CSR Limited’s
(ASX:CSR) stock has climbed almost 10 per cent in morning trade after almost doubling its interim profit and maintaining full year guidance.
The building products group reported a net profit of $36.2 million in the first half of the 2013 financial year.
The result was boosted by higher earnings from its building products, aluminium and property divisions, offsetting its troubled glass unit which booked a $10.6 million loss.
Managing Director Rob Sindel says CSR benefitted from improved pricing and lower operating costs on the back of restructuring initiatives.
Mr Sindel has also spruiked a positive outlook for residential construction markets following steady growth in building approvals thanks to record low interest rates.
CSR has confirmed it expects to deliver guidance at the upper end of forecasts provided construction volumes or Australian dollar aluminium prices don’t deteriorate.
An interim unfranked dividend of 5 cents per share has been declared.
