Eagle Materials Inc. reported financial results for the second quarter of fiscal 2012, which ended September 30. Notable items for the quarter include:
• Revenues of $134.8 million
• Cash flow from operations of $26.4 million
• Net earnings of $6.0 million
• Diluted earnings per share of $0.14
Revenues increased 2 percent from the prior year reflecting improved sales volumes across most of our business lines. Operating earnings were down 6 percent due primarily to higher raw material costs in our gypsum wallboard segment. Operating cash flow was strong during the quarter, further strengthening our financial position. Prior year’s net earnings include approximately $2.5 million, or $0.06 per diluted share, of tax and interest benefits associated with the final assessment from the IRS related to their audit of the Republic asset acquisition in tax years 2001 through 2006.
The company’s Gypsum Wallboard and Paperboard’s division second quarter operating earnings of $1.5 million were down 71 percent compared to the same quarter last year. Lower wallboard average net sales prices and higher raw material costs were the primary driver of the quarterly earnings decline.
Gypsum Wallboard and Paperboard revenues for the second quarter totaled $72.3 million, a 2 percent increase from the same quarter a year ago. The revenue increase reflects higher wallboard sales volumes and higher paperboard sales prices, offset by lower gypsum wallboard average net sales prices.
The average gypsum wallboard net sales price this quarter was $92.09 per MSF, 4 percent less than the same quarter a year ago. Gypsum Wallboard sales volume for the quarter of 403 million square feet (MMSF) represents a 2 percent increase from the same quarter last year. The average Paperboard net sales price this quarter was $524.20 per ton, 11 percent higher than the same quarter a year ago. Paperboard sales volumes for the quarter were 60,000 tons, 3 percent lower than the same quarter a year ago.
For their Fiscal 2nd Qtr, Eagle's Gypsum Wallboard business (American Gypsum) reports: • Q2 revenues of $50.9 million - up 1.3 percent from Q2 '10 and down 0.7 percent from Q1 '11
• Q2 EBIT of -5.0 percent - compared to 2.6 percent EBIT in Q2 '10 and 2.4 percent EBIT in Q1 '11.
• Q2 gypsum wallboard volume of 403 MMSF - up from 397 MMSF in Q2 '10 and down from 412 MMSF in the prior quarter.
• Q2 gypsum wallboard average net price of $92.09 per MSF - down $3.99 per MSF from Q2 '10 and up $2.06 per MSF from the previous quarter
For more information, visitwww.eaglematerials.com.
Eagle Materials Reports Second Quarter Results
Looking for a reprint of this article?
From high-res PDFs to custom plaques, order your copy today!