Displaying items by tag: Eagle Materials

US: Cemex has signed a definitive agreement for the sale of its 1Mt/yr Fairborn, Ohio cement plant, a cement terminal in Columbus, Ohio and a cement bagging operation to Eagle Materials for US$400m. Cemex will use the proceeds of the sale to reduce its debts and for general corporate purposes. The closing of the deal is subject to regulatory approval. The divestiture is expected to be completed during the fourth quarter of 2016.

"Our strategy has been to grow the cement side of our business. The Fairborn plant extends our US cement system and connects but does not overlap with the market reach of our existing plants. This high-quality cement plant is a compelling fit with our strategic objectives and our criteria for new investment. These assets will allow us to participate more fully in the US construction industry and further positions the company in target US heartland growth markets," said Dave Powers, Eagle Materials President and Chief Executive Officer.

US: Eagle Materials’ sales revenue from cement has risen by 19% year-on-year to US$116m in the first quarter of its 2017 financial year, which ended on 30 June 2016, from US$98m in the same period in 2015. Overall company revenue rose by 1.5% to US$298m from US$285m. Cement sales volumes rose by 4% to 1.25Mt from 1.20Mt.

US: Eagle Materials has reported that its revenue rose by 7% year-on-year to US$1.14bn in the financial year that ended on 31 March 2016 from US$1.07bn in the previous period. Its earnings fell by 18% to US$153m from US$187m.

By business sector Eagle’s cement operating earnings rose by 7% to US$515m from US$479m for both its wholly owned and joint ventures. Overall cement sales volumes remained stable at 4.8Mt. It noted that in Texas increased demand for construction grade cement continued to offset much of the impact from lower oil well cement demand.

US: Eagle Materials has reported that its earnings from its cement business rose by 11% year-on-year to US$41.8m in the third quarter of 2015. The earnings increase was attributed to a 4% increase in average net cement sales prices and record quarterly cement sales volumes.

Cement revenues for the third quarter rose by 9% to US$97.1m. Cement sales reached 1.2Mt, a rise of 1% year-on-year. Eagle also reported that its cement businesses in Texas and Oklahoma was impacted by heavy rains in October and December 2015 which resulted in lower sales volumes in both of those markets. Additionally, in Texas, increased demand for construction grade cement continues to offset much of the impact from lower oil well cement demand.

US: Steve Rowley will retire as president and CEO of Eagle Materials on 31 March 2016. Dave Powers, Executive Vice President for Gypsum Wallboard at Eagle since 2005, will succeed Rowley as President and CEO. He will also be appointed to the Board of Directors.

"Steve has positioned Eagle for an exciting future. He has led the doubling of the scale of our cement business and has guided the growth of our gypsum wallboard business in achieving its nation-wide scope. He also has successfully led the company through the longest and most challenging construction market down-cycle in US history," said Larry Hirsch, Chairman of the Board. Health reasons were cited for Rowley's retirement.

Dave Powers, aged 65, holds over 35 years of experience in the building materials industry. He joined Eagle Materials (formerly Centex Construction Products) in 2002 as Executive Vice President, Sales and Marketing. In January 2005, he was promoted to his role as Eagle's Executive Vice President for Gypsum (and President, American Gypsum Company LLC).

US: Eagle Materials has reported its financial results for the second quarter of its 2016 fiscal year, which ended on 30 September 2015. Its revenue grew by 16% year-on-year to US$329m and its net earnings fell by 41% to US$29.8m, reduced by US$26.2m post-tax due to non-routine items related to the oil and gas proppants segment. Eagle Materials' adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) grew by 14% to US$110m.

Eagle's construction products and building materials businesses continued to perform well during the second quarter of 2016, with the Cement and Paperboard businesses reporting record quarterly operating earnings and the wallboard, concrete and aggregates businesses reporting year-on-year improvements. Demand for building materials and construction products remains strong in each of its regional markets. Cash flow from operations improved by 12% and was used to fund the Skyway acquisition, make capital improvements, pay dividends, reduce debt and repurchase shares.

The decline in oil prices during the summer adversely impacted US oil and gas drilling activity, leading to further reductions in demand and pricing for proppants. As a result, it recorded impairments to several intangible assets originally booked in connection with its acquisition of CRS Proppants and revalued downward certain raw sand inventory values. The impairments and inventory revaluation charges totalled approximately US$37.8m pre-tax.

Operating earnings from Cement for the second quarter of 2016 were a record US$48.6m, some 26% higher than the same quarter in its 2015 fiscal year. The earnings increase was driven by an 8% increase in average net cement sales prices and record quarterly cement sales volumes. Cement revenues for the second quarter, including joint venture and intersegment revenues, grew by 13% to US$165m. Cement sales volumes grew by 1% to a record 1.5Mt.

