Gypsum industry news

US: USG Corporation has grown its gypsum business operating profit by 65% year-on-year to US$316m in 2015 from US$192m in 2014. The company attributed the results to price rises.

"We finished 2015 on a strong note by achieving impressive margin expansion in our Gypsum and Ceilings businesses. Improved pricing in both businesses, coupled with our cost discipline, drove this increased performance," said James S Metcalf, Chairman, President and CEO.

Net sales for its gypsum business rose by 5% year-on-year to US$2bn from US$1.9bn. Notably, sales dropped by 4% to US$187m in its Mexico and Latin America region although profits rose in the saUSHme period.

As a whole, the company reported sales of US$3.78bn in 2015, a slight rise from 2014. Operating profit more than doubled to US$381m from US$162m. Its USG Boral business reported that its net sales rose by 7.6% to US$1bn. Its operating profit rose by 30.5% to US$125m.

US: Gypsum Management and Supply (GMS) has acquired Robert N Karpp Company, a drywall supplier based in Boston, Massachusetts. The purchase gives GMS, a North American distributor of gypsum wallboard and suspending ceiling systems, entry into the New England market.

"This addition to our business is a natural fit for GMS as we continue to expand our geographic footprint, while providing our resources as a national brand to help support new and existing local yards," said Mike Anderson, the GMS VP of Operations for the Northeast region.

China: Four miners were rescued from a collapsed gypsum mine in Shandong Province on 29 January 2016 after 36 days trapped underground. About 1000 people have been involved in the rescue efforts, complicated by falling rocks, unstable geological structures, water outbursts and carbon monoxide leaks, according to the Xinhua news agency. The rescue was made after a 220m shaft was drilled to the trapped miners.

One miner died in the accident on 25 December 2015, while 11 were saved immediately after the incident, according to the report. Thirteen miners are still missing. The owner of the mine committed suicide by jumping into a flooded shaft after the accident and several executives of the mine are under police investigation.

Azerbaijan: The president of Azerbaijan has attended the opening of the 0.4Mt/yr Ağdağ gypsum plaster plant built by Matanat-A in Baku's Garadagh District on 30 January 2016. The plant has been built using US$0.9m loan from the national business promotion fund. It employs more than 800 workers.

Suppliers supporting the project include Boemer, Saake, Haver and Boecker, Atlas Copco, ABB, Caterpillar, STP and Erisim. Half of the products made at the plant will be exported to Russia, Kazakhstan, Georgia, Turkmenistan, Ukraine and Iran.

US: Eagle Materials has reported that its operating earnings from its Gypsum Wallboard and Paperboard business fell by 8% year-on-year to US$45.2m in the third quarter of 2015. The decline was attributed to lower gypsum wallboard and paperboard sales volumes.

Gypsum wallboard and paperboard revenues fell by 9% year-on-year to US$132m. Wallboard sales volumes fell by 7% year-on-year to 53Mm2. Third quarter gypsum wallboard sales volumes did not benefit from pre-buying activity in advance of a price increase, as had been the case in the prior year's third quarter, due to a shift in the timing of our announced wallboard price increase for 2016 from 1 January 2016 to 31 March 2016. Paperboard sales volumes fell by 8% year-on-year to 71,000t, 8% lower than the same quarter a year ago.