Beacon Roofing Supply Inc
BECN
ISIN US0736851090 / Valor 1873808
Beacon Roofing Supply Inc
UMushroom community rating:
About company
Beacon Roofing Supply Inc., headquartered in Herndon, Virginia, stands as the largest publicly traded distributor of roofing materials and complementary building products in North America, serving both the United States and Canada. With a history that positions it among the oldest and most established distributors within the industry, Beacon has carved out a significant niche. The company specializes in a broad array of products and services, catering to both commercial and residential sectors. Its product lineup includes roofing, siding, windows, decking, insulation, specialty lumber, waterproofing, and air barrier systems. For nearly a century, Beacon has played a pivotal role in supporting contractors, providing them with the necessary resources to enhance efficiency and foster construction growth. This extensive experience underscores Beacon's commitment to being a cornerstone in the building industry, facilitating projects with a comprehensive range of materials and solutions.
Summarized from source with an LLMView SourceSector: IndustrialsLatest Results (24.12.2024):
Record Quarterly Sales
Beacon Roofing Supply Inc reported record net sales of $2.77 billion for the third quarter of 2024, marking a 7.3% increase compared to the same period in the previous year. This growth was driven by a combination of price execution and increased volumes, particularly in non-residential roofing and complementary product sales. The company's strategic acquisitions also contributed significantly to this sales increase.
Gross Margin Improvement
For the third quarter of 2024, Beacon Roofing Supply Inc achieved a gross margin of 26.3%, up from 26.0% in the prior year. This improvement was primarily due to higher average selling prices, which more than offset increased product costs and a higher mix of non-residential products. The company's disciplined margin management played a crucial role in achieving these results.
Net Income and Adjusted EBITDA
Beacon Roofing Supply Inc reported a net income of $145.3 million for the third quarter of 2024, compared to $161.3 million in the previous year. Despite the decrease in net income, the company achieved a record Adjusted EBITDA of $325.2 million, up from $309.6 million in the prior year. This reflects the company's strong operational performance and cost management strategies.
Operating Expenses and Cost Management
Operating expenses for Beacon Roofing Supply Inc increased to $483.7 million in the third quarter of 2024, up from $418.8 million in the previous year. This rise was attributed to acquired branches and higher organic SG&A expenses, including payroll and warehouse costs. In response to market conditions, the company implemented cost reduction initiatives, including headcount adjustments, expected to save approximately $45 million annually.
Outlook and Strategic Initiatives
Beacon Roofing Supply Inc remains committed to its Ambition 2025 growth initiatives, focusing on organic growth and strategic acquisitions. During the third quarter of 2024, the company opened four new greenfield locations and executed acquisitions expected to contribute $247 million in annual sales. These efforts, combined with disciplined cost management, position the company well for future growth and adaptability to changing market conditions.
Summarized from source with an LLMView SourceKey figures
Performance
Volatility
6269 M
Market cap (USD)
71,928
Daily traded volume (Shares)
102.19 / 100.51
1 day high/low (USD)
52 weeks high/low (USD)
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Ratings & reviews
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