Saint-Gobain: nine-month revenue rise

Saint-Gobain reported a 20% rise in revenue in the first nine months of 2006. The Paris-based glass and building materials giant reported on 24 October 2006 revenue of EUR 30.9 billion for the January…

Saint-Gobain reported a 20% rise in revenue in the first nine months of 2006. The Paris-based glass and building materials giant reported on 24 October 2006 revenue of EUR 30.9 billion for the January-September 2006 period, up from EUR 25.7 billion for the same period in 2005, and in line with analysts“ forecasts for EUR 30.6 billion. Saint-Gobain, which acquired UK plasterboard maker BPB for GBP 3.89 billion in 2005, said that its organic growth was 6.2% in the 3Q 2006, almost flat on the 6.3% pace set through the 1H of the year. Organic sales exclude contributions from acquisitions and disposals and foreign exchange fluctuations. Analysts were worried that a construction slowdown in the US residential market in August and September 2006 would trigger a deceleration in Saint-Gobain“s organic revenue growth during the period. Financial consultants currently forecast revenue of EUR 41.2 billion for Saint-Gobain for the full year 2006. In its statement on 24 October 2006, Saint-Gobain also confirmed its targets of 27-28% growth in operating profit in 2006, and 25-26% growth in net profit.