Boral Ltd SWOT Analysis & Company Profile by BusinessReview

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									Boral Limited

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Boral Ltd.: SWOT Analysis & Company
Profile


Reference code: CN0088CP

Published: Dec 2010




Business Review
John Carpenter House
7 Carmelite Street
London EC4Y 0BS
United Kingdom
Tel: +44 (0) 20 7936 6400

Fax: +44 (0) 20 7336 6813


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Boral Limited - SWOT Profile                                                        Page 1
Boral Limited

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Boral Limited - Company Overview

Boral Ltd. (Boral) is one of the leading building and construction materials companies in Australia. The company engages
in supplying and manufacturing construction and building materials. The products offered by the company include pre-mix
concrete and asphalt, flyash, cement, quarry products, timber, windows, plasterboard, concrete masonry products, clay
and concrete roof tiles, clay bricks and pavers. The company operates through five reportable segments, namely, Boral
Construction Materials, Cement division, Boral Building Products, United States of America and Other. It serves
customers in the construction and building industries. The company operates in Australia, the US and Asia, and is
headquartered in Sydney, New South Wales, Australia.


Financial Performance

The company reported revenue of AUD4493.8 million during the fiscal year ended 2010. The company's revenue declined
at a compounded rate of 7.02% during the period 2008-2010 with a year on year decline of 4.95% over fiscal year 2009.
During the fiscal year 2010, its operating margin was 5.04% as against the operating margin of 5.26% in fiscal year 2009.
During the fiscal year 2010, the company registered a net margin of -2.01% as against the net margin of 3% in the fiscal
year 2009.




Boral Limited - Key Facts

Boral Limited, Key Facts

                                  Level 39, AMP Centre, Sydney,

Corporate Address:                New South Wales (NSW), 2001, Ticker Symbol, Stock            BLD (Australian Stock
                                                                    Exchange                   Exchange)
                                  Australia


Telephone                         + 61 2 92206300                   No. of Employees           14,806



Fax                               + 61 2 92336605                   Financial Year End         June



URL                               www.boral.com.au                  Revenue (in AUD Million)   4,493.80



Industry                          Construction                      Revenue (in USD Million)   3,510.78



Locations                         Australia

Source: Annual Report, Company Website, Primary and Secondary Research




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Boral Limited - SWOT Profile                                                                                           Page 2
Boral Limited

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Boral Limited - Business Description

Boral Ltd. (Boral) is an Australian supplier and manufacturer of building and construction materials in Australia, the US
and Asia. The company operates through five divisions: Boral Construction Materials, Boral Cement, Boral Building
Products, Boral USA and Boral Construction Related Businesses.

In the Boral Construction Materials division, Boral supplies and manufactures quarry material, asphalt, and concrete, and
operates a quarry and integrated transport business, which has a fleet of 316 company-owned vehicles. In FY2009, this
division contributed 46.06% towards Boral’s total revenue, and generated AUD2118.5 million, which was a decrease of 6
3% from FY2008.

The Boral Cement division supplies fly ash, lime and cement within Australia, and pipes and quarry and concrete products
in Thailand and Indonesia. In FY2009, this division contributed 11.13% towards Boral’s total revenue and generated
AUD512.2 million, which was an increase of 0.72% from FY2008.

In the Boral Building Products division, Boral supplies concrete, aluminum, roof tiles, timber, plasterboard, and bricks
within Australia and Asia. In Asia (except Japan), this division supplies plasterboard through its 50% owned venture,
Lafarge Boral Gypsum Asia (LBGA), which consists of four subdivisions: plasterboard Australia, plasterboard Asia, clay
and concrete products, and timber. In FY2009, the Boral Building Products division contributed 26.21% towards Boral’s
total revenue and generated AUD1205.6 million, which was an increase of 6.05% from FY2008.

The Boral USA division operates through four subdivisions: bricks, roofing, materials and technology. The bricks
subdivision operates 54 plants across 11 states in the US, the roofing subdivision owns 50% of roofing company
MonierLifetile (MLT), the materials subdivision supplies fly ash, aggregates and regional concrete, and the technology
division undertakes research to develop sustainable products. In FY2009, the Boral USA division contributed 7.9%
towards Boral’s total revenue and generated AUD363.7 million, which was a decrease of 33.29% from FY2008.

In the Boral Construction Related Businesses division, Boral supplies and manufactures concrete placing, windows and
doors through DeMartin & Gasparini (DMG) and Dowell. DMG specializes in concrete placing and provides formwork,
reinforcement and concreting services in Australia, particularly in Sydney. Dowell specializes in manufacturing various
types of windows and doors from wood, aluminum and glass. In FY2009, the Boral Construction Related Businesses
division contributed 6.38% towards Boral’s total revenue and generated AUD293.8 million, which was an increase of 13%
from FY2008.

Boral operates in three regions: Australia, the US and Asia, and in FY2009 of total revenue generated, Australia
contributed 87.1%, the US, 7.9% and Asia, 4.9%.




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Boral Limited - SWOT Profile                                                                                     Page 3
Boral Limited

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Boral Limited - Major Products and Services

Boral Limited is one of the largest building and construction materials companies in Australia. The company’s key
products include:

Boral Limited, Major Products and Services
Products:

Construction Materials:

Cement

Flyash

Pre-mix Concrete and Asphalt

Building Products:

Clay Bricks

Pavers

Clay and Concrete Roof Tiles

Concrete Masonry

Plasterboard

Windows

Timber
Source: Annual Report, Company Website, Primary and Secondary Research




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Boral Limited - SWOT Profile                                                                                        Page 4
Boral Limited

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Boral Limited - History

Boral Limited, History

    Year                Event type                                                   Description


                                                The company sold its stake in Adelaide Brighton Limited for AUD210 million to
   2009      Stake Sale
                                                Anchorage Capital Pty Limited.


                                                Lafarge Boral Gypsum Asia invested US$48 million for construction of a plasterboard
   2008      Others
                                                plant in Shanghai, China.


   2006      Plans/Strategy                     The company invested AUD27.5 million in the construction of a tile plant.


                                                Acquired New South Wales timber company Davis & Herbert and the hardwood
   2005      Acquisitions/Mergers/Takeovers
                                                business of Fennings Timber.


   2004      Acquisitions/Mergers/Takeovers Acquired Hanson's concrete and quarry business in Thailand.


   2003      Acquisitions/Mergers/Takeovers Purchased Smith's Premix in Queensland.


   2002      Acquisitions/Mergers/Takeovers The company Acquired Rocla Persada in Indonesia.


                                                Formed a joint venture with French building company Lafarge to merge plasterboard
   2000      Acquisitions/Mergers/Takeovers
                                                operations in Asia.


   1987      Acquisitions/Mergers/Takeovers Acquired Blue Circle Southern Cement.


   1982      Acquisitions/Mergers/Takeovers Acquired BMI.



								
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