Boral tips a recovery in US revenue
Building products maker Boral expects its US business to return to profitability in the next year as the building industry there continues to recover.
The US housing sector has improved significantly since the global financial crisis but there is still a long way to go, Boral chief executive Mike Kane said.
Two of Boral's US businesses are now profitable, with others close to breaking even, he told ABC TV.
"We believe, in the next 12 months that that'll rectify itself," Mr Kane said.
In Australia, Boral's operations have passed the bottom of the construction activity cycle, despite continuing weakness in Victoria and South Australia, he said.
"I do see some some green shoots and the possibilities of improvement," he said.
The proposed repeal of the carbon tax would be another benefit for Boral, a policy that has cost it about $40 million over the past two years, he said.
"The sooner that can be repealed, the overall economy in Australia would be better off," he said. "We are encouraged by the sounds we are hearing out of Canberra about the changes they want to make with the carbon tax."
Boral last week entered into a partnership with USG, of the US, to create a $US1.6 billion ($1.65 billion) plasterboard and ceilings joint venture to capitalise on growth in Asia and the Middle East.