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New Zealand's biggest construction and building supplies company Fletcher Building has reported a modest growth in net income of two per cent to $193 million for the six months ending in December.
The results reflect a slow down in the building sector, with building consents for new units trending down since last August, and come after changes in the executive team.
Following Jonathan Ling's appointment as chief executive in August last year, replacing Ralph Waters, four of the five division heads are new to their positions.
"It's very pleasing we have maintained the company's earnings reliability in a more difficult economic environment and particularly while establishing a new senior management team," said Ling.
Changes among the divisional heads after Ling's appointment saw Chris Ellis taking over from Ling as chief executive of the Building Products division, David Edwards replacing David Worley as chief executive of the distribution division and Worley becoming chief executive of the laminates and panels division.
"I think what you get a new hunger and a new set of eyes looking over the business you get that burst of energy to drive the business forward," said Ling.
Fletcher reported a net profit after tax up two per cent to $193 million for the six months to the end of December.
Operating earnings -- earnings before interest and tax -- rose 1 per cent to $340 million, compared to $335m in the previous corresponding period.
The interim dividend of 22c per share is an increase over the previous interim dividend of 19c per share and is the 10th consecutive dividend increase by the company.
Shares in Fletcher Building fell 25 cents, or 2.2 per cent, to $11.10 at 12.51am.
- Helen Twose and NZPA
