DuluxGrp glosses over China cracks

PAINT and adhesives supplier DuluxGroup says it will continue to defend its market leading position in Australia, while a hit to its joint venture in China will not derail its broader Asian interests.

DuluxGroup expects to achieve profit growth in its current fiscal year, and managing director Patrick Houlihan told the company’s annual general meeting that revenue in the first two months is “comfortably ahead” of the same period a year ago.

The only area of the company’s operations that took a hit to profit in 2016/17 was its 51 per cent owned DGL Camel coatings and adhesives business in China and Hong Kong.

Chairman Peter Kirby told yesterday’s AGM that a strategic review of DGL Camel is still underway, after finding the mainland market “much tougher” than Hong Kong, where it remains a market leader.

Mr Houlihan said the company was confident its core renovation and repair markets in Australia and New Zealand were on track to provide ongoing, resilient growth.