Adelaide Brighton achieves 1H19 revenue of AUD755.7m

Adelaide Brighton recorded 1H19 revenue of AUD755.7m (US$506.1m), down 6.3 per cent on 1H18 due to a softening of residential and construction demand. EBIT stood at AUD85.2m, presenting a decrease of 31 per cent, driven by rising material input costs and competitive pressures.

Australia's residential construction approvals fell 25.6 per cent in the six months to June 2019, while construction is projected to hit a low in 2021.

Cement sales volumes fell by eight per cent with a decline in the east coast construction activity and pricing pressure from imports. Concrete volumes fell by 7.8 per cent  and aggregate sales decreased in line with ready-mix volumes.

Independent Cement and Lime contributed AUD7.7m, down 4.5 per cent. Sunstate Cement contributed AUD5.9m and Aalborg Portland Materials contributed AUD0.5m, up 233 per cent as a result of efficiencies and demand from Malaysia, Asia and Australia.