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Eagle Materials stock edges lower following disappointing Q2 results

EditorRachael Rajan
Published 29/10/2024, 10:48
© Reuters.
EXP
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DALLAS - Eagle Materials Inc . (NYSE:EXP) reported second quarter fiscal 2025 results that fell short of analyst expectations, with earnings and revenue coming in below estimates. The company's stock edged down 0.71% following the release.

The construction materials supplier posted adjusted earnings per share of $4.31, missing the consensus forecast of $4.68. Revenue for the quarter came in at $623.6 million, below the $653.26 million analysts were expecting.

Eagle Materials generated record quarterly revenue despite facing ongoing adverse weather conditions that impacted sales volumes, particularly in its Cement and Concrete and Aggregates businesses. The company reported net earnings of $143.5 million for the quarter.

"Eagle's portfolio of businesses continued to perform well despite ongoing adverse weather during the quarter, which affected sales volumes primarily in our Cement and Concrete and Aggregates businesses," said Michael Haack, President and CEO of Eagle Materials.

Cement revenue, including joint venture and intersegment revenue, decreased 2% YoY to $352.8 million. The average net sales price for cement rose 3% to $156.51 per ton, while sales volume declined 5% to 2.0 million tons.

In the Light Materials segment, which includes Gypsum Wallboard and Paperboard, revenue increased 5% YoY to $244.1 million. Gypsum Wallboard sales volume improved 3% to 752 million square feet.

The company repurchased approximately 253,000 shares of its common stock for $61 million during the quarter. Eagle Materials ended the period with a net leverage ratio of 1.2x.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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