Eagle Materials reports Q2 adjusted EPS $4.28, consensus $4.25

Reports Q2 revenue $622.2M, consensus $636.46M. CEO Michael Haack said, “Market conditions for our construction materials remained resilient during the quarter, even as the Fed continued to raise interest rates and tighten money supply to contain inflation. Several factors helped offset the higher rates and supported demand for wallboard and cement, including limited housing supply, strong homebuyer demand, increasing infrastructure awards and significant investment in domestic manufacturing facilities. Against this backdrop, our businesses performed well…We returned $86 million of cash to shareholders through share repurchases and dividends, while using our strong cashflow to strengthen our balance sheet: at September 30, 2023, Eagle’s net debt was $1.1B, and our net adjusted leverage ratio was 1.3x. We also made progress on our strategic initiatives…we expect that our portfolio of businesses will remain well-positioned for the second half of fiscal 2024.”