USG pumps up its bottom line
USG Corporation made modest progress on the revenue front in the second quarter, but it did make significant strides in terms of net income.
“All of our businesses expanded their margins and contributed to our strong second quarter,” said James Metcalf, chairman, president and CEO. “We generated the highest level of net income since the fourth quarter of 2006 when demand was 50% higher.”
Net sales came in at $970 million, up 2% year-over-year.
However, net income of $79 million represented a 39% increase over the second quarter of 2014.
Especially profitable was the Gypsum segment, which pulled in $98 million in operating profit, an operating margin improvement of 310 basis points.
“In the second quarter, our Gypsum segment realized its strongest operating margin in over 8 years,” Metcalf said. “We are focused on expanding our margins and growing our non-wallboard portfolio of products in this business.”
“We made strides in all three phases of our Plan to Win in the second quarter by strengthening our core operations, diversifying our earnings base, and differentiating USG through innovation," he added. "The outlook for all of our businesses is bright."
Newell Rubbermaid relocates Atlanta HQ
Newell Rubbermaid is moving its corporate headquarters to a new Atlanta location to better align the company with its goals for the future.
The headquarters is moving from 3 Glenlake Parkway to 6655 Peachtree Dunwoody Road early next year.
The new space will "reflect the brand-led, innovative company," as Newell puts it, designed for the "more mobile" work methods of the future.
"We are transforming Newell into a faster growing, more profitable, more global company," said Newell Rubbermaid president and CEO Michael Polk. "We have made great progress strengthening our brands and accelerating performance, and our new headquarters work space will be collaborative, mobile, technology-enabled and more productive than our current headquarters."
The building will be designed by global architecture and design firm Perkins + Will.