Headwaters 1Q Loss Down Sharply On Charge

SOUTH JORDAN, Utah (AP) — Energy and building products company Headwaters Inc. said Tuesday that its net loss grew substantially during the first quarter due to a goodwill-impairment charge, but predicted better-than-expected profit for the year.

Headwaters reported a net loss of $406.3 million, or $9.78 per share during the quarter. That compares with a year-ago loss of $9.2 million, or 22 cents per share.

Without the $465.7 million goodwill charge, the loss in the most recent period would have been $34 million, or 82 cents per share.

Revenue fell 20 percent to $137.7 million.

Analysts, who typically exclude items, were expecting a quarterly loss of 23 cents per share on revenue of $152.4 million.

Headwaters says it still expects to turn a profit in 2009, predicting earnings should range from 25 cents to 45 cents per share, excluding the big goodwill charge and including expected tax benefits later in the year.

Analysts foresee annual earnings of 19 cents per share.

Company shares rose sharply in afternoon trading, up 42 cents, or 15.4 percent, to $3.14.