Building materials company Ferguson Plc (LON:FERG) maintained its full year guidance after a robust first half as growth in the US housing market offset challenging trading in the UK.
The group said trading profit from ongoing businesses rose to US$698mln in the six months to January 31 from US$607mln the same period a year ago.
Revenue from ongoing businesses increased to US$10.1bn from US$9.1bn.
"US residential markets are growing well, commercial market growth is good and industrial markets have recovered. Canadian markets are healthy, though UK markets are challenging,” said chief executive John Martin.
READ: Wolseley weak as good performance in US residential, commercial markets offset by poor UK showing
The company proposed a special dividend and share consolidation of about US$1bn, or US$4 per share, subject to the completion of the sale of its Nordics building materials distribution business Stark Group.
Ferguson agreed to sell Stark to an affiliate of Lone Star Funds, a US private equity firm, in a €1bn deal last November. It expects to complete the deal by the end of March after receiving clearance from European Union authorities.
Shares rose 4.7% to 5,378p in morning trading.
READ: Wolseley unveils name change, Nordics exit as it posts profits rise driven by US growth
Last year company decided to change its name from Wolseley to match its US brand, Ferguson, since the division makes up the bulk of its revenues.