BURNABY, BC, Nov. 6, 2014 /CNW/ - Taiga Building Products Ltd. ("Taiga" or the "Company") today reported its financial results for the three and six months ended September 30, 2014.
Second Quarter Ended September 30, 2014 Earnings Results
Sales for the quarter ended September 30, 2014 were $383.6 million compared to $344.9 million in the same period last year. The 11% increase in sales was primarily the result of higher lumber price and increased sales from California operations.
Gross margin for the quarter ended September 30, 2014 increased to $34.4 million from $29.7 million over the same period last year. Gross margin percentage for the quarter increased to 9.0% compared to 8.6%. The gross margin percentage from last year's second quarter was negatively impacted by a steep decline in commodity prices.
Taiga's net earnings for the quarter ended September 30, 2014 increased to $5.7 million from $4.0 million over the same period last year.
EBITDA for the quarter ended September 30, 2014 was $13.7 million compared to $12.7 million for the same period last year.
Six Months Ended September 30, 2014 Earnings Results
Sales for the six months ended September 30, 2014 were $758.3 million compared to $680.7 million over the same period last year. The increase in sales by $77.6 million or 11% was largely due to higher sales from US and export operations selling into the United States and Asian markets. In addition, the first quarter's sales were positively impacted by the release of pent-up customer demand created by the severe winter conditions experienced in the previous fiscal year.
Gross margin for the six months ended September 30, 2014 increased to $67.5 million from $55.1 million over the same period last year. Gross margin percentage for the six months increased to 8.9% compared to 8.1% over the same period last year. The gross margin percentage was lower in last year's period due to a steep decline in commodity prices.
Net earnings for the six month period ended September 30, 2014 were $11.2 million compared to $5.5 million for the same period last year.
EBITDA for the six months ended September 30, 2014 increased to $29.9 million compared to $22.3 million for the same period last year.
|
Condensed Consolidated Statement of Earnings | |||
|
For the Three Months Ended | |||
|
September 30, | |||
|
(in thousands of Canadian dollars, except for per share amounts) |
2014 |
2013 | |
|
Sales |
383,559 |
344,924 | |
|
Gross margin |
34,440 |
29,722 | |
|
Distribution expense |
5,257 |
4,441 | |
|
Selling and administration expense |
16,246 |
13,653 | |
|
Finance expense |
1,535 |
1,769 | |
|
Subordinated debt interest expense |
4,089 |
4,089 | |
|
Other expense (income) |
279 |
(85) | |
|
Earnings before income taxes |
7,034 |
5,855 | |
|
Income tax expense |
1,374 |
1,881 | |
|
Net earnings |
5,660 |
3,974 | |
|
Net earnings per share(1) |
0.17 |
0.12 | |
|
EBITDA(2) |
13,679 |
12,732 | |
The following is the reconciliation of net earnings to EBITDA:
|
September 30, | ||||
|
(in thousands of Canadian dollars) |
2014 |
2013 | ||
|
Net earnings |
5,660 |
3,974 | ||
|
Income tax expense |
1,374 |
1,881 | ||
|
Finance and subordinated debt interest expense |
5,624 |
5,858 | ||
|
Amortization |
1,021 |
1,019 | ||
|
EBITDA |
13,679 |
12,732 | ||
|
For the Six Months Ended |
|||
|
September 30, | |||
|
(in thousands of Canadian dollars, except for per share amounts) |
2014 |
2013 | |
|
Sales |
758,325 |
680,727 | |
|
Gross margin |
67,450 |
55,146 | |
|
Distribution expense |
10,338 |
8,857 | |
|
Selling and administration expense |
29,088 |
26,457 | |
|
Finance expense |
3,310 |
3,847 | |
|
Subordinated debt interest expense |
8,178 |
8,178 | |
|
Other expense (income) |
183 |
(468) | |
|
Earnings before income taxes |
16,353 |
8,275 | |
|
Income tax expense |
5,115 |
2,788 | |
|
Net earnings |
11,238 |
5,487 | |
|
Net earnings per share(1) |
0.35 |
0.17 | |
|
EBITDA(2) |
29,850 |
22,323 | |
The following is the reconciliation of net earnings to EBITDA:
|
September 30, | |||
|
(in thousands of Canadian dollars) |
2014 |
2013 | |
|
Net earnings |
11,238 |
5,487 | |
|
Income tax expense |
5,115 |
2,788 | |
|
Finance and subordinated debt interest expense |
11,488 |
12,025 | |
|
Amortization |
2,009 |
2,023 | |
|
EBITDA |
29,850 |
22,323 | |
|
Notes: | |||
The foregoing selected financial information is qualified in its entirety by and should be read in conjunction with, our unaudited condensed interim consolidated financial statements for the three and six months ended September 30, 2014 and accompanying notes and management's discussion and analysis which will be available shortly on SEDAR at www.sedar.com.
SOURCE Taiga Building Products Ltd.
