FONT-SIZE Plus   Neg

Texas Industries Q3 Loss Narrows On Higher Sales

Cement producer Texas Industries Inc. (TXI) on Wednesday reported a loss for the third quarter that narrowed from last year on higher sales as construction activity in Texas and California continued to improve. Loss per share was narrower that analysts' estimates.

Cement sales for the quarter grew 26 percent to $73.09 million, as shipments and price increased. Shipments rose to 933 thousand tons from 743 thousand tons last year, while price per ton improved to $78.39 from $77.76 last year.

Stone, sand and gravel sales also improved on higher shipments as well as prices. Ready-mix concrete sales also grew on higher volumes and prices.

Texas Industries' third-quarter net loss was $5.81 million or $0.21 per share, narrower than loss of $24.28 million or $0.87 per share in the year-ago period. On average, ten analysts polled by Thomson Reuters expected the company to report a loss of $0.41 per share for the quarter. Analysts' estimates typically exclude special items.

Net sales for the quarter rose 16 percent to $141.36 million from $121.89 million in the prior-year quarter. Analysts had a consensus revenue estimate for the quarter of $140.98 million.

Mel Brekhus, Chief Executive Officer of Texas Industries said, "Construction activity in Texas and California continued to improve this quarter. Gross profit increased $14.2 million on increased sales of $19.5 million."

Looking ahead, Brekhus added, "The commissioning of the second kiln at our central Texas plant is on target to be completed this spring. This additional 1.4 million tons of cement capacity, in combination with the East Texas ready mix assets we acquired last week, places TXI in a strong position to benefit from the recovery in construction that is underway."

TXI closed Wednesday's trading at $66.00, down $0.75 or 1.12 percent on a volume of 459,675 shares. However, in after-hours, the stock gained $1.50 or 2.27 percent to $67.50.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Chipmaker Qualcomm is reportedly in talks with NXP Semiconductor NV (NXPI) for a possible acquisition, reports said. According to Bloomberg, negotiations are on with a probable price of $110 t $120 per NXP share. The deal would value NXP at around $34.7 billion. Regulators have confirmed the eleventh U.S. fatality linked to Takata Corp.'s defective air bag inflators. The National Highway Traffic Safety Administration or NHTSA said Thursday that a crash fatality in Riverside County, California, was tied to the rupture of a recalled Takata air bag inflator. Reynolds American Inc. (RAI) on Friday confirmed that British American Tobacco plc (BATS.L, BTI) has offered to buy the remaining 57.8 percent stake that it does not own in the US tobacco company for $47 billion. Reynolds said its board of directors will evaluate the offer, and respond accordingly to BAT, which currently owns 42.2 percent stake in Reynolds. The proposal represents an enterprise va
comments powered by Disqus
Follow RTT