Beacon breaches $1 billion again

Beacon Roofing Supply hit an important benchmark for the third straight quarter in Q1, exceeding $1 billion in sales once again.

“Fiscal 2017 is off to a solid start with a third consecutive quarter of sales greater than $1 billion," president and CEO Paul Isabella said. "Our residential roofing business delivered 6.5% daily sales growth in existing markets, representing the 11th consecutive quarter in which we demonstrated year-over-year improvement. Gross margin remains robust, exceeding 25%, a 117 basis point improvement over last year. This increase results from a product mix shift as well as our pricing discipline and initiatives."

Net sales for the first quarter ended Dec. 31 increased 2.6% to a Q1 record of $1.00 billion, compared to $976.5 million in 2016.

Residential roofing product sales increased 7.2%, non-residential roofing product sales declined 10.4%, and complementary product sales increased 19.8% over the prior year.

Net income more than doubled: $20.4 million compared to $7.1 million in the year-ago period. This was largely thanks to volume growth within residential roofing and strong levels of year-to-year gross margin improvement.

"More normalized weather conditions have made for challenging sales comparisons to last year’s mild fall and winter, but should provide benefit in the latter half of the year," Isabella added. "We continue deployment of our growth strategy in 2017 including integrating the three great acquisitions made in December and January that added nine branches, including seven in the Pacific Northwest. As we move forward this year, we will maintain our focus on sales growth, gross margin stability and improved operating leverage, all of which should enable us to deliver another great year of performance and earnings for our shareholders.”