James Hardie (JHX) says it is on track to meet analyst expectations for full-year profit after posting a solid lift in first quarter revenue.
Investors were relatively impressed by the result. At the 1015 AEST official market open, James Hardie shares were 1.62% to $9.43, against a benchmark index fall of 0.07%.
In three months to June 30, James Hardie posted net profit of $US142.2 million ($A154.334), a significant lift on the $68.5 million recorded in the previous corresponding period.
Revenue in the same period was $372.2 million, a 10 per cent increase on the $339.7 million recorded in the previous corresponding period.
James Hardie chief executive officer Louis Gries said the first quarter results reflected improved sales volumes and average net sales prices when compared to the previous corresponding quarter for both our USA and Europe and Asia Pacific Fibre Cement segments.
The group said it expects to meet analysts’ forecasts for net operating profit excluding asbestos for the year ending March 31 of between US$165 million and US$194 million.
"Management expects full year earnings excluding asbestos, asset impairments, ASIC expenses, New Zealand product liability expenses and tax adjustments to be within that range assuming, among other things, housing industry conditions in the United States continue to improve and that an average exchange rate at or near current levels is applicable for the balance of the year ending March 31," the group said.