James Hardie chief executive Dr Jack Truong says the pandemic has caused a fundamental shift in households, which are now much more willing to spend big on renovations, and rising house prices have been a further trigger to upgrade rather than move.
He says sentiment is playing into the company’s strengths with its range of exterior plasterboard and panelling products as it aggressively targets homeowners directly, in particular females who control the purse-strings and are central to the decision-making in the household. James Hardie generated record sales and profits in the June quarter.
Truong estimates that the remodelling and renovations market in North America, which is the company’s biggest market, is growing at a rate of 15 per cent. Similar trends are occurring in Europe and Australia where households view their home as a fortress and are prepared to invest heavily to make it as comfortable and eye-catching as possible.
“More and more people want to remodel their homes,” Truong says. “The consumer behaviour has really changed.”