Cement and building materials supplier Texas Industries Inc. (TXI)’s recent press release reports its fiscal third quarter loss narrowed as its cement shipments increased, but that poor weather conditions adversely affected the results.
TXI based in Dallas, USA, reported a US$20.9 million loss, or US$0.75/share, for the fiscal third quarter. In the same quarter a year before, the loss was US$27.1 million, or US$0.98/share.
Sales rose nearly 7% to US$125.8 million from US$117.8 million. However, the cost of products sold exceeded sales in both the latest quarter and in last year’s quarter. This countered many analysts’ expectations for the company to post a loss of US$0.77/share on revenue of US$121.8 million.
Although cement shipments increased by 10% in terms of t cement shipped, the average prices were lower than in the previous year.
"Shipments were up compared to the same period a year ago," stated Mel Brekhus, Chief Executive Officer. "However, since we had abnormally inclement weather in both periods, we will not know how much of the increase is attributable to improved market conditions until we see the extent of the weather related rebound in our fourth quarter."
"We continue to focus on meeting market demand as cost effectively as possible," added Brekhus. "We resumed construction of TXI's central Texas cement plant expansion last quarter and that project is proceeding as planned."
TXI reported its results after its shares fell US$0.42, or about 1%, to close at $43.45 in the stock market. The stock was unchanged in after-hours trading. The company plans to hold a teleconference following the release of the fiscal third quarter results and for more information, and to read the press release in its entirety, please visit http://investorrelations.txi.com/releases.cfm.
Read the article online at: https://www.worldcement.com/the-americas/24032011/txi-reports-poor-weather_conditions_impacting_upon_a_narrowing_fiscal_third_quarter_loss/