Boral Meets Targets After Job Cuts

Because of uneven but profitable performance in its divisions, Boral has reported that its net profit for the year to June has actually increased to $104.4 Million, which is slightly higher than what the building materials company has earned the previous year at $101.2 Million.

Its total revenue also increased to 6% or about $5.3 Billion despite the weakness of the building products sector. Analysts attributed this to the company’s earnings from domestic cement, as well as its US sectors, as well as a flat outcome of the gypsum unit.

But evem with the flat performance, the company was able to improve and raise its final dividend, ending at 6 cents per share, when it used to be 3.5 cents a share in the past year. The annual payout to investors is now up at 11 cents.

The company, however, acknowledges that it will continue to meet challenges, particularly with its restructuring and with the current market conditions. The company has been doing job cuts since the beginning of the year, just so it can meet with its targets for the current financial year, and it looks like it had successfully achieved this.

Its yearly results, as stated in the report, just slightly improved the forecast made by analyst, which pegged profits at $99.3 million.

According to its Chief Executive, “While conditions remain challenging, the business is well-positioned to deliver improved earnings and benefit from the major restructuring we have undertaken including closures, asset sales, outsourcing and capacity rationalisations.”