Australia: Boral’s chief executive officer, Mike Kane, expects that its USG Boral joint venture’s earnings will grow by 10% in its financial year to the end of June 2019. He told shareholders at the company’s annual general meeting that improvements in markets in China, Indonesia, Thailand and India would counteract slowing residential construction in Australia and South Korea, according to the Australian newspaper. He also said that Boral is conducting two valuations of USG Boral following the merger of USG and Knauf. The company is considering whether to buy the other half of the joint venture or whether to find another partner.
British Gypsum and CEVA Logistics introduce fleet of 85 new trucks
UK: British Gypsum and CEVA Logistics have introduced a new fleet of 85 Volvo tractor units. CEVA will operate the new fleet transporting British Gypsum's interior lining systems from five plants to over 3500 stockists.
The new vehicles include safety features such as extra-low ride height for reducing blind spots and increasing visibility levels, an advanced camera system, anti-roll and drive away prevention device, full telematics and additional nearside vision panels in the passenger door. All trucks are fully FORS (Fleet Operator Recognition Scheme) Gold compliant. In addition, trucks have audible left turn alarms, mobile CCTV camera systems and anti-spill fuel tanks. CEVA is a FORS Gold carrier while British Gypsum is a CLOCS compliant supplier (Construction Logistics and Community Safety).
"As a business, we always put safety first and in our case that means keeping our drivers and the communities in which they operate, safe. We have a desire to be the safest road transport network in the UK and these new high-tech, best-in-industry vehicles will help us to achieve that vision," said Brian Fisher, Distribution Manager at British Gypsum.
Gyproc Belgium prepares for natural gypsum at Kallo plant
Belgium: Gyproc Belgium has installed a new mill to grind natural gypsum at its Kallo wallboard plant. The unit will continue to use flue gas desulphurisation (FGD) gypsum sourced from coal-fired power stations but the company is preparing for future changes in supply, according to the HLN newspaper.
USG’s profit takes a hit in first nine months of 2018
US: USG’s operating profit fell by 30% year-on-year to US$190m in the first nine months of 2018 from US$270m in the same period in 2017. The building materials company blamed this on rising costs in the third quarter, arising from transport costs and non-production costs linked to its Customer-First strategy. Despite this, net sales rose by 6% to US$2.52bn from US$2.37bn.
The company is currently being acquired by Germany’s Knauf. The takeover is expected to complete in early 2019. In its third quarter financial report USG said that Boral had started proceedings in late August 2018 to determine the value of the USG Boral joint venture. This process could lead to Boral exercising its right to purchase USG’s 50% interest in USG Boral.
