UK industrial group buoyed by American business

British industrial group Hanson said today its full year profits had exceeded expectations after a record year led by its US businesses.

Pre-tax profits for the year came in at £480.8m (€716.2m), ahead of its December forecast of £470m (€700m) and topping consensus market expectations of £468.4m (€697.8m).

The company, which supplies sand and gravel for building work, said its UK businesses had performed well despite the difficult trading conditions experienced during the year.

The group said tough cost control measures and stronger selling prices helped offset a 10% decline in asphalt volumes and weaker brick demand in the repair, maintenance and improvement sector.

The firm said overall growth was mainly driven by its North American aggregates division, with operating profits increasing by 30.7% amid strong selling prices and a good performance from its acquisitions made in the year.

Average selling prices rose by 12.1%, offsetting higher input costs and declining US mineral reserves.