US: Eagle Materials has reported that in the first quarter of its 2016 fiscal year, which ended on 30 June 2015, its revenues grew by 7% to US$285m, its earnings before interest and income taxes grew by 1% to US$60.4m, its earnings before interest, taxes, depreciation and amortisation (EBITDA) grew by 10% toUS$84.6m and its net earnings grew marginally to US$37.8m.

First quarter net sales prices improved across nearly all businesses, with the most notable increases in the cement and concrete businesses. Extraordinarily wet weather in many of itscement markets, including Texas, Oklahoma and Colorado, adversely impacted the timing of cement sales volumes during the first quarter. However, Eagle Materials reported that its underlying demand for its cement continues to remain strong. In addition, all of its cement facilities completed their planned annual outages during the first quarter and cement maintenance costs were approximately US$3m higher than the prior year's first quarter.

Its cement revenues for the first quarter, including joint venture and intersegment revenues, totalled US$128.2m, which was slightly higher than the same quarter last year. The average net sales price grew by 9% year-on-year. Cement sales volumes fell by 7% to 1.2Mt. The most significant decline in cement sales volumes occurred in Texas, primarily associated with well-above average rainfall during the period. Operating earnings from cement for the first quarter of 2016 grew by 25% to US$25.7m. The earnings improvement was driven primarily by improved average net cement sales prices, lower energy, raw materials and purchased cement costs, partially offset by lower cement sales volumes and US$3m of increased costs associated with a shift in the timing of all the annual maintenance outages at cement plants to the first quarter.

US: Eagle Materials Inc has reported its financial results for its 2015 fiscal year that ended on 31 March 2015.

Earnings before interest and income taxes increased by 32% year-on-year to US$265m, reflecting improved sales volumes across nearly all business lines, with cement sales volumes setting an annual record of 4.8Mt. Net sales prices also strengthened across all businesses. Fourth quarter earnings before interest and income taxes increased by 31% to US$44.4m, as fourth quarter sales volumes improved across nearly all businesses, reflecting improving construction fundamentals in the US.

On 3 March 2015, Eagle entered into a definitive agreement with Holcim (US) to purchase its 600,000t/yr granulated ground blast furnace slag (GGBFS) plant in South Chicago. The purchase price of US$30m is subject to customary post-closing adjustments and will be funded from operating cashflow. The transaction is expected to close in the second quarter of its 2016 fiscal year and is conditioned upon the closing of the Lafarge-Holcim global merger.

Operating earnings from cement in 2015 were a record US$118m, an increase of 31% compared to 2014. Revenues from cement, including joint venture and intersegment sales, were US$489m for 2015, 12% higher than 2014. Operating earnings from cement were a fourth quarter record of US$21m, a 74% increase from the prior year quarter. Cement revenues for the quarter, including joint venture and intersegment revenues, totalled US$90.8m, 11% greater than the same quarter of its 2014 fiscal year. Cement sales volumes for the quarter grew by 3% year-on-year to 827,000t.

US: Eagle Materials has announced the appointment of Michael Haack as chief operating officer (COO), reporting to Steve Rowley, president and CEO. The COO position is a newly-created one in response to the company's significant growth and continued strategic expansion in construction and energy-related markets.

Michael joins Eagle from Halliburton Energy Services, where he enjoyed a 17 year career with successively important operating positions, most recently with the management of Global Operations for Sperry Drilling, a company in the drilling and evaluation division of Halliburton with operations in every major global oil and gas market. He was awarded a Master of Business Administration degree from Rice University and holds a Master of Science degree from Texas A&M University and a Bachelor of Science degree from Purdue University, both in Industrial Engineering.

"We are proud to have such a high-calibre and experienced individual as Michael joining the Eagle team," said Rowley. "His placement in this newly created position is timely given our growth progress and strategic aspirations. Haack's experience will be especially valuable given our growth into energy-related markets, most notably in frac-sand and specialty oil well casing cement. This represents a significant step in the expansion of our strong operating leadership team and is aimed at ensuring the long-term continuity of Eagle's enviable performance track record."

US: Eagle Materials has appointed Richard Beckwitt to its board of directors. Beckwitt is President of Lennar Corporation, where he has worked for eight years. Prior to his work with Lennar, Beckwitt held various executive officer positions at DR Horton, including President. He also worked in the Mergers and Acquisitions and Corporate Finance Departments at Lehman Brothers.

"Rick brings a wealth of experience in the homebuilding business to the Eagle Board along with superb operational and financial talents," said Eagle's Chairman Larry Hirsch. "We are confident that Rick will provide valuable input as Eagle continues on its dynamic growth path."