Fletcher Building (FBU) is a NZ-based deliverer of building products, and construction materials and services across the world.
FBU has been one of the hot stock picks in 2011, surging from around $5.75 to around $6.43.
On Friday, FBU advised that due to the recent New Zealand earthquake, it expects FY11 net profit to be between $14 million and $24 million lower than previous estimates.
Given the major disruptions to the Christchurch economy, Fletcher Building has made an allowance of $5 million for its part in the city’s expected recovery programme.
Separately, FBU has extended its $700 million takeover offer for Crane Group (CRG) until March 25. The deal was previously accepted by CRG directors.