Upcoming AWS Coverage on CEMEX S.A.B. de C.V.
LONDON, UK / ACCESSWIRE / February 1, 2017 / Active Wall St. announces its post-earnings coverage on Eagle Materials Inc. (NYSE: EXP). The Company released its third quarter fiscal 2017 results on January 24, 2017. The maker of gypsum wallboard and cement posted a 9% increase in revenue, while its diluted EPS surged 27%. Register with us now for your free membership at:
One of Eagle Materials' competitors within the Cement space, CEMEX S.A.B. de C.V. (NYSE: CX), is estimated to report earnings on February 02, 2017. AWS will be initiating a research report on CEMEX following the release of its next earnings results.
Today, AWS is promoting its earnings coverage on EXP; touching on CX. Get our free coverage by signing up to:
For the three months ended December 31, 2016, Eagle Materials reported revenues of $302.40 million, up 9% compared to revenues of $277.41 million in Q3 FY16.
Eagle Materials' Q3 FY17 net earnings came in at a record $56.39 million, up 23% compared to net earnings of $45.85 million in the year earlier same quarter. The Company's earnings per diluted share increased 27% to $1.17 per share, as its Cement, Paper and Concrete, and Aggregates businesses all reported record Q3 results. Eagle Materials' earnings results surpassed analysts' consensus estimates of $1.15 per share.
Cement, Concrete and Aggregates: For Q3 FY17, Eagle Materials' Cement revenues, including joint venture and intersegment revenues, totaled $138.0 million, which was 2% higher than Q3 FY16. Cement's average net sales price for the reported quarter was $100.88 per ton, 4% higher than average net sales price of $97.10 in the year earlier comparable quarter. Total cement sales volumes for Q3 FY17 were 1.2 million tons, 1% lower than the same quarter a year ago, reflecting early winter conditions in the Company's northern markets. Operating earnings from cement for Q3 FY17 were a record $45.3 million and 8% greater than operating earnings of $41.77 million in the same quarter a year ago. The earnings progress was driven primarily by improved average net cement sales prices and lower raw material and energy costs.
Eagle Materials' Concrete and Aggregates reported revenues for Q3 FY17 surged 29% to $40.60 million compared to revenues of $31.58 million in Q3 FY16. Concrete and Aggregates' reported quarter operating earnings were $4.6 million, a 202% improvement from the same quarter a year ago of $1.52 million, reflecting record quarterly concrete sales volumes and record third quarter concrete and aggregates sales prices.
Gypsum Wallboard, and Paperboard: For Q3 FY17, Eagle Materials' Gypsum Wallboard and Paperboard revenues registered a 12% growth to $146.87 million compared to revenues of $131.66 million in Q3 FY16. The average Gypsum Wallboard net sales price in the reported quarter was $153.34 per MSF, 3% less than the year earlier quarter. During Q3 FY17, Gypsum Wallboard sales volume of 646 million square feet (MMSF) represented a 14% y-o-y increase. Paperboard sales volumes for the Q3 FY17 were 76,000 tons, 7% greater than Q3 FY16. The average Paperboard net sales price in Q3 FY17 was $524.75 per ton, 3% greater than the year earlier corresponding quarter.
Eagle Materials' Gypsum Wallboard and Paperboard reported Q3 FY17 operating earnings of $50.46 million, up 12% compared to operating earnings of $45.21million in Q3 FY16, primarily reflecting improved Gypsum Wallboard and Paperboard sales volumes.
Oil and Gas Proppants: Eagle Materials' Oil and Gas Proppants reported Q3 FY17 revenues of $7.12 million, a 16% decrease from Q3 FY16 revenue of $8.48 million, primarily reflecting lower average net sales prices which were partially offset by a 7% increase in frac sand sales volumes from the prior year. The segment's Q3 FY17 operating loss of $1.7 million includes depreciation, depletion, and amortization of $5.0 million. During the reported quarter, the Company also recognized a $4.1 million pre-tax gain on settlement associated with the termination of one of its long-term frac sand customer contracts.
Cash Flow & Balance Sheet
During Q3 FY17, Eagle Materials' cash flow increased 18% to approximately $129 million. The Company stated that excess cash flow was used to pay dividends, make capital investments and reduce outstanding borrowings. Eagle Materials' net-debt-to-cap ratio was 20% at December 31, 2016.
On Tuesday, on January 31, 2017, the stock closed the trading session at $104.58, slightly falling 0.48% from its previous closing price of $105.08. A total volume of 532.27 thousand shares have exchanged hands. Eagle Materials' stock price surged 30.06% in the last three months, 27.94% in the past six months, and 96.32% in the previous twelve months. Moreover, the stock gained 6.14% since the start of the year. The Company's shares are trading at a PE ratio of 25.25 and have a dividend yield of 0.38%.
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SOURCE: Active Wall Street