Builders FirstSource Sales Increase 38 PercentOctober 25th, 2013 by DWM Magazine
Builders FirstSource Inc. reported its results for the third quarter ended September 30, 2013, in which sales increased 38.1 percent to $402.9 million compared to third quarter 2012 sales of $291.8 million. Gross margin percentage improved to 23 percent, up from 19.8 percent in the third quarter of 2012.
Positive cash generation of $24.8 million in the third quarter of 2013 compared to cash used of $14.4 million in the third quarter of 2012.
“Our trend of improving financial results continued as our top line growth and gross margin increase helped us achieve positive net income and positive cash flow in the current quarter,” says Floyd Sherman, CEO. “As we have previously stated, our focus has been on increasing market share while expanding gross margins … This marks the eighth consecutive quarter of year-over-year sales growth above 30 percent, and shows our sales growth is still outpacing the increase in residential construction activity.”
“Equally important to our near term goal of returning to positive net income was continued leveraging of our operating expenses,” adds Chad Crow, Builders FirstSource senior vice president and chief financial officer. “Our May 2013 refinancing strengthened our balance sheet and allowed the company to increase its focus on profitable growth and creating shareholder value.”