(Reuters) - Australian building materials maker Boral Ltd <BLD.AX> said half-yearly net profit rose 13 percent as it received the first earnings contribution of newly-bought U.S. concrete ingredients maker Headwaters Inc.
Net profit came in at A$173 million ($136 million) for the six months to Dec. 31, the company said on Tuesday, compared with A$153.4 million last year, slightly missing a Deutsche Bank estimate of A$187.4 million.
The company said Headwaters acquisition resulted in savings of $18 million in the first half, adding that the company now expects to exceed the expected $30-35 million savings from the deal to be accrued in full-year results.
Boral doubled its U.S. presence last year with the $1.8 billion purchase of Headwaters, maker of concrete ingredient fly ash, at a time when building and engineering firms jostle for a spot in a vast capital works programme promised by President Donald Trump.
On a proforma basis, Boral's North America segment core earnings grew 4.0 percent to $144 million, including a full period contribution from Headwaters, amid a recovery in the U.S. housing market.
Boral expects continued growth across all businesses in fiscal 2018, including a significant lift in earnings from Boral North America, Chief Executive Officer Mike Kane said.
The company said Boral Australia, the company's biggest segment, is expected to report a high single-digit growth in core earnings for the full-year, on increased infrastructure and non-residential activity.
Boral declared an interim dividend of 12.5 cent per share, up from 12 cents per share declared in the year-ago period.
Total revenue rose to A$2.94 billion from A$2.09 billion last year, Boral said.
(This story has been refiled to correct headline to say "Headwaters", not "Headwater")
(Reporting by Susan Mathew in Bengaluru; Editing by Byron Kaye and Robin Pomeroy)
