Builders FirstSource reports 4Q sales surgeFebruary 21, 2014
Despite a drop in new home construction starts nationwide, Dallas-based Builders FirstSource Inc. has reported a $369.1 million sales surge in fourth-quarter 2013.
The Dallas company, which supplies and constructs structural and related building products for residential construction, saw a 28.3 percent increase in sales in fourth-quarter 2013 from the same quarter the previous year. Net income rose to $4.5 million in the same quarter compared to a $12 million loss in the same quarter a year earlier.
The company ended fiscal 2013 with about $1.5 billion in sales, 39.2 percent more than the previous fiscal year. The year ended with the company achieving 618,400 housing starts, 15.5 percent more than in 2012.
“When coupled with the ongoing recovery in U.S. housing, our market share gains of recent years have helped accelerate the pace of our sales growth,” said CEO Floyd Sherman in a news release.
“In turn, this enabled us to end fiscal 2013 with positive earnings before taxes, when excluding the effects of charges related to our May 2013 debt refinancing," Sherman said.
“Higher sales volume and better customer pricing were the primary drivers of our overall margin improvement, in what is still a very competitive pricing environment," Sherman said.
While frigid temperatures and relentless winter storms have slowed or stalled new-home starts, Sherman offered an upbeat forecast.
"Winter weather across our markets thus far in 2014 has caused disruptions and has delayed construction activity,” Sherman said. “Nevertheless, we still believe a growing demand for housing exists in our markets, and that once the weather abates increased construction activity will return."
Builders FirstSource operates 53 distribution centers and 47 manufacturing facilities in nine states. Manufacturing facilities include plants that manufacture roof and floor trusses, wall panels, stairs, aluminum and vinyl windows, custom millwork and pre-hung doors.
The company also distributes windows, interior and exterior doors and other building products. More information is available at www.bldr.com.