The construction boom spurred building supplies and hardware company SAL to a 52 percent increase in net income in the first half of 2004.

And the company said the outlook for the rest of the year also looked strong as existing major building projects and new projects expected to get underway would continue to stoke demand. SAL president John (Chucky) Berg said in a statement yesterday that turnover for the six months to August 31 jumped 23 percent to $13.97 million while net income soared to $1.87 million.

The company declared a dividend of $2.50 per common share.

?Existing major building projects on the Island together with new ones that are projected to come on stream give optimism for a flourishing second half of the year to supplement the successful first half,? Mr. Berg said, adding the company planned to capitalise on the growth in a number of new product markets.

?A significant component of the capital expenditure in the next part of this fiscal year is the purchase and installation of the new Concrete Block Factory,? Mr. Berg said. ?This project is underway with a target production start-up timed for the middle of 2005.?

SAL hardware stores in Devonshire and Southampton and a quarry in Warwick.