James Hardie Industries Plc. · NYSE:JHX
James Hardie Industries — Q2 2025 Earnings Presentation
22 slides from James Hardie Industries's earnings presentation, Nov 12, 2024
Slide 1: Second Quarter FY25 Earnings Presentation
Second Quarter FY25 Earnings Presentation TUESDAY, NOVEMBER 12th | CHICAGO | DUBLIN WEDNESDAY, NOVEMBER 13th | SYDNEY
Slide 2: Cautionary Note and Use of Non-GAAP Measures
Cautionary Note and Use of Non-GAAP Measures This Earnings Presentation contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. James Hardie Industries plc (the “Company”) may from time to time make forward-looking statements in its periodic re
Slide 3: Agenda
Agenda Aaron Erter Chief Executive Officer Key Messages Business Update & Strategy Financial Review Guidance & Outlook Rachel Wilson Q&A Chief Financial Officer Q2 FY25 3 Earnings Presentation
Slide 4: Key Messages
Key Messages Our Operational Focus Consistent Results Delivery Delivering on Our Commitments Achieved Our Q2 Guidance 717 mmsft North America Volume 29.0% North America EBIT Margin $157mm Total Adjusted Net Income Managing Decisively Delivering Value for Our Customers Investing for Future Grow
Slide 5: Segment Business Update
Segment Business Update North America Fiber Cement Asia Pacific Fiber Cement Europe Building Products Outperforming our end markets Growing our share in Australia & New Positioning to capture improvement in through our superior value proposition; Zealand, despite continued challenges in UK res
Slide 6: Our Strategy Spans the Value Chain
Our Strategy Spans the Value Chain Homeowner Focused, Customer and Contractor Driven Strategic Initiatives 1 2 3 Profitably grow and Bring our customers high Connect and influence all take share where we valued, differentiated the participants in the have the right to win solutions customer value ch
Slide 7: Flywheel for Long-Term Value Creation
Flywheel for Long-Term Value Creation Driving Long-Term Creating Demand Across Profitable Share Gain the Customer Value Chain Taking Share from Competing Substrates The Brand of Choice for within R&R and New Construction Homeowners, Customers & Contractors Long-Term Value Creation Supporting the Gro
Slide 8: Financial Key Messages
Financial Key Messages Consistent Results Delivery Achieved Our Q2 Guidance Positioned to Outperform the Market and Deliver on Our FY25 Commitments Planning for Profitable Growth in FY26 Fortifying our Liquidity Position and Leverage Profile Q2 FY25 8 Earnings Presentation
Slide 9: Second Quarter FY25 Financial Highlights
Second Quarter FY25 Financial Highlights Net Adjusted Adjusted Share Sales EBITDA Net Income Repurchases $961mm $263mm $157mm $75mm (4%) (8%) (12%) +$300mm Achieved Growth in ASP Comparing vs. Comparing vs. Completed $300mm Program in Q2 Across our Regions Record Q2 Results in FY24 Record Q2 Results
Slide 10: Second Quarter FY25 Adjusted EBITDA
Second Quarter FY25 Adjusted EBITDA $300mm ANZ Sales Growth & Margin Expansion ; $286mm Partially Offset By Unfavorable Philippines $275mm $261mm (HSD%) Volumes +$5mm $263mm Partially Offset Unfavorable ~$0mm By Favorable ASP Underlying $250mm Fixed Cost Growth, More Absorption & than Offset By Raw
Slide 11: North America Fiber Cement Results
North America Fiber Cement Results Q2 FY25 Q2 FY24 vs. PY Key Drivers Net Sales ($mm) $695.8 $734.4 (5%) Delivered volumes in line with guidance Exteriors declined (HSD%) Sales Volume 717.4 mmsf 773.2 mmsf (7%) Interiors declined (HSD%) Average Net Sales Price $965 /msf $944 /msf +2% Favorab
Slide 12: Asia Pacific Fiber Cement Results
Asia Pacific Fiber Cement Results Q2 FY25 Q2 FY24 vs. PY Key Drivers Net Sales ($mm) $148.4 $147.4 +1% Net Sales (A$) (2%) Australia & New Zealand combined for Net Sales (A$) – Australia & New Zealand +MSD% +LSD% volume growth, favorable ASP and +MSD% sales growth in local currency Sales Volume 12
Slide 13: Europe Building Products Results
Europe Building Products Results Q2 FY25 Q2 FY24 vs. PY Key Drivers Delivered +LSD% underlying sales growth Net Sales ($mm) $116.6 $117.0 --% Fiber Gypsum Down (LSD%) in local currency, up +LSD% on an underlying basis. Net Sales (€) (1%) Fiber Cement Up +HSD% in local currency Sales Volume 173
Slide 14: Cash Generation & Capital Allocation
Cash Generation & Capital Allocation James Hardie Capital Allocation Framework 3) Deploy Excess Capital 1) Invest in Organic Growth % to Shareholders 45% Adjusted ROCE (Avg. FY20-FY24) Increased share repurchase program to $300mm during 1Q Evaluate capacity using robust returns and deployed th
Slide 15: Guidance
Guidance 2H FY25 FY25 North America Volume 1.48+ bnsf 2.95+ bnsf (low end unchanged) North America EBIT Margin 28.5%+ 29.3%+ (low end raised from 29.0%) Total $300mm+ $635mm+ Adjusted Net Income (low end raised from $630mm) Capital $420-440mm Expenditures (prev. $500-550mm) FY25 Volume Within Origin
Slide 16: Planning Assumptions & Aspirations
Planning Assumptions & Aspirations FY26 Long-Term Planning Assumptions Aspirations North America Growth vs. FY25 Double-Digit % Net Sales Growth North America Growth vs. FY25 3x vs. FY24 Adjusted EBITDA ($mm) North America Expansion vs. FY25 +500bps vs. FY24 Adjusted EBITDA Margin Total Adjusted EBI
Slide 17: We Are Positioned to Accelerate Growth
We Are Positioned to Accelerate Growth We Have the We Are Anchoring on We Aspire to Deliver Right Strategy Bold Ambitions Profitable Growth Long-Term +DD% +500bps $ $ $ $ $ Revenue Adj. EBITDA Margin Returns Value Creation Homeowner Focused, Customer and Contractor Driven 3x North America Adjusted E
Slide 18: Q&A
Q&A Aaron Erter Chief Executive Officer Rachel Wilson Chief Financial Officer Q2 FY25 18 Earnings Presentation
Slide 19: Non-GAAP Financial Measures
Non-GAAP Financial Measures This Earnings Presentation forms part of a package of information about the company’s results. It should be read in conjunction with the other parts of this package, including the Management’s Analysis of Results, Earnings Release and Condensed Consolidated Financial Stat
Slide 20: Non-GAAP Financial Measures
Non-GAAP Financial Measures Adjusted EBIT and Adjusted EBITDA North America Fiber Cement Segment EBIT and EBITDA US$ Millions Three and Six Months Ended 30 September US$ Millions Three and Six Months Ended 30 September 6 Months 6 Months 6 Months 6 Months Q2 FY25 Q2 FY24 Q2 FY25 Q2 FY24 FY25 FY24 FY2
Slide 21: Non-GAAP Financial Measures
Non-GAAP Financial Measures Adjusted General Corporate costs US$ Millions Three and Six Months Ended 30 September 6 Months 6 Months Q2 FY25 Q2 FY24 FY25 FY24 General Corporate costs $ 41.2 $ 57.1 $ 77.0 $ 90.8 Less: Restructuring expenses - (20.1) - (20.1) Net Leverage Ratio Asbestos related expense
Slide 22: Non-GAAP Financial Measures
Non-GAAP Financial Measures Asia Pacific Fiber Cement Segment Adjusted EBIT and Adjusted EBITDA A$ Millions Three and Six Months Ended 30 September 6 Months 6 Months Q2 FY25 Q2 FY24 FY25 FY24 Asia Pacific Fiber Cement Segment EBIT A$ (11.0) A$ 67.9 A$ 51.5 A$ 137.4 Restructuring expenses 84.7 - 84.7
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