On 9 February 2005, Fletcher Building upgraded its earnings forecast for the June 2005 year. The company advised that operating earnings, that is earnings before interest and tax, for the year ended 30 June 2005, would be in the range of $525-545 million.
Since then, Fletcher Building has announced the acquisition of Amatek on 1 March, which is expected to contribute around NZ$22 million in operating earnings to Fletcher Building's results in the June 2005 financial year.
Despite the slowing in some residential markets, the company continues to trade well in New Zealand and Australia. In no small part this is because of the continuing strength of non-residential and infrastructure markets and the company's increasing proportion of businesses serving these sectors.
After ten months of trading, directors now believe the full year operating earnings to 30 June 2005 will be in the range of $560-580 million.
Directors are also of the view that the present strength in the non-residential and infrastructure markets, particularly in New Zealand, will continue through the June 2006 financial year.
Contact:
Ralph Waters
Chief Executive Officer
Phone: +64 9 525 9169
Fax: +64 9 525 9032
Bill Roest
Chief Financial Officer
Phone: +64 9 525 9165
Fax: +64 9 525 9032
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