HEADWATERS INCORPORATED (NYSE:HW), a building products company dedicated to improving lives through innovative advancements in construction materials, today announced results for its third quarter of fiscal 2013.
Third Quarter Highlights
- Light building products revenue increased 21% and Adjusted EBITDA increased 26%
- Heavy construction materials revenue increased 1% and Adjusted EBITDA increased 7%
- Operating income and income from continuing operations improved 46% and 353%, respectively
- Repaid $24.3 million of convertible debt, reducing our February 2014 debt maturity to $15.6 million and maintained over $40 million of cash on hand
- Negotiated two new HCAT™ technology agreements with cash generation expected to begin in the second half of calendar year 2014
“Our light building products segment continued to deliver top line growth due to strong demand in our stone and block product categories, driven by new residential construction and a strong economy in the Texas market. Siding accessories and heavy construction materials were impacted by a slow start to the construction season in the upper Midwest and New England markets, due in part to cool weather conditions. On a combined basis, we made excellent progress towards increasing our Adjusted EBITDA by driving top line growth, improving margins, and controlling costs," said Kirk A. Benson, Chairman and Chief Executive Officer. “As the construction season in the northern areas of the country accelerates through the September quarter, we expect improved performance in our heavy construction materials segment and continued growth in light building products.“We collected $3.5 million in bond replacements and deferred purchase price related to the sale of our coal cleaning business. We anticipate continued cash collections over the next several years. Headwaters' remaining energy business, HCAT, has negotiated two new technology agreements and is positioned for increases in EBITDA and cash flow towards the second half of calendar 2014.”