Displaying items by tag: Eagle Materials

US: Cemex has completed the sale of its Fairborn cement plant in Ohio and a cement terminal in Columbus to Eagle Materials for US$400m. Cemex said proceeds from the sale will be used for debt reduction and general corporate purposes. Bank of America Merrill Lynch acted as financial advisor to the cement producer for the transaction.

US: Eagle Materials revenue has risen by 5% year-on-year to US$933m in the first nine months of its financial year to 31 March 2017 from US$891m in the same period in the previous year. Its net earnings rose by 43% to US$162m from US$113m. Sales from its cement division rose by 7% to US$359m from US$335m. However, sales volumes fell slightly to 3.89Mt. Sales volumes of cement from its joint-venture in Texas grew faster than wholly-owned plants, despite cement prices falling as production shifted from oil well cement to construction-grade cement over the past year.

US: Eagle Materials’ revenue has risen by 2.6% year-on-year to US$630m in the first half of 2016 from US$614m in the same period of 2015. Its net earnings rose by 56% to US$106m from US$67.6m. Revenue from its cement business rose by 10% to US$252m from US$229m. The company singled out the strong performance of its cement business in the second quarter of 2016 with record earnings. However, it also noted that average net cement sales price at its joint venture declined year-on-year due to the shift from oil well cement to construction-grade cement over the past year. Overall cement sales volumes remained static at 2.23Mt in the first half of 2016.

US: Eagle Materials has appointed George Damiris to its board of directors. Damiris is the chief executive officer and president of HollyFrontier Corporation. He also serves as a director at HollyFrontier and Holly Logistics Services.

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.