Hanson lifted by revival in US trade

British building materials group Hanson today said a pick-up in volumes in the United States and the UK would help it to report second half trading profits 6% ahead of last year.

The group said it had met expectations of more resilient trading conditions in the second half to December 31.

Its United States aggregates division had seen volumes recover in the past three months after poor weather had affected the start to the year.

UK trading profits had shown continued growth, with positive volume trends in the second half.

The group added that continuing price and volumes growth in its UK brick operation, which owns a plant at Ripley in Derbyshire among others, would underpin a successful year for its UK building products division.

Hanson said its 2003 profits would be significantly higher had it not been for a £20m (€28m) reduction in the sterling value of North American-generated trading profit due to the weak dollar and a £25m (€35m) increase in pension charges.

But in a trading update, the group added: “Underlying housing and infrastructure-related demand in Hanson’s major markets is relatively encouraging.”