘less supportive market environment in the second half.’ He said, “For 2020, in a more uncertain market environment, Saint-Gobain should continue to benefit from its attractive positioning and from the results of its ‘Transform & Grow’ initiative, and is targeting a further like-for-like increase in operating income with an uncertainty about the impact of the coronavirus.”
Troubled Boral sees profit slide 40%
20 February 2020Australia: Boral has seen a 40% decrease in its profit during the first half of its fiscal year a period that ended on 31 December 2019. Its profit fell to US$90.4m for the period from US$151m a year earlier. Boral said that this was due to higher costs and weak housing activity in Australia and South Korea. It was also affected by the costs of transactions between its USG-Boral joint-venture partner USG and Knauf, which bought USG in 2019, along with its interest in USG-Boral.
Wacker records 16% EBITDA fall
03 February 2020Germany: Wacker has reported a fall of 16% year-on-year in its earnings before interest, taxes, depreciation and amortisation (EBITDA) to Euro780m in 2019 from Euro 930m in 2018. Wacker Group CEO Rudolf Staudigl said, “Our earnings last year were strongly influenced by non-recurring effects from insurance compensation received and from the impairment charge on fixed assets. We are currently working on a comprehensive program to make Wacker more efficient and capable, and to achieve substantial cost savings.” He indicated that the group would set out specific targets in early-2020.
Eagle Materials revenue rises 9%
12 November 2019US: Eagle Materials has reported financial results for the second quarter of its 2020 fiscal year, a period that ended on 30 September 2019. Its overall revenue was US$414.5m for the period, a 9% year-on-year improvement.
Gypsum wallboard and paperboard revenue declined slightly from the prior year, as improved sales volume was offset by lower pricing. Gypsum Wallboard sales volume reached 63.3Mm3 (681Mft2), a rise of around 8% year-on-year, while the average Gypsum Wallboard net sales price declined by 10% to US$13.78Mm2 (US$148.16/Mft2).
Paperboard sales volume for the quarter also increased, up by 9% to a record 86,000t. The average paperboard net sales price was US$475.98/t, down by 6% from the prior year, consistent with the pricing provisions in our long-term sales agreements.
Operating earnings were US$48.6m in the sector, a decline of 11%, reflecting improved wallboard and paperboard sales volume offset by lower net sales prices. Operating costs during the quarter declined primarily due to lower recycled fibre costs.
France: Saint-Gobain has reported nine-month sales of Euro31.1bn, down by 4.1% from Euro32.5bn in the nine months to 30 September 2018. Saint-Gobain has already achieved it annual divestment sales target of Euro3.0bn, further setting the group on track for a reduction in costs of Euro80m in 2019, Euro45m of this in the second half of 2019. The group was able to buy back 8.5 million of its shares over the period.
Sika reports 7.4% year-on-year increase in nine-month profit
24 October 2019Switzerland: Sika has reported a net profit of Euro514m over the nine-month period ending 30 September 2019, up 7.4% year-on-year from Euro479m, amidst growth in all reg ions. Net sales grew by 12.9% in the period to Euro5.45bn from Euro4.83bn one year previously. Sika CEO Paul Schuler praised the performance, stating: “We are confident that we will exceed our sales target for fiscal 2019 of Euro 7.26bn.”
In October 2019, Sika unveiled its Strategy 2023, a six-part organisational growth model aimed at achieving a minimum of 6% growth annually.
Etex reports rising first-half profits
03 September 2019Belgium: Etex has recorded a first-half net recurring profit of Euro100m, up by 6.3% year-on-year from Euro94.1m in the same period of 2018. Paul Van Oyen, Chief Executive Officer (CEO) of Etex, noted the role of ‘strong market demand, mostly driven by the Building Performance division’ in driving the company’s growth. Only its Etex Exteriors division, launched on 1 January 2019, has not shown net profitability. Etex’s financial debt has decreased by Euro181m to Euro538m from Euro719m on 30 June 2018.