Eagle Materials Inc. (NYSE: EXP) today reported financial results for the first quarter of fiscal 2014 ended June 30, 2013. Notable items for the quarter include (all comparisons, unless noted, are with the prior-year’s first quarter):
- Revenues of $227.0 million, up 47%
- Record quarterly cement sales volumes of 1.2 million tons
- Earnings before interest and income taxes of $49.5 million, up 109%
- Net earnings per diluted share of $0.60, up 94%
- Began operations at our new frac sand plant in Corpus Christi, Texas
First quarter earnings before interest and income taxes increased 109%, reflecting improved sales volumes and net sales prices across all heritage businesses as compared to the prior year’s first quarter and the acquisition of assets, consisting primarily of two cement plants in Oklahoma and Missouri and related aggregates and ready-mix businesses in Kansas City (the Acquired Assets), on November 30, 2012.
Cement, Concrete and Aggregates
Operating earnings from Cement for the first quarter were $19.0 million, a 93% increase from the same quarter a year ago. The earnings increase was driven by increased sales volumes and average net cement sales prices partially offset by a slight increase in operating costs.
Cement revenues for the first quarter, including joint venture and intersegment revenues, totaled $117.7 million, 55% greater than the same quarter last year. The revenue improvement reflects a 46% increase in our first quarter Cement sales volume, including sales volume attributable to the Acquired Assets. The average net sales price for this quarter was $86.15 per ton, 6% greater than the same quarter last year.
Concrete and Aggregates reported operating earnings of $0.2 million for the first quarter, comparable with the same quarter a year ago.
Gypsum Wallboard and Paperboard
Gypsum Wallboard and Paperboard reported first quarter operating earnings of $35.3 million, up 83% from the same quarter last year. Improved Gypsum Wallboard net sales prices were the primary driver of the quarterly earnings increase. Additional contribution came from improved sales volumes in both wallboard and paperboard